Topic: OOS in Studio
I know there's a difference in how the Studio calculates OOS vs FSB but I've noticed a variation I was curious about. In FSB if I run everything with 40% oos what generally happens is 90% of the strategies have a solid equity curve for the 60% of the curve the strategies were optimized for and then goes off a cliff for the remaining 40% that it wasn't. That's expected as most strategies are overoptimized and you're looking for a few gems that can stand on their own.
In studio when I run with 40% OOS I'm not seeing that cliff in most strategies when the equity curve hits the part of the data range the strategy wasn't optimized for. Is the selection algorithm pre pruning out the bad overoptimized curves or is something else going on?