097: Derek Wong – How to Think About Strategies Like a Quant and Diversify Like a Boss
Chat With Traders
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The Importance of Signal to Noise Ratio
The 80% retail versus compared to 20% institutional in China, why is it that way? I mean, do most funds in China trade US markets? Like why is the ratio split like that? Well, no, they do not trade outside markets because of the R&B exchange. They have a certain quota that every Chinese national can do per year,. So that does put a crimp on how much they can trade abroad. A lot of people are savers. They save the money and they manage it themselves. And so they're going to go out and buy houses. They're going to invest anywhere they can get a return. But they're not putting it in an institution like
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