
Giuseppe Paleologo - Multi-Manager Hedge Funds & Thinking Deeply About Simple Things (S7E11)
Flirting with Models
Navigating Factor Models in Finance
This chapter explores the complexities of factor research in finance, emphasizing the importance of using characteristics over return data for more accurate modeling. It discusses key concepts such as orthogonalization, crowding, and the evolving dynamics of hedging strategies. Through academic references and critical analysis, the chapter challenges conventional wisdom about factor models and their implications for investment approaches.
00:00
Transcript
Play full episode
Remember Everything You Learn from Podcasts
Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.