Browsing: Adaptive Markets Hypothesis

Posts Tagged ‘ Adaptive Markets Hypothesis ’

Efficiency May Be Special Case of Adaptation

Apr 24th, 2012 | Filed under: Hedge Fund Strategies, Alpha Strategies, Behavioral finance

In a new paper, Andrew Lo has educed from his Adaptive Markets Hypothesis five practical conclusions, among them that during times of crisis, the usual positive relationship between risk and return may not hold. There is in general a "time-varying and often negative relationship between the two." Read More