Talk:Fama–French three-factor model
|WikiProject Economics||(Rated Start-class, Mid-importance)|
Many studies show that the majority of actively managed mutual funds underperform broad indexes is a bold statement ... does anyone have references to back this up? Phdb (talk) 16:01, 21 October 2009 (UTC)
Explanation of factors missing
There is some explanation of the factors in the equation missing. What defines ? As well some more examples of what a negative bs /bv means. 11:06, 10 December 2009 (CET) —Preceding unsigned comment added by 126.96.36.199 (talk)
I removed the following sentence:
"Intuitively, one would expect a portfolio of Big Caps to have a negative bs coefficient, a portfolio of value stocks to have a positive bv coefficient, etc."
The significance of these factors is an empirical puzzle without theoretical motivation. Intuitively, one would expect them both to be zero. —Preceding unsigned comment added by 188.8.131.52 (talk) 19:01, 16 March 2010 (UTC)