Tuesdays are all about academic (and practitioner) literature at Abnormal Returns. You can check out last week’s links including a look at how often black swans need to appear to make tail-risk strategies profitable.

Quote of the Day

"Quant equity offers investors attractive ways to harvest risk premiums at reasonable cost. But if you manage it like traditional active management -- benchmarking against the market, paying alpha fees for outperformance and dropping managers for underperformance -- you will not only miss the advantages, but likely underperform the market."

(Aaron Brown)