The proper approach to forecasting is to treat any forecast as the median of a wide dispersion of potential outcomes and run Monte Carlo simulations to test whether a portfolio can withstand all possible outcomes, including tail risks, rather than relying on a single median forecast.

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Speaker

Larry Swedroe

Evidence Quote

treat any forecast as a median of a wide dis potential dispersion of outcomes and make sure your portfolio can live through and withstand all of the possible outcomes including the left

Source

Investors Made These 9 Costly Mistakes in 2024 | Larry Swedroe Explains How to Fix ThemExcess Returns
Created: 8/11/2026, 7:39:47 AM

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