A webcast presentation by Mukul Pal, CMT originally held on February 5th, 2014 as part of the CMT Association’s Educational Web Series.
Momentum and Reversion are considered two different strategies, styles of investing. A few even believe that 25 years of research has failed to marry Momentum with Reversion. It’s the same way a few researchers feel about value and growth, or low or high beta etc. What if a framework could explain the divergence between M&R and how they can be redefined and understood? This could open up a new approach to signal identification and classification. The webcast will build a case for explaining M&R using Intermarket Analysis, Performance Cycles and other Behavioural Finance cases. The talk will showcase a new framework based on data universality and how M&R can be redefined, comprehended and applied for trading and investment.