An investor can use backtesting to determine whether a specific trading strategy on a security or asset would have created potential returns based on past performance and historical data. An investor ...

The COVID-19 stock market decline entices traders to bet on the S&P 500 index to benefit from an upcoming recovery. The S&P 500 index has known multiple pullbacks in price throughout the past 25 years ...

“I have never seen a bad backtest” is an often stated criticism of backtesting that has a high degree of truth to it - many strategies launch with strong backtests yet do not pan out as intended. In ...

In the fast-paced world of forex trading, success often hinges on preparation and strategy. Backtesting is one of the most effective ways for traders to refine their approaches before putting real ...

When backtesting a portfolio strategy, you have to decide how far back to look. Should you use all available data, stretching back decades? Or should you just look at the last few years? There are ...

Traders look for an advantage, but most of it lies in past data. Backtesting examines how a strategy would have performed under real market conditions before any money is committed. It shows the ...

Robust backtesting can give useful insights on how a trading strategy might perform in the future. The use of tick data for backtesting covers many different strategies, whether they are high ...

In the ever-evolving landscape of finance, Environmental, Social, and Governance (ESG) investing is more than a buzzword but a force impacting investment strategies. The significance of looking beyond ...

In recent years, ESG investing has gained significant traction in the world of finance. Investors are increasingly looking beyond traditional financial metrics to assess the sustainability and ethical ...

Backtesting is a hypothetical approach to investment, and won’t necessarily lead to similar returns or losses on future investments. Interest rates, for example, could play an important role in past ...