report by Nuveen
This piece is approved to use with clients.
Probability plays a key role in many aspects of everyday life, yet many people fail to understand the math that guides it.
There is a risk inside your portfolio that you are unaware of that leads to loss and you don’t get paid for taking it.
Ahmed Zayat was ready to sell. 152 one-year old horses were set to go to auction and included among them was one of Zayat’s Thoroughbreds that did nothing to separate itself from the herd.
One of the more iconic scenes in the movie, Moneyball, involves the baseball scouts discussing various players’ abilities. They note a player’s “classy” swing and then move on to his girlfriend’s looks for an assessment of his in-game proficiency. It’s both darkly humorous and a sly indictment of the flawed mechanics by which scouts judge players.
Anyone who has played a casual game of darts, say, at a bar or in the basement, knows an overarching rule of the game: it gets harder as it progresses. While rule systems vary, most games start with a wide-open board full of possibilities. But then, by the end, you’re aiming for the Double 18 and only the Double 18 to win. In short, it’s a game of precision that seems easy at first but becomes very, very hard by the end.