The Nuances of Volatility
Interpreting the Mix of Academics and the Study of Volatility
Whenever I find myself with the intellectual stamina required to read through an academic publication, I cannot help but occasionally take exception to the analysis. This catches my attention especially in many academic papers revolving around volatility and quantitative finance. These shortcomings include an incredible overfascination with statistical significance. The long established application of statistics in academia seems to be centered on determining whether a theory is, in fact, statistically significant. Academic-based publication bias seems predisposed toward the reporting of positive results, where the authors are able to demonstrate ...