5% Confidence Before conducting statistical tests, an analyst must select a confidence level that will be used to determine when to accept the null hypothesis.
A 5% confidence level indicates that one is not willing to accept the null hypothesis when the average net return calculated from the sample could have occurred in only five of 100 samples if the null hypothesis were true.
A ...
 See also: Floor broker, Hedge, Derivative, Deposit, Delta neutral
  
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