Mark the advantage: The notion that power law returns encompass performance is an oversimplification; it is conditional, not decisive, and can be completely eclipsed by specific market regulatory constraints.
Alpha does not come solely from understanding pure statistical distributions but from navigating regulatory realities.
For example, in mainland China, policies of the CSRC or capital controls can restrict the achievement of high returns, regardless of initial decision quality.
The market is guided by political signals, meaning that returns are less a matter of pure statistical distribution than of alignment with the state's direction.
You cannot lap your competitors if the rules of the game constantly change based on national priorities.