Data Flashcards
What is the difference between continuous and discrete data?
Continuous data reflects units on an infinite range e.g, range of heights in a classroom of pupils
Discrete data reflects exact figures which can be counted - e.g, no. of pupils in a classroom.
what is categorical/qualitative data?
What is nominal data?
Qualitative/categorical data refers to something definitive, not numerical, e.g, a company being bankrupt or not.
Nominal data refers to the same type data as above, e.g, numbers of a certain type of company in the S & P 500.
What is ordinal data?
Categorical values which can be logically ordered or ranked.
E.g, Morningstar rank funds based on their set performance criterium 1 to 5 stars.
How to tell the difference between categorical and quantitative (continuous/discrete) values.
Meaningful statistical analyses can be derived from quantitative values only.
What is a variable?
What is an observation?
A variable is a measurable and countable statistic and is subject to change.
An observation is the value of a specific variable over a specific period of time.
What is time series data?
A sequence of observations of a single observational unit, e.g, daily closing prices of a stock over a period of time.
What is cross sectional data?
A list of observations of a specific variable from multiple observational units at a moment in time. E.g, inflation rates across several EU countries.
What is panel data?
A mix of time series and cross sectional data. e.g, change in earnings per share across 3 companies over a quarter.
What is structured data?
Highly organised in a pre-defined manner, in terms of a company, market data (data issued by stock exchanges, closing stock prices and trading volumes), Fundamental data (data within financial statements (eps, roce, dividend yield) and Analytical data (data derived from analytics, cash flow projections and forecasted earnings growth)
What is unstructured data?
Data which does not follow a conventionally organised form.
E.g, social media posts, audio/video, company filings with regulators, presentations.
What is a frequency distribution?
A tabular display of an observations into bins and the frequency of those which fall within.
What is skewedness in data?
Skewedness measures a lack of symmetry in data in a distribution of data, perfectly distributed data has zero skew
What is kurtosis in data?
Kurtosis is a measure of the tailedness of data / a measure of how many outliers there are, below or above normal distribution.
What is arithmetic mean?
Standard average/mean learned in primary school
What is geometric mean?
Reflects the average rate of change over a time-series of data
Equation is GM = Square root HR over (1+r1) (1+r2)(1+r3)… -1
