The generalization of this is a martingale. https://en.wikipedia.org/wiki/Martingale_(probability_theory) … Your expected value at the next time step is the same as your present value, but your variance grows over time as you keep reinvesting your winnings. In the long run, you get rich...or go broke.
factor investing = following this? https://en.wikipedia.org/wiki/Fama%E2%80%93French_three-factor_model …
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It’s a five factor model today, and there are a ton of variations beyond the Fama French set, but yes this is the idea.
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