Normal Distribution
topic on 2 shows · 2 statements across 2 episodes
Masters of Scale 
Capital Allocators
2 statements about Normal Distribution, every show
Duckworth: Superachievers possess rare, interacting combinations of traits
“A normal distribution comes from multiple factors happening, but they're additive. They don't interact with each other. So, for example, height is normally distributed because there are over a thousand genes that determine your height. But they don't interact …”
Williams: Mean-variance optimization ignores fat-tail market drops and sequence risk
“For most mean variance optimization problems, you're throwing away the most important information. So think about making a decision about a loss limit over an investment horizon, and you have a real balance sheet to protect, but you're not actually taking into…”