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Investments glossary

Subjective Probability


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Quotes of the day:

Let me tell you something that we Israelis have against Moses. He took us 40 years through the desert in order to bring us to the one spot in the Middle East that has no oil

— Golda Meir

Subjective probability is a type of probability derived from an individual’s personal judgment or own experience about whether a specific outcome is likely to occur. It contains no formal calculations and only reflects the subject’s opinions and past experience. An example of subjective probability is a gut instinct when making a trade.

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