Multi-Factor Model.

A multi-factor model is a statistical model that describes the performance of a security or asset class as a function of multiple factors. The factors can be macroeconomic, fundamental, or technical in nature. The model is typically used by hedge fund managers and other active investors to generate alpha, or excess return, relative to a … Read more

What Is an Automated Valuation Model (AVM)?

An automated valuation model (AVM) is a mathematical model that uses various data sources to generate a property value estimate. AVMs are commonly used by lenders and investors to assess risk and make decisions about potential investments. AVMs typically use data from public records, such as property tax assessments, as well as data from multiple … Read more

What is a specific risk?

We already know that in the world of financeKnowing the risk of the different financial assets with which we operate is extremely important to be able to assess the different options available. The specific risk, as its name indicates, refers to the risk that is intrinsic to the characteristics of each financial product that we … Read more

What is Taylorism?

Taylorism refers to the division of different tasks in the production process in order to increase the productivity and avoid that there is control over workers. This theory of the organization of work was developed by the American economist Frederick Winslow Taylor, hence the system bears his surname. It is a concept that is closely … Read more