3 Questions
In isolation forest, how are outliers identified?
Points with a shorter average path length than normal points
What is the main purpose of Density-Based Spatial Clustering?
Group closely packed points together
What is the importance of randomly selecting a subset of data in each isolation tree in isolation forests?
To prevent overfitting and increase robustness
Understand the significance of the covariance matrix in Mean-Variance Optimization (MVO) for investment portfolios. Learn how positive and negative correlations between assets impact diversification benefits in MVO strategies.
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