The Importance of Expected Utility in Investment Decision Making

In markets, we are constantly using on high flute and word, you know, $10 word alert here. The big heading for this is called expected utility. You're trying to calculate the odds, the outcomes. That's what that's what all of us who involved in markets do for a living. We wrestle with an expected utility framework for making decisions under risk. What I'm saying is that life is not a decision tree under risk is decisions under uncertainty.

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