Social Sharing
Extended Viewer
Automating the Investment Process, The Joy of Backtesting
Jun 1, 1998
Opportunities and strategies need to be verified to gain a measure of their prospective value. One popular process for verifying an investment strategy is the backtest, which, while straightforward in theory, can often be tedious and time-consuming in practice. Since competitive advantage belongs to those who can quickly implement ideas and strategies, investment success is often a function of the underlying investment infrastructure, an idea that is explored briefly in this article.