Originally Posted by PinkChip That's an abbreviation And a bad one, at that! Originally Posted by PinkChip but no definition (how is it computed)? DI, Desirability Index = Sharpe ratio = e.v./s.d. SCORE = DI^2 = (e.v./s.d.)^2 = (e.v.)^2/variance. Don
Originally Posted by DSchles And a bad one, at that! DI, Desirability Index = Sharpe ratio = e.v./s.d. SCORE = DI^2 = (e.v./s.d.)^2 = (e.v.)^2/variance. Don Simple, lol.
Originally Posted by DSchles And a bad one, at that! DI, Desirability Index = Sharpe ratio = e.v./s.d. SCORE = DI^2 = (e.v./s.d.)^2 = (e.v.)^2/variance. Don Ahaaaa! Simpler than I remembered. Expectation in numerator and variance in denominator, this makes sense. Thanks!
Originally Posted by DSchles And a bad one, at that! DI, Desirability Index = Sharpe ratio = e.v./s.d. SCORE = DI^2 = (e.v./s.d.)^2 = (e.v.)^2/variance. Don You’re right. Hopefully, I’ve redeemed myself by giving you the clues required to devise the mathematical equation expressed above.
Originally Posted by PinkChip Ahaaaa! Simpler than I remembered. Expectation in numerator and variance in denominator, this makes sense. Thanks! You’re welcome
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