The problem of "fat tails" has been known in finance for a long time, and there are plenty of models in which the distribution of price increments has a higher

The problem of "fat tails" has been known in finance for a long time, and there are plenty of models in which the distribution of price increments has a higher kurtosis than a Gaussian distribution. Interestingly enough, fractal models are not commonly used at all. Stochastic vol models are a lot more widespread. I'm a trader, not a quant, so I can't comment on why fractals were never in favor -- anyone else know?