I had a fascinating conversation with Joseph Simonian for the CFA Institute Research Foundation podcast!

In this episode, Joseph Simonian shares his wisdom on model validation in finance. This conversation opened my eyes to several aspects of this topic.

Somewhat technical but ever the more educational, we discuss financial model validation methods, we compare challenges in finance to other disciplines, and touch on the role of economic theory in validation. We also get into backtesting approaches, cross-validation techniques, simulation methodologies such as Monte Carlo and bootstrapping, and proper model comparison frameworks.