Quantitative analysis is used, for example, to explain relationships or behaviors through statistical modeling, measurement and research<\/strong>. It attempts to represent a given reality in the form of a numerical value. The collection of numerical data therefore makes it possible to measure the frequency of an event and thus provides an insight into real-life circumstances. Quantitative analysis can therefore be used, for example, to measure, evaluate performance, value financial instruments and predict events (e.g. for exchange rate forecasts). <\/p>\n\n Quantitative analysis is used in many fields<\/strong>, such as analytical chemistry, financial analysis, social sciences and organized sports. In the financial world, analysts who deal exclusively with quantitative analysis are often referred to as “quants”. <\/p>\n\n Governments use quantitative analysis to make monetary and other economic policy decisions. As part of quantitative analysis, governments and central banks typically track and evaluate statistical data, such as GDP<\/a> and employment figures. <\/p>\n\n In the financial services industry, quantitative analysis is used to analyze investment opportunities. For example, it serves as a basis for deciding whether securities should be bought, held or sold. For example, the price\/earnings ratio (P\/E ratio)<\/a> or earnings per share (EPS) can be calculated. More complex calculations include, for example, the valuation of companies using various valuation models such as discounted cash flow<\/a>. <\/p>\n\n While quantitative analysis is a useful assessment tool, it is often combined with the complementary research and assessment tool of qualitative analysis<\/a>. To get a better picture of a company’s performance, analysts also evaluate information that is difficult to quantify, such as management reputation or employee morale. Qualitative analyses often require a high level of expert knowledge. A good asset manager<\/a> can therefore provide you with the best possible advice by combining qualitative and quantitative analysis. <\/p>\n","protected":false},"template":"","class_list":["post-4154","lexikon","type-lexikon","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/valueinvestments.ch\/en\/wp-json\/wp\/v2\/lexikon\/4154","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/valueinvestments.ch\/en\/wp-json\/wp\/v2\/lexikon"}],"about":[{"href":"https:\/\/valueinvestments.ch\/en\/wp-json\/wp\/v2\/types\/lexikon"}],"wp:attachment":[{"href":"https:\/\/valueinvestments.ch\/en\/wp-json\/wp\/v2\/media?parent=4154"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Areas of application of quantitative analysis <\/strong> <\/h2>\n\n
Quantitative analysis and qualitative analysis<\/h2>\n\n