WHAT DOES PNL MEAN?

What Does pnl Mean?

You can even analyse the skewness and kurtosis of your period PnL by getting third and 4th times of $Y_t$ respectively. Presumably you may conclude that for 2 collection with identical expectation and variance, you might want the just one with beneficial skew or lower kurtosis, but maybe not based on the self confidence of the market see, etcetera.

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