Faced with the heightened economic uncertainty created by the current US administration, your boss wants the team to investigate the past performance of several defensive investment factors, with the goal of developing a new product designed to appeal to potential investors during these turbulent times. Naturally, as the most junior analyst on the team, you have been assigned the bulk of the groundwork for this new project. Your report will have the following components: A statistical analysis of the predictive power of three investment factors (based on a quantile analysis). An analysis of how different macroeconomic environments have affected the predictive power of each strategy in the past. A presentation of the results of backtesting a long-only investment strategy for each of the three factors over the 1990–2023 period. Optimization of these strategies based on the rebalancing frequency. A proposal on how to optimally combine the three factors into a single factor [Black Belt]. Exploration of a Machine Learning approach using these three factors. Requirements The deliverables for this assignment are: A Jupyter Notebook with your code; A PDF file with a short written report. The report should be no longer than 30 pages, but my suggestion is to aim at around 10 pages of “main text” including tables and pictures. You can also add an appendix if you want to add more tables, etc. Please be sure that all the necessary information is in the main body of the report. Also, if you reference work outside of the subject slides/Notebooks then please make sure you use the appropriate referencing of your sources. Assignment Files: Assignment Text: 25579 Assignment SPR2025.pdfDownload 25579 Assignment SPR2025.pdf Investment Factors: FACTORS.zipDownload FACTORS.zip Other Files: Prices.zipDownload Prices.zip Market_cap.zipDownload Market_cap.zip names.zipDownload names.zip Inflation.csv