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.

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

The decisions we make in life often come down to Bayes’ Theorem, but most of us don’t even realise what it is. So how does it work?