Comparing models against existing historical data is the only means of verifying a models
future predictive value.
Not exact matches
Third, academic research has found that valuation metrics, such as the earnings yield (E / P) or the CAPE 10 earnings yield, and valuation spreads have
predictive value in terms of
future returns.
Consider the
value, for example, of calculating marketing ROI by analyzing past efforts or of generating
future sales and marketing results with
predictive analytics.
It's important to point this out because, again, all else being equal, it's
predictive of
value's
future performance.
Researchers at the University of Chicago looked at the
predictive value of a student's freshman year of high school as it relates to a number of
future outcomes.
The analysis indicates that
value - added histories are
predictive of teachers»
future classroom performance.
It's been an interesting exchange about the
value provided by today's publishing organizations and the
future of
predictive analysis.
You also fail to see the
value in, for example, 15 years of solid history on an account recently closed as
predictive of
future behavior.
However, in this case, a fair
value calculation that requires a periodic mark - to - mark update of the loan could lead to a less
predictive value because expected
future cash flows are not always represented, argues IBFed.
The problem with this computational model of course is, not knowing what the
future eastern pacifiic SSTs will be, limits its «
predictive»
value.