Mathematical Investor

Worldwide life expectancy at birth by region, 1950-2050

Target date funds and formulas for retirement

As we explained in an earlier Mathematical Investor blog, “target-date funds” are currently the rage in the finance world. The term refers to a mutual fund that targets a given retirement date, and then steadily shifts the allocation of assets from, say, a 80%/20% mix of stocks and bonds at the start to, say, a 30%/70% or 20%/80% mix as the target date approaches.

Vanguard Group, which manages over USD$5 trillion in assets, much of it in employer-offered defined contribution retirement plans, reports that

Continue reading Will investors outlive their savings?

Marcos Lopez de Prado

Marcos Lopez de Prado, who was named “Quant of the Year” for 2019 by the Journal of Portfolio Management, and who has recently formed his own investment firm True Positive Technologies, was recently interviewed by KNect365, an organization that sponsors numerous conferences and other exchanges between professionals in various fields, including finance, life sciences, technology, law, agriculture and energy.

In his interview, Lopez de Prado distinguishes between math-quant firms and econ-quant firms. The former are led by empiricists, often with backgrounds in mathematics, computer science, physics and engineering, and apply a wide range of cutting-edge

Continue reading Interview with Marcos Lopez de Prado