Q2: Jessica Stauth – Seeking Alpha? Try Alpha Factors
Chat With Traders
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The Importance of Diversification in Trading
So how should a trader or a quant think about the size of the universe is this dependent on maybe the amount of capital that they have does that factor into it? So I think this is pretty capital dependent um and in general the way I think about it is let's say that you have some predictive models and predictive methodology well you want to make as many independent predictions as possible. The more things you apply it to the more diversification you're going to guess in your portfolio the less risk you'll face overall.
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