61–70 of 111 posts
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I recall reading an early article about using genetic algorithms for stock trading in the early 90's. This isn't really that new....
One of my school mates did it in mid-90s and he got his first yacht five years later. It worked for a while.
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After a certain number of reviews, Glassdoor becomes a more honest reflection of a company's actual state than anything else. It's certainly more truthful that marketing fluff pieces like this.
Absolutely. It's a great resource, I have used it regularly since it launched. People still make up fiction and post it on there all. the. time. Keep that in mind.
I just checked out glassdoor, and it seems like they don't know what their product should be since top execs don't want to agree on anything. > We have too many executives for a company this size - most don't add much value except for fighting with each other and politicizing issues. The CEO lives in HongKong and remotely manages this crew of distrusting, non-supportive and close-minded execs. The HR function is prac…
Which is really odd, since if they had any idea of what they were doing, they wouldn't need to sell. Trading is among one of the few industries out there where you don't need to have anything like a customer. What you do is make money, and if you're making money, well, you don't need to ask anybody else for money. This tells me that its a bunch of executives who either don't know anything about trading and/or don't h…
You can usually make a lot more money with Other People's Money than with in-house money.
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> Source: Have worked in HFT the past 10 years. This is not about High Frequency Trading, but about machine learning applied to the stock market.
Which every single HFT firm that isn't a pure market maker (such as Virtu Financial, my previous employer) does already and has done for years. That is my point. Here's a great example of Citadel talking about how they use Hashicorp nomad to spin up 100,000 cpu research jobs on AWS. What do you think their 100k cpu jobs are doing? Machine learning and quantative analysis, what else? https://www.youtube.com/watch?v=MR…
This is not about exploiting a privileged access to market conditions (as in the sub millisecond access HFT firms have) in order to gain an advantage.
This is about using machine learning to predict future (as in hours/days) moves on the market and take advantage of them.
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>" Trading is among one of the few industries out there where you don't need to have anything like a customer." Trading yes but a hedge fund or any fund really implies customers no?
Hedge funds have customers because the majority of them don't beat the market in the long run. If a hedge fund is consistently highly profitable, they stop taking customers. For example, see RenTec's Medallion Fund, which is only open to its own employees.
That said, the track record for Bay Area hedge funds trying to do things "the Silicon Valley way" without experienced founders (experienced in trading) is pretty grim. The ones who succeeded had a track record of doing it before.
Huh, hasn't wallstreet being doing this, and even putting these things into FPGA's for nearly a decade now? Hell I wouldn't be surprised if they're printing ASICs with their algos.
Surely - but 'AI' is new. Surely 'Deep Learning' is something at least they are not doing widely, because it's difficult to pull off. That said, anyone actually doing it would be smart enough to shut the hell up about it. Finally - one might argue that the big money is all made in 'soft insider' information anyhow, and that with so much tech, analysts already there ... there's just no way to win without clear leverag…
I don't know how true that is, he's a washed up piece of shit that wall street chewed out but has the eyes and ears of gordon gekko wanna be finance grads.
but I'm writing this because this is like the 3rd time I've heard this. Just throwing it up there if "soft insider" information is what they were referring to.
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>" Trading is among one of the few industries out there where you don't need to have anything like a customer." Trading yes but a hedge fund or any fund really implies customers no?
Hedge funds have customers because the majority of them don't beat the market in the long run. If a hedge fund is consistently highly profitable, they stop taking customers. For example, see RenTec's Medallion Fund, which is only open to its own employees.
Interesting do you have any data to look at regarding that? How do they justify their 2 and 20 then?
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It isn't beating the market, it is literally "making the market": https://en.wikipedia.org/wiki/Market_maker
Arguable whether or not HFT increases liquidity in the market.
The problem with algorithmic trading is that markets are complex systems. As an algorithm is adopted, it changes the dynamics of the market, and the result the assumptions it was based on tend to no longer hold. Note that humans trade via implicit algorithms, which is part of the reason why consistently outperforming the market is highly unlikely. In my opinion, the whole idea of investing to try and maximize profits…
The Western world is capitalist, not a Platonic ideal. Even if you strongly feel that people should have different reasons to invest, you will not be able to sway them (unless you can show that your alternative makes them even more money).
If you claim that long-term outperforming of the market is highly unlikely, you contribute outperforming to short-time flukes: The stock market is essentially unpredictable or in perfect equilibrium.
Unpredictability implies all these hedge funds would do better consulting random number generators, instead of well-paid quants.
Equilibrium implies the current market is operating at maximum efficiency, yet one currently makes money by exploiting non-equilibrium and erroneous evaluations.
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Which every single HFT firm that isn't a pure market maker (such as Virtu Financial, my previous employer) does already and has done for years. That is my point. Here's a great example of Citadel talking about how they use Hashicorp nomad to spin up 100,000 cpu research jobs on AWS. What do you think their 100k cpu jobs are doing? Machine learning and quantative analysis, what else? https://www.youtube.com/watch?v=MR…
I think you are willingly failing to understand what is being said by me and more people on the comments. This is not about exploiting a privileged access to market conditions (as in the sub millisecond access HFT firms have) in order to gain an advantage. This is about using machine learning to predict future (as in hours/days) moves on the market and take advantage of them.
Speed is nice, but smarts are better. "Machine Learning" is the new buzzword for a way to mathematically deducing future outcomes based on data science and quantitative analysis. That is a grotesque simplifications and there are specific ways of approaching this (Tensorflow/Keras from Google, Torch from Facebook, etc). This could be nanoseconds in the futures, it could be hours, or even weeks / months. And this is the part you're failing to understand by trying to assume (incorrectly) that all HFT is made up of is bid sniping and latency arbitrage (often referred to as front running). It isn't really that privileged access if you yourself can pay any exchange, such as NYSE, for a feed to your house.
TL;DNR: Your understanding of electronic / HFT trading is wrong. If you try to understand it first, you'll realize your statements bear absolutely no basis whatsoever in facts. Facts are that Electronic Trading firms have been using machine learning literally since the invention of machine learning and quantitative analysis to make money. A new firm trying to do this can simply join the club.