Why It is No Longer a Good Idea to Be in The Investment Industry

A spurious tail is the performance of a certain number of operators that is entirely caused by luck, what is  called the “lucky fool” in Taleb (2001). Because of winner-take-all-effects (from globalization), spurious performance increases with time and explodes under fat tails in  alarming proportions. An operator starting today, no matter [...]

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