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Independent · out-of-sample · method-only
SAMPLE
Subject: DEMO, monthly demand forecast Model: monthly demand forecast Generated: in your browser, nothing uploaded
The one question this report answers: does your forecast actually beat a fair naive benchmark, out-of-sample? Scored against the toughest of three naive baselines (persistence, climatology, and a seasonal naive when the data is seasonal) using standard published scoring rules.

Result

Periods scored (out-of-sample)24
Benchmark (toughest naive)random-walk (persistence)
Your forecast error (MAE)9.817
Naive-benchmark error (MAE)6.983
Forecast Value Added vs naive−40.6%
MASE (<1 beats naive)1.406
Beat-the-naive rate33% of periods
Bias (mean over/under)−0.925
FAIL This forecast does not beat the naive benchmark. The simple baseline is as good or better, out-of-sample.
How to read it: a higher-effort forecast that loses to a naive baseline is adding cost without adding accuracy. The honest move is to ship the naive baseline (or fix the model) until it can clear the bar. A FAIL is a valid, valuable finding, often the most valuable one.
Scope & disclaimer. Independent, method-only statistical analysis of data you provided, for your internal use. Standard, published scoring rules (FVA, MASE, calibration), applied out-of-sample against a demanding naive benchmark. This reports whether an edge is real; it does not provide, promise, or imply one. It is not an audit, assurance, actuarial or expert opinion, not financial, investment, or trading advice, and not intended for third-party reliance. Indicative only. McLaughlin Capital Investments LLC is not a registered investment adviser, broker-dealer, or CTA. © McLaughlin Capital Investments LLC · alphaedgetest.com