Ep. 468: Irrationality with Michael Covel on Trend Following Radio
Michael Covel's Trend Following
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The Importance of Noise Reduction in Professional Situations
Is it practical to apply an algorithm? In many situations it won't be. You want to force people, to see, to think about every case that they do in a more or less standardized way. And what we call noise reduction is a new field. That's not an interesting field. But in fact, noise is a big problem. If you have somebody in banking who is deciding on whether the appropriate rate for a loan and you have variability, you have noise. Something is wrong if they don't agree. The experience has been fairly positive.
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