Hypothesis Testing in Finance
📈 Investing
Quick Definition
Hypothesis testing is a statistical method used to make decisions about the validity of a proposed hypothesis by analyzing sample data.
Examples
- 1Testing if a new trading strategy outperforms the market average.
- 2Determining if a change in interest rates significantly affects bond prices.
- 3Assessing whether demographic factors influence investment choices among different age groups.
- 4Evaluating the impact of a new policy on stock market volatility.
Tags
statisticsdata-analysisinvestment-strategiesmarket-researchdecision-making
Related Terms
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Quick Info
Category:Investing
Difficulty:intermediate
Last Updated:6/20/2025