This demo describes how to read an external data file and then make a couple of linear regression models for prediction in R. In data analysis, a data set from random experiments is to be prepared, which is usually of the form of external source files. Loading the data set on your workspace, a model that explains data generating process (that can be considered close to the truth) is suggested. Since the purpose of our model is forecasting, finally, a best model is to be used to create future values.
This demo is the new version of the min vol demo. major change is adding plots that compare the daily and cumulative returns of S&P 500 and min vol ETF, and discussing low vol anomaly.