Jerry Blog...

Equity is formulated by understanding the perception of what others’ equity or value is in a given circumstance or object.  The ability to gather this data with incomplete information and estimate these variables objectively in real time is the essential tool needed to recognize ranges and exploit marginal edges.  Short-term variance will yield loss in any given sample but long-term expected value will net positive as long as standard deviation is accurately recognized and not compromised.  The better the equity is estimated correctly, the larger the expected value and the lesser the standard deviation.