4 ms·
Sharpe ratio is fairly useful in roughly apples to apples comparisons, e.g. investment opportunities, and basically useless when it’s applied to broadly to huma
by ska 2y ago
Sharpe ratio is fairly useful in roughly apples to apples comparisons, e.g. investment opportunities, and basically useless when it’s applied to broadly to human endeavours. Mostly because people are a) not economically rational in any pure sense and b) not primarily motivated by financial factors.