Bayes' theorem is a formula for calculating the probability of an event. Learn how to calculate Bayes' theorem and see examples.

Bayes' Theorem has applications in just about every corner of the investing world. It’s not only used to predict the probability of stock price movements.

Using the entire data set, empirical Bayes can provide an estimate for the probability of a given outcome within the set. As Efron wrote, Bayes' theorem is "controversial," but not because the ...