Cliff Asness Puts Quantitative Investing In Perspective

Fundamental value investors always have difficulty grasping quantitative techniques. Perhaps most perplexing is when a fundamental analyst asks a quant such as Cliff Asness what he thinks about the market and he say’s he doesn’t know.  You see quants don’t have opinions on the market that drive their decisions, which is the key difference between the fundamental types – and a point of confusion.

Enemy is being prisoner of past

“As a quantitative manager, our enemy—and probably the enemy of many qualitative managers as well – is being a prisoner of the past and finding odd relationships that have worked in...