The Quantopian Podcast

Looking to juice your portfolio returns with factor investing? This episode breaks down a key decision for investors: should you tilt toward size and value with one all-in-one small value fund—or split it between separate small-cap and value funds? We dive into a compelling study that uses both nearly a century of academic data and real-world ETF performance to uncover which approach historically delivered better results—and why. Tune in to learn about factor exposure, risk trade-offs, and how your tilt strategy might be more powerful than you think.Find the full research paper here: https://community.quantopian.com/c/community-forums/small-value-or-small-valueFor more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.

With global markets fragmenting and economic uncertainty on the rise, how can investors adapt without falling into the trap of panic-driven decisions? In this episode, we explore practical strategies for managing risk in volatile environments — from smart diversification to volatility-based exposure and systematic risk controls.Join us as we break down:Why "just holding cash" might not be the safe haven it seemsThe real risk behind global index fundsHow dynamic allocation and risk signals can offer resilienceThe trade-offs between protection and potential missed gainsWhether you're a seasoned investor or just trying to make sense of today's murky markets, this conversation offers insights to help you build a more robust, long-term investment approach.Find the full research paper here: https://community.quantopian.com/c/community-forums/what-should-you-do-when-you-don-t-know-what-to-doFor more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.

For decades, Strategic Asset Allocation (SAA) was the gold standard for institutional investing. But as markets grow more complex and volatile, many leading investors are turning to a new paradigm: the Total Portfolio Approach (TPA). In this episode, we unpack what TPA really is, why it's gaining traction, and how it fundamentally differs from traditional models like SAA.Join us as we explore:- Why the assumptions behind SAA are breaking down- How TPA offers a more flexible, dynamic framework- The critical shifts in governance, culture, and technology required for implementation- The challenges and risks of moving to a TPA modelThis is more than a technical change—it's a mindset shift toward adaptability and holistic portfolio management. Whether you're a CIO, trustee, or finance professional, this conversation will challenge your assumptions and spark new thinking about how institutions manage risk, liquidity, and long-term goals.Find the full research paper here: https://community.quantopian.com/c/community-forums/what-is-total-portfolio-approach-a-practitioner-summaryFor more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.

Why are central banks around the world quietly hoarding gold? In this episode, we explore the powerful forces driving a surge in official gold reserves and what it reveals about shifting global power dynamics. As trust in the U.S. dollar erodes—fueled by sanctions, geopolitical tension, and financial system vulnerabilities—countries are turning to gold as a neutral, reliable store of value. We unpack the strategy behind this modern gold rush, the risks involved, and what it means for the future of international finance. If the dollar is no longer untouchable, what comes next?Find the full research paper here: https://community.quantopian.com/c/community-forums/central-banks-fuel-gold-rally-as-de-dollarisation-acceleratesFor more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.

Explore the concept of Pragmatic Asset Allocation (PAA) as a balanced approach between passive and active investing. The discussion highlights how this rules-based strategy adapts to macroeconomic turbulence, including yield curve inversions. Learn about investments in gold versus equities and the emerging markets shift. Discover how strategic flexibility can enhance long-term investment decisions amidst changing economic conditions. This conversation equips you with insights on navigating market volatility and capital protection.

We often chase alpha—those elusive returns above the market average—but what’s that extra performance really worth to you as an investor? In this episode, we break down a provocative new study that flips the script on traditional investing metrics by focusing on investment utility—a measure of portfolio satisfaction that blends returns with risk tolerance.Join us as we explore why most active equity funds may add far less value than their alpha suggests, how risk aversion plays a critical role, and why a simple 60/40 stock-bond portfolio still does most of the heavy lifting. With only 12% of active funds offering a utility boost—and that too at a median of just 7 basis points—it’s time to rethink how we value active management.Is your pursuit of alpha actually paying off? Or are you better off with low-cost, diversified simplicity? Let’s dig into the data and find out.Find the full research paper here: https://community.quantopian.com/c/community-forums/how-much-should-you-pay-for-alpha-measuring-the-value-of-active-management-with-utility-calculationsFor more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.

In this episode, we dive into VolTS — a fresh trading strategy that combines old-school statistical analysis with modern machine learning to predict stock trends based on volatility patterns. Discover how clustering, Granger causality tests, and volatility estimators like Yang-Zhang and Parkinson come together in a systematic framework focused on mid-volatility tech stocks. We explore its backtesting results, potential for outperforming buy-and-hold, and the risks of shifting market regimes. Whether you're a quant, trader, or curious about AI in finance, this one's packed with insight.Topics:Volatility clustering using K-means++Predictive relationships via Granger CausalityTrend following vs. buy-and-hold performanceRisk metrics and anomaly filteringFuture directions: crypto markets, NLP, and hybrid modelsTune in for a smart, accessible breakdown of one of the more innovative approaches to algorithmic trading.Find the full research paper here: https://community.quantopian.com/c/community-forums/volts-a-volatility-based-trading-system-to-forecast-stock-markets-trend-using-statistics-and-machine-learning-1c4e6fFor more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.

Can AI really predict currency movements better than traditional models—or even coin flips? In this episode, we explore cutting-edge research that uses generative AI, like ChatGPT and DeepSeek, to analyze decades of economic data from G10 countries. Discover how AI-derived “fundamental sentiment scores” are used to trade currencies—and why the results are surprisingly good. We break down the strategies, results, theory (think Taylor Rule), and the rigorous steps taken to rule out look-ahead bias. A must-listen for anyone curious about AI’s role in reshaping financial forecasting.Find the full research paper here: https://community.quantopian.com/c/community-forums/generative-ai-and-fundamentals-based-exchange-rate-forecastingFor more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.

Private credit is booming—but what does it really involve? In this episode, we cut through the noise by breaking down five common myths surrounding private credit. From its perceived rivalry with banks to questions about systemic risk, historical legitimacy, and investor returns, we dive into the real mechanics of this evolving asset class. Drawing from a recent Man Group article, we unpack the nuances of non-bank lending, explore where skill and strategy matter most, and challenge assumptions about risk. Whether you're an investor, finance professional, or just curious about credit markets, this conversation will give you a clearer, more informed perspective.Find the full research paper here: https://community.quantopian.com/c/community-forums/private-credit-dispelling-the-mythsFor more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.

Is bigger always better in AI? This episode dives into a compelling study that challenges the dominance of massive models like GPT-4. Hosts unpack how smaller, fine-tuned models, FinBERT and DistilRoBERTa, can match or even outperform their giant counterparts in financial sentiment analysis. Learn how researchers built a dataset based on real market reactions (not just human opinion), tested model performance, and explored what really drives smarter AI: size or strategy? Tune in for insights on model efficiency, data quality, and what this means for the future of AI in finance.Find the full research paper here: https://community.quantopian.com/c/community-forums/fine-tuning-is-all-you-need-compact-models-can-outperform-gpt-s-classification-abilitiesFor more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.