I have worked on algorithms for systematic trading based on behavioral finance theories, related to applying concepts from information theory to financial markets. (betterstockideas.com)
One of the most fundamental ideas of finance theory is the notion that the stock market is «efficient,» making superior performance virtually impossible. (hussman.net)
What finance theory does say is that when a portfolio is efficient, the only way to increase expected return is to load additional risk. (hussmanfunds.com)