Glossary

The term professional quants refer to when they discover a variable (dataset) that influences the markets in a particular way which contradicts the idea that markets are efficient (passive investing). Each TradeWrangler Signal proposes a uniquely discovered anomaly that we use to structure a trading strategy around.

Total amount of income earned annually. Gross annual income represents the amount of money a person earns in one year from all sources before taxes. When preparing an income tax return, the gross annual income figure is the base figure with which to start.

an approach to investing whereby the investor seeks to enhance returns not through stock picking, but by adjusting the level of exposure to the broad markets at times of heightened risk and reward.

Efficient Markets Hypothesis (EMH) argues that stock prices depend on the amount of public and private information that exists. There are three forms: weak, semi-strong, and strong. Weak form EMH asserts that stock prices incorporate past public information. Semi-strong form asserts that stock prices incorporate all current public information. Strong form asserts that stock prices incorporate all information regardless of status and includes private information like a CEO's insider knowledge.

An investment vehicle is a product used by investors with the intention of gaining positive returns. Investment vehicles can be low risk, such as certificates of deposit (CDs) or bonds, or carry a greater degree of risk such as with stocks, options and futures. Other types of investment vehicles include annuities; collectibles, such as art or coins; mutual funds; and exchange-traded funds (ETFs).
Source: Investopedia.

The part of an individual's net worth that can be readily turned into cash. Liquid net worth includes investments such as stocks and mutual funds, but does not include assets that are difficult to readily convert, such as real estate or cars.

The part of an individual's net worth that can be readily turned into cash. Liquid net worth includes investments such as stocks and mutual funds, but does not include assets that are difficult to readily convert, such as real estate or cars.

The marginal tax rate is the percentage of tax applied to your income for each tax bracket in which you qualify. In essence, the marginal tax rate is the percentage taken from your next dollar of taxable income above a pre-defined income threshold.

Passive Investing is an investment strategy that aims to maximize returns over the long term by taking broadly diversified exposure to the markets and keeping the amount of buying and selling to a minimum.

Algorithmic processes used to identify and exploit persistent irregularities (or anomalies) in the market.

The total length of time that an investor expects to hold a security or a portfolio. The investment horizon determines the investor's income needs and desired risk exposure, which aid in security selection.

A set of signals which work together to monitor and gauge anomalies in the market. Once these anomalies are detected, the Wrangle will interpret the anomaly and recommend portfolio adjustments by which to capitalize on the event. The Wrangle is essentially an optimized multivariate trading model.

An expert at analyzing and managing quantitative data