Factor Modeling, Portfolio Construction, Python, Log Returns, Finance.
validation using statistical tests or out-of-sample testing # Split data into training and testing sets train_data = self.log_returns.iloc[:int(0.8 * len(self.log_returns))] test_data = self.log_returns.iloc[int(0.8 * len(self.log_returns)):] # Train the factor model on training data train_factors