
Q5: Max Margenot – Good (and Not So Good) Uses of Machine Learning in Finance
Chat With Traders
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The Importance of Simple Machine Learning Models
The goal of models is really to be as simple as possible. We generally want general models that are relatively simple and explain as much information as possible with as few terms as we can. So there's actually a bunch of different methods in order to kind of determine whether your model is too complex or as simple as it could be. And I would say that if you're at a point in your statistical knowledge when you can argue that with me, you don't need my help, you can go off and do whatever you want.
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