This is a summary of links featured on Quantocracy on Tuesday, 10/08/2024. To see our most recent links, visit the Quant Mashup. Read on readers!
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Reading the WSJ May Make You a Better Economist [Alpha Architect]What are the Research Questions? The research questions are as follows: How can textual analysis of business news, specifically The Wall Street Journal (WSJ), be used to measure the state of the economy? What is the structure of news coverage related to economic events, and how do these topics evolve over time? Does news attention contain information that is distinct from standard numerical
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The Hidden Cost of Index Replication [Alpha Architect]As the annual SPIVA studies demonstrate, index funds persistently outperform the vast majority of actively managed funds, even before considering taxes. With that said, most investors are unaware that there are weaknesses of index funds that result from their strategy to replicate the return of an index. Those weaknesses, which result from the desire to minimize what is called tracking error