097 – Optimization Myths with Jack Schwager

Jack Schwager needs no introduction.

He’s a well known expert in the industry, working for some of wall streets leading firms and is also one of the founders of FundSeeder.

Plus, he’s the author of the best-selling series of ‘Market Wizards’ books, which I’m sure most traders on this earth have read!

In this chat with Jack we discuss Optimization Myths, referencing some interesting results of a study that analyses the effectiveness of optimization…

The results may not be what you expect…

And could have a huge impact on the way we test and trade strategies.

There are plenty of other nuggets of info too, including:

  • Optimization myths and the relationship between the best performing past and future parameter sets,
  • Why you should rely less on optimization and more on developing and testing systems that eliminate hindsight,
  • Why optimization adds very little to the power of a trading strategy and where to focus instead,
  • How to properly assess trading results to determine if it’s your strategy or the market that’s actually any good

Resources mentioned in this episode

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