Are stock returns driven by risk, or is mispricing playing a bigger role than we realize? In this episode, we dive into the fascinating research of Jonas Frey, who challenges traditional finance models by revealing that a significant portion of stock return predictors are tied to mispricing rather than risk premia.

We break down key concepts like momentum, analyst forecasts, and market psychology to understand how investor biases shape stock prices. Plus, we explore whether mispricing creates opportunities for savvy investors—or just more uncertainty.

Join us for a deep dive into the hidden forces behind stock returns and how you can think differently about market trends.

Find the full research paper here: https://community.quantopian.com/c/community-forums/which-stock-return-predictors-reflect-mispricing-and-which-risk-premia

For more quant-focused content, join us at ⁠⁠⁠⁠https://community.quantopian.com⁠⁠⁠⁠. There, you can explore a wealth of resources, connect with fellow quants, engage in insightful discussions, and enhance your skills through our extensive range of online courses.

Quant Radio is an AI-generated podcast, intended to help people develop their knowledge and skills in Quant finance. This podcast is not intended to provide investment advice.