top of page
Search


Understanding LLM Drift: A Guide for Investors
In artificial intelligence , one phenomenon that has garnered significant attention is " LLM Drift." This term refers to the gradual shift in the behavior and outputs of Large Language Models (LLMs) over time. Understanding LLM Drift is crucial for investors who are looking to capitalize on the burgeoning AI market. This article aims to demystify LLM Drift, offering insights and examples to help investors make informed decisions. What is LLM Drift? LLM Drift refers to t

Aki Kakko
Dec 29, 20233 min read


The Data-Information-Knowledge-Wisdom (DIKW) Pyramid in AI: A Guide for Investors
In data science and artificial intelligence , the Data - Information - Knowledge - Wisdom (DIKW) Pyramid stands as a conceptual framework that elucidates the hierarchy and interrelationship between data , information , knowledge , and wisdom . For investors eyeing the AI sector , understanding this pyramid is crucial for assessing the potential and maturity of AI ventures . Understanding DIKW Pyramid Data : The Base Layer: Raw, unprocessed facts and figures. Example in AI:

Aki Kakko
Dec 28, 20233 min read


An Investor's Guide to Rolling Window Analysis
Rolling Window Analysis is a vital tool for investors , enabling them to evaluate the performance of investments and understand market trends over time. This technique involves analyzing a series of data points by creating a window of a fixed size and moving it across the data set in increments. Here's a detailed overview of how Rolling Window Analysis works, its benefits, applications, and examples. Understanding Rolling Window Analysis Rolling Window Analysis is a statist

Aki Kakko
Dec 27, 20234 min read


Dynamic Hedging Demystified: A Guide for Investors
Dynamic hedging is an advanced investment strategy used to manage risk in an investment portfolio . It involves continuously adjusting the hedge positions in a portfolio to counterbalance the market risk of its underlying assets. This strategy is particularly relevant in volatile markets , where asset prices can fluctuate significantly. Here’s a detailed exploration of dynamic hedging , including examples to illustrate its application for investors . Understanding Dynamic H

Aki Kakko
Dec 26, 20234 min read


Navigating Data Drift: Strategies for Investors
Data drift is a critical concept in the realm of investing, especially for those who rely on data-driven models or algorithms to make...

Aki Kakko
Dec 25, 20233 min read


Complexity Theory: A Guide for Investors
Complexity theory, a field that studies how systems, entities, and patterns interact and evolve in seemingly chaotic environments, has significant implications for investors. This theory delves into the dynamics of complex systems , a term that encompasses a wide range of phenomena from the natural world to human societies and financial markets. For investors, understanding complexity theory can provide a deeper insight into market behavior, risk management, and investment

Aki Kakko
Dec 25, 20234 min read


The Bias-Variance Dilemma: Making Informed AI Investment Decisions
The concept of variance and bias trade-off is a fundamental principle in machine learning and AI, crucial for investors to understand...

Aki Kakko
Dec 24, 20234 min read


The Role of Observed and Latent Variables in Causal Inference for Investors
Causal inference is a critical aspect of making informed decisions in various fields, including economics, social sciences, and medicine. It involves understanding the cause-and-effect relationship between variables . Two key types of variables in causal inference are observed and latent variables . Understanding the distinction between these variables is crucial for investors who rely on data-driven insights to make investment decisions. Observed Variables Observed vari

Aki Kakko
Dec 22, 20234 min read


Finite and Infinite Games: A Guide for Investors
Investing , at its core, is a strategic endeavor that involves making decisions under conditions of uncertainty . This process can be better understood through the lens of two types of games: finite and infinite games . This concept, first introduced by James P. Carse in his book " Finite and Infinite Games ," offers a unique perspective on investment strategies and decision-making. Understanding Finite Games Finite games are those with well-defined rules, fixed players, an

Aki Kakko
Dec 21, 20234 min read


Counterfactual Reasoning in Causal AI: A Guide for Investors
Counterfactual reasoning in Causal AI represents a significant leap in how artificial intelligence understands and interacts with the world. For investors, it's crucial to grasp how this technology can revolutionize various industries and offer substantial investment opportunities . This introduction to Counterfactual Reasoning in Causal AI aims to provide investors with a foundational understanding of the technology's potential and considerations. Understanding Counte

Aki Kakko
Dec 19, 20233 min read


Navigating Investment Uncertainty: The Possible, Plausible, Probable Approach
Different kind of analysis models are essential for investors to assess investment opportunities , whether it's a stock, bond , startup or other asset. The "Possible, Plausible, Probable" model is a strategic approach that categorizes investment outcomes based on their likelihood and potential impact. This article will explore this model providing examples to help investors understand and apply it effectively. Understanding the Model The "Possible, Plausible, Probable" model

Aki Kakko
Dec 18, 20234 min read


Navigating Market Shifts: The Power of Regime-Switching Models in Investment Strategies
Regime-switching models are a powerful tool in the field of financial analysis , particularly relevant for investors who are trying to understand and predict changes in financial markets. These models are designed to capture the behavior of economic variables in different regimes, or states, such as periods of high growth or recession in a market. They are especially useful in financial contexts where market conditions can change rapidly and unpredictably, affecting investme

Aki Kakko
Dec 17, 20233 min read


Understanding Causal Forests for Investors
In investing , understanding the underlying causes of market trends, consumer behavior, and financial outcomes is crucial. This is where " Causal Forests," a concept rooted in machine learning and statistics, comes into play. For investors, leveraging causal forests can be a game-changer in making informed decisions and predicting market movements more accurately. What are Causal Forests? Causal Forests are an advanced form of Random Forests, a popular machine learning

Aki Kakko
Dec 16, 20233 min read


The Investor's Guide to Data Versioning
Data versioning is a critical concept in the field of data management, particularly relevant to investors who rely on accurate,...

Aki Kakko
Dec 15, 20234 min read


Navigating the World of API-First Companies
An API-first company is a business that prioritizes the development and integration of Application Programming Interfaces (APIs) in its...

Aki Kakko
Dec 12, 20234 min read


Beyond the Numbers: Understanding Contextualized Financial Ratios in Investment Analysis
Contextualized financial ratios are a powerful tool for investors, offering a deeper understanding of a company's financial health and...

Aki Kakko
Dec 12, 20233 min read


Financial Forensics: Identifying Red Flags in SEC Filings
In the world of investing, the ability to discern potential risks and malpractices in a company's financial statements is crucial. SEC...

Aki Kakko
Dec 10, 20234 min read


The Subjective Lens: Rethinking Probability in Investment Decisions
In the intricate world of investing, the concept of probability is often regarded as a cornerstone for decision-making. Traditional...

Aki Kakko
Dec 10, 20234 min read


Harnessing Open Source Wisdom: Strategic Lessons for Investors
In the ever-evolving landscape of technology and business, open source software (OSS) has emerged as a cornerstone of innovation,...

Aki Kakko
Dec 9, 20234 min read


Understanding SEC Filings Stream APIs: A Guide for Investors
Investing in the stock market requires not only a keen eye for market trends but also an in-depth understanding of a company's financial...

Aki Kakko
Dec 8, 20233 min read
bottom of page