Survivorship Free Momentum And Trend-Following Strategies (opens in new tab)

Today, we look at survivorship-free momentum and trend following strategies\. Survivorship bias is one of the most dangerous problems in trading and investing because it is easy to overlook\. It does not announce itself in your backtest\. It does not show up as an error message\. Instead, it quietly improves your results by removing the failures from your data\. This is especially important in stock market backtesting\. If you test a strategy only on the stocks that exist today, you are not t...