Does fundamental analysis outperform quant or machine learning?

(Last Updated On: March 25, 2016)

Does fundamental analysis outperform quant or machine learning?

Tough to find reports but looks like the results are the same.

There are no noticeable differences in performance between quantitative and fundamental managers in the value space

http://www.investmentreview.com/analysis-research/quantitative-vs-fundamental-4647

There are no noticeable differences in performance between quantitative and fundamental managers in the value space

 

http://www.hillsdaleinv.com/portal/uploads/Quant_vs_Fundamental_Institutional_Money_Managers.pdf

In fact, investors should combine fundamental investment strategies with quantitative investment strategies to increase their risk adjusted returns since empirical evidence suggests low correlation of returns between these two approaches.

http://articles.economictimes.indiatimes.com/2012-05-03/news/31558848_1_investment-factors-managers

So why implement all these complicated processes that offer the same result or performance? Do these newer skills like quant or machine learn result in wasted if the results are the same?

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Hi i there My name is Bryan Downing. I am part of a company called QuantLabs.Net This is specifically a company with a high profile blog about technology, trading, financial, investment, quant, etc. It posts things on how to do job interviews with large companies like Morgan Stanley, Bloomberg, Citibank, and IBM. It also posts different unique tips and tricks on Java, C++, or C programming. It posts about different techniques in learning about Matlab and building models or strategies. There is a lot here if you are into venturing into the financial world like quant or technical analysis. It also discusses the future generation of trading and programming Specialties: C++, Java, C#, Matlab, quant, models, strategies, technical analysis, linux, windows P.S. I have been known to be the worst typist. Do not be offended by it as I like to bang stuff out and put priorty of what I do over typing. Maybe one day I can get a full time copy editor to help out. Do note I prefer videos as they are much easier to produce so check out my many video at youtube.com/quantlabs