Exchange Currency

survivorship bias

The tendency for failed companies to be excluded from performance studies due to the fact that they no longer exist. Survivorship bias causes the results of some studies to skew higher because only companies which were successful enough to survive until the end of the period are included. Similarly, mutual fund performance may be misleading due to survivorship bias if the fund family tends to merge or discontinue underperforming funds.

Related information about survivorship bias:
  1. Survivorship bias - Wikipedia, the free encyclopedia
    Survivorship bias is the logical error of concentrating on the people or things that "survived" some process and inadvertently overlooking those that didn't ...
     
  2. Survivorship Bias Definition | Investopedia
    The tendency for mutual funds with poor performance to be dropped by mutual fund companies, generally because of poor results or low asset accumulation.
     
  3. Survivorship Bias - Financial Dictionary - The Free Dictionary
    Usually pertaining to fund manager or individual investor performance. Suppose we examined the performance over the last ten years of a group of managers ...
     
  4. Survivorship bias
    Survivorship bias. When returns from a class of classes of investment are measured, it is common to look at what investments in that class are available and how ...
     
  5. What is survivorship bias? definition and meaning
    Definition of survivorship bias: The tendency for failed companies to be excluded from performance studies due to the fact that they no longer exist. Survivorship ...
     
  6. Survivorship Bias in Performance Studies - Robert H. Smith School ...
    Survivorship Bias in. Performance Studies. Stephen J. Brown. New York University. William Goetzmann. Columbia University. Roger G. Ibbotson. Stephen A.
     
  7. Freakonomics » Survivor Bias on the Gridiron
    Sep 17, 2009 ... Granted the DJIA is biased toward survivors, as the losers are dropped from time to time, but it doesn't quite have the same survivorship bias ...
     
  8. Survivorship bias and attrition effects in measures of
    on performance over several periods, survivorship bias induces spurious reversals, ... This paper examines the impact of survivorship bias and attrition on ...