Navigating Factors in Quantitative Research

This chapter humorously uses a zoo metaphor to discuss the categorization and evolution of factors in quantitative finance, including the importance of diversification in investing. It reflects on the historical performance of value investing during challenging market periods, emphasizing evidence-based decision-making and the need for risk management. Additionally, the speakers explore innovative strategies for adjusting investment approaches in the face of market concentration, particularly the dominance of mega-cap stocks.