Term of the day
fat tails
A fat-tailed distribution is one of the so-called heavy-tailed statistical distributions that describe the probability of certain events. Fat tails have a sharp bell shape which leads to the term leptokurtosis, another name for a fat tailed distribution.
A probability distribution with fat tails would be one in which moderately extreme outcomes were more likely than you might have expected. Strictly speaking this differs from a long tailed distribution in would be one in which very very extreme...
Business glossary
- business ecosystemIncreasingly, businesses operate in a broader network of related businesses offering particular products or services. This is known as a...
- business model
- classical economics
- corporate governance
- corporate responsibility
- elasticity of demand
- flexible working
- generation Y
- green technology
- hidden needs
- market capitalisation
- moral hazard
- price/earnings ratio
- private equity
- return on equity
- social media
- sustainable enterprise
- trade secret
- value-based pricing
- value investing
- venture capital
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Buzz Words
- biomimicryBiomimicry is broadly used to describe any process in which a shape or process in nature is used to inspire an innovation. Biomimicry has...
- London whale
- phablet
- austerity
- countercyclical buffering
- crowdsourcing
- dark pools
- Dodd-Frank Act
- ESG
- Glass-Steagall Act
- grey dollar
- hawk
- inflation targeting
- Keynesian economics
- microfinance
- sukuk (Islamic bonds)
- spread betting
- sustainable development
- too big to fail
- toxic assets
- Volcker rule
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In the News
- big dataBig data is the term used to describe the huge volumes of data generated by traditional business activities and from new sources such as...
- cyber crime
- Financial Policy Committee FPC
- financial regulation
- fiscal cliff
- funding for lending
- gamification
- GSifi
- IMF
- insider trading
- IPO
- Libor
- monetary transmission
- peak oil
- QE3
- risk on, risk off
- Serious Fraud Office
- sovereign bonds
- strategic alliance
- proprietary trading
- zombie household
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