Back-testing
Back-testing
Creating a hypothetical
portfolio performance history by applying current asset selection criteria to prior time periods.
Back Test
To use past data to predict future events. Researchers use back testing to find relationships between apparently unrelated events and determine if one causes the other. One may conduct back testing to inform one's
investment decisions or strategy, though the practice is not always accurate because a great number of inputs cause
economic events.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
Copyright © 2003-2025 Farlex, Inc
Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.