AlgorithmicTrading

lersmethasakul@live.com

QuantitativeFinance

The varieties of different kinds of quant.

Quants come in three basic varieties.

1. Structurers: people who price complex financial instruments.

There are going to be quant jobs which don’t fit exactly into these categories, there is a lot of overlap between traders and risk managers

The varieties of different kinds of quant.

Quants come in three basic varieties.

2. Risk managers: people who manage portfolio risk.

There are going to be quant jobs which don’t fit exactly into these categories, there is a lot of overlap between traders and risk managers

The varieties of different kinds of quant.

Quants come in three basic varieties.

3. Quant traders: people who use statistics to make money by buying and selling.

There are going to be quant jobs which don’t fit exactly into these categories, there is a lot of overlap between traders and risk managers

Successful quant traders don’t like to talk about what they do.

Structurers and risk managers have to talk about what they do.

To make money as a trader, assuming your motivation is to make a profit, you need to buy low and sell high.

1. Liquidity peddlersMarket makers earn the spread.

Trading Strategies / Type of trader

2. ArbitrageursEarn a different kind of spread.

Trading Strategies / Type of trader

3. Statistical arbitrageursHybrid of liquidity peddlers and arbitrageurs.

Trading Strategies / Type of trader

4. Fundamentals tradersThe electrical version of Warren Buffet.

Trading Strategies / Type of trader

5. HedgersTrading as a form of insurance.

Trading Strategies / Type of trader

6. Noise traders

Trading Strategies / Type of trader

High-Frequency Trading (HFT)Speed is important in all kinds of trades.

ALGO TRADING DEVELOPMENT FRAMEWORK(HTTP://WWW.QUANTHOUSE.COM/ALGO-TRADING)

Algorithmic Trading System Architecture(http://www.stuartreid.co.za/algorithmic-trading-system-architecture-post)

OpenQuant is an Automated Trading System (ATS) Development Platform designed around the well known SmartQuantFinancial Data Analysis and Trading Framework.(http://www.smartquant.com/openquant.html)