This is a summary of links featured on Quantocracy on Friday, 07/29/2016. To see our most recent links, visit the Quant Mashup. Read on readers!
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The Case for Hedge Funds / Creating an Ideal Liquid Alt [EconomPic]A hedge fund is simply a go anywhere investment vehicle that attempts to provide excess returns to cash with a low correlation to traditional asset classes (i.e. vehicles that provide alpha). Hedge funds and liquid alternatives have taken a lot of heat recently, much of it deserved, but in this post I'll outline the bull case. Specifically, this post will outline the benefit of a hedge fund
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Clustering: “Two’s company, three’s a crowd” [Quant Dare]Its hard enough deciding which Machine Learning technique to use, but after selecting an appropriate clustering algorithm the next challenges begin: how good is the separation and into how many groups should you divide the data? Maybe three is not always a crowd First, lets set the scene We want to create a diversified investment strategy using a set of predictions and making use of