This is a summary of links featured on Quantocracy on Thursday, 10/18/2018. To see our most recent links, visit the Quant Mashup. Read on readers!
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Scaling/ normalisation/ standardisation: a pervasive question [Quant Dare]One of the most asked questions when dealing with several features is how you can summarise or transform them to similar scales. As you probably know, many Machine Learning algorithms demand the input features being in similar scales. But, what if they arent? Can we just work with raw data in the hope that our analysis will be right? Well, in some cases, the answer is yes. When you use
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The Profitability Factor: International Evidence [Alpha Architect]Robert Novy-Marxs 2013 paper The Other Side of Value: The Gross Profitability Premium not only provided investors with new insights into the cross-section of stock returns, but also helped further explain some of Warren Buffetts superior performance. (Wes Gray summarized that paper here.) His study built upon the 2006 paper Profitability, Investment and Average Returns by Eugene