58: Ignore Investing's Mathematical Underpinnings at Your Peril

What's the optimum amount of money you should bet on a particular outcome? The answer is dictated by mathematics, yet plenty of people still go against the laws of numbers and probabilities when it comes to investing. This week, we speak with Victor Haghani, CEO of Elm Partners Management and the co-founder of the collapsed hedge fund Long-Term Capital Management, about the most important mathematical concepts for investing. We also discuss the pros and cons of quantitatively led finance.