The week in stats (April 14th edition)


  1. Concerning the 60/40 rule of investmenting, would it be possible to write some code in with R~studio to approximate the utility of investing in gold or bitcoins?

  2. I think the 60/40 rule of investing are the limits to which one can ivest in gold and the bitcoin.

  3. I think given that investors are rational, the rule would on set limits to maximization of profits. The rule says you should have 60% of your portfolio in stocks and 40% in bonds. It is typically referred to as a”balanced” allocation and is designed to offer you protection in times of market volatility. You’re essentially using your stake in bonds as a hedge against the ups and downs of the stock market. Which implies that you are not maximising profit, just playing safe.