What is 'Quantitative Analysis'
Quantitative analysis refers to economic, business or financial analysis that aims to understand or predict behavior or events through the use of mathematical measurements and calculations, statistical modeling and research. Quantitative analysts aim to represent a given reality in terms of a numerical value. Quantitative analysis is employed for a number of reasons, including measurement, performance evaluation or valuation of a financial instrument, and predicting real world events such as changes in a country's gross domestic product (GDP) growth rate.
BREAKING DOWN 'Quantitative Analysis'
In general terms, quantitative analysis can best be understood as simply a way of measuring or evaluating things through the examination of mathematical values of variables. The primary advantage of quantitative analysis is that it involves studying precise, definitive values that can easily be compared with each other, such as a company's yearoveryear revenues or earnings. In the financial world, analysts who rely strictly on quantitative analysis are frequently referred to as "quants" or "quant jockeys."Governments rely on quantitative analysis to make monetary and other economic policy decisions. Governments and central banks commonly track and evaluate statistical data such as GDP and employment figures.
Common uses of quantitative analysis in investing include the calculation and evaluation of key financial ratios such as the priceearnings ratio (P/E) or earnings per share (EPS). Quantitative analysis ranges from examination of simple statistical data such as revenue, to complex calculations such as discounted cash flow or option pricing.
Quantitative Vs. Qualitative Analysis
While quantitative analysis serves as a very useful evaluation tool by itself, it is often combined with the complementary research and evaluation tool of qualitative analysis. For example, it is easy for a company to use quantitative analysis to evaluate figures such as sales revenue, profit margins or return on assets (ROA), but the company may also wish to evaluate information that is not easily reducible to mathematical values, such as its brand reputation or internal employee morale.
In a combined qualitative and quantitative analysis project, a company, analyst or investor might wish to evaluate the strength of a particular product that a company manufactures and sells. The qualitative analysis part of the project can be undertaken using tools such as customer surveys that ask consumers for their opinions about the product. A quantitative analysis of the product can also be initiated through the examination of data regarding numbers of repeat customers, customer complaints and the number of warranty claims over a given period of time.

Quantitative Trading
Trading strategies based on quantitative analysis which rely ... 
Qualitative Analysis
Securities analysis that uses subjective judgment based on nonquantifiable ... 
Quant Fund
An investment fund that selects securities based on quantitative ... 
Fundamental Analysis
A method of evaluating a security that entails attempting to ... 
Quantitative Easing
An unconventional monetary policy in which a central bank purchases ... 
Stock Analysis
Stock analysis is a term that refers to the evaluation of a particular ...

Investing
What is Quantitative Analysis?
Quantitative analysis refers to the use of mathematical computations to analyze markets and investments. 
Personal Finance
Quantitative Analyst: Job Description & Average Salary
Learn the different job duties of a quantitative analyst and how much money an analyst makes; understand the skills needed to be successful at this career. 
Personal Finance
Quantitative Analyst: Career Path & Qualifications
Learn about the work that quantitative financial analysts do everyday, and determine what it takes to become a successful professional in the field. 
Investing
A Simple Overview Of Quantitative Analysis
The “quantitative” approach to investing seeks to pay attention to the numbers instead of the intangibles. 
Investing
Understanding Qualitative Analysis
Qualitative analysis is a general term describing the nonmathematical scrutiny used by investors and managers to make investment and business decisions. 
Investing
How Quantitative Easing Affects the Labor Market
The Federal Reserve used quantitative easing to aid economic growth. QE has impacted many areas, including the labor market, but are the effects good? 
Investing
Quantitative Easing: Does It Work?
This controversial monetary policy has been used by some of the world's most powerful economies. But does it work? 
Insurance
How An IPO Is Valued
The process of determining a company’s initial share price includes quantitative and qualitative components. 
Personal Finance
Quants: The Rocket Scientists Of Wall Street
Blend math, finance and computer skills to command a high  and well deserved  salary. 
Personal Finance
Common Interview Questions for Quantitative Analysts
Identify the common questions asked in quantitative analyst interviews, and come up with winning responses to impress your interviewer.

Is it better to use fundamental analysis, technical analysis or quantitative analysis ...
Understand the difference between fundamental, technical and quantitative analysis, and how each measurement helps investors ... Read Answer >> 
How legitimate are companies that advertise debt consolidation for all my credit ...
Learn about how fundamental analysis ratios can be combined with quantitative stock screening methods and how technical indicators ... Read Answer >> 
How do I take qualitative factors into consideration when using fundamental analysis?
Fundamental analysis is the method of analyzing companies based on factors that affect their intrinsic value. There are two ... Read Answer >> 
What information should I look at on a publicly traded company for use in fundamental ...
Learn what information is important in fundamental analysis of a publicly traded company and how to use it to assess the ... Read Answer >> 
In what instances is quantitative easing used?
Discover when, how and why the Federal Reserve and other central banks turn to quantitative easing to stimulate economic ... Read Answer >> 
When the Federal Reserve Bank engaged in Quantitative Easing, did it add to M1?
Learn how quantitative easing affects the money supply and what banks do when quantitative easing is in effect. Find out ... Read Answer >>