## Is Cauchy distribution better than Normal with probability to forecast fat tail events?

Is Cauchy distribution better than Normal with probability to forecast fat tail events? Someone on my Facebook noted this so thanks to then: http://www.cmap.polytechnique.fr/~touzi/Poly-MAP552.pdf Click to access mathcamp02.pdf This is what was said: https://en.wikipedia.org/wiki/Ratio_distribution A ratio distribution (or quotient distribution) is a probability distribution constructed as the distribution of the ratio of random variables having …