Hight: Mental heuristics do not outperform systematic models for ambiguous inputs
Cameron Hight · Clare Flynn Levy and Cameron Hight - Moneyball for Managers (Capital Allocators, EP.43) · Mar 12, 2018 · at 50:45
Cameron Hight, CEO of Alpha Theory, explains why fund managers' intuitive decision-making fails to beat systematic decision frameworks.
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“As a portfolio manager without the system, we're doing the exact same thing. We're already taking that information in, and we're processing it mentally, and it's implicit, and we believe that our mental calculator is better at taking those ambiguities and refining them so that they come up with better results, but really, honestly, we're not.”
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