False Prophets

“All investing decisions come down to the range of outcomes that one can expect on a time horizon,” says David Kedmey, president and co-founder of EidoSearch. “When you talk about forecasting a range of outcomes, what is the most likely case? What is the risk around that? What is the probability of that range? It’s very fundamental. Markets are about probabilities, and nobody has an effective way to quantify that. If you ask a fundamental portfolio manager about price targets and probabilities, it’s like sticking a finger in the air.”

EidoSearch’s functionality is simple. By examining one performance pattern, EidoSearch can examine 100 million patterns in a second and find historical data similarities. By capturing actual outcomes of these similar conditions in a historical database, the firm can generate projections on the likely outcomes today, allowing investors to calculate risk and make informed decisions.

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