Ernest P. Chan - Böcker

Dive into algo trading with step-by-step tutorials and expert insight Machine Trading is a practical guide to building your algorithmic trading business. Written by a recognized trader with major institution expertise, this book provides step-by-step instruction on quantitative trading and the latest technologies available even outside the Wall Street sphere. You'll discover the latest platforms that are becoming increasingly easy to use, gain access to new markets, and learn new quantitative strategies that are applicable to stocks, options, futures, currencies, and even bitcoins. The companion website provides downloadable software codes, and you'll learn to design your own proprietary tools using MATLAB. The author's experiences provide deep insight into both the business and human side of systematic trading and money management, and his evolution from proprietary trader to fund manager contains valuable lessons for investors at any level. Algorithmic trading is booming, and the theories, tools, technologies, and the markets themselves are evolving at a rapid pace. This book gets you up to speed, and walks you through the process of developing your own proprietary trading operation using the latest tools. Utilize the newer, easier algorithmic trading platformsAccess markets previously unavailable to systematic tradersAdopt new strategies for a variety of instrumentsGain expert perspective into the human side of tradingThe strength of algorithmic trading is its versatility. It can be used in any strategy, including market-making, inter-market spreading, arbitrage, or pure speculation; decision-making and implementation can be augmented at any stage, or may operate completely automatically. Traders looking to step up their strategy need look no further than Machine Trading for clear instruction and expert solutions.

Master the lucrative discipline of quantitative trading with this insightful handbook from a master in the fieldIn the newly revised Second Edition of Quantitative Trading: How to Build Your Own Algorithmic Trading Business, quant trading expert Dr. Ernest P. Chan shows you how to apply both time-tested and novel quantitative trading strategies to develop or improve your own trading firm.You'll discover new case studies and updated information on the application of cutting-edge machine learning investment techniques, as well as: Updated back tests on a variety of trading strategies, with included Python and R code examplesA new technique on optimizing parameters with changing market regimes using machine learning.A guide to selecting the best traders and advisors to manage your moneyPerfect for independent retail traders seeking to start their own quantitative trading business, or investors looking to invest in such traders, this new edition of Quantitative Trading will also earn a place in the libraries of individual investors interested in exploring a career at a major financial institution.

Expert guide on using AI to supercharge traders' productivity, optimize portfolios, and suggest new trading strategies Generative AI for Trading and Asset Management is an essential guide to understand how generative AI has emerged as a transformative force in the realm of asset management, particularly in the context of trading, due to its ability to analyze vast datasets, identify intricate patterns, and suggest complex trading strategies. Practically, this book explains how to utilize various types of AI: unsupervised learning, supervised learning, reinforcement learning, and large language models to suggest new trading strategies, manage risks, optimize trading strategies and portfolios, and generally improve the productivity of algorithmic and discretionary traders alike. These techniques converge into an algorithm to trade on the Federal Reserve chair's press conferences in real time. Written by Hamlet Medina, chief data scientist Criteo, and Ernie Chan, founder of QTS Capital Management and Predictnow.ai, this book explores topics including: How large language models and other machine learning techniques can improve productivity of algorithmic and discretionary traders from ideation, signal generations, backtesting, risk management, to portfolio optimizationThe pros and cons of tree-based models vs neural networks as they relate to financial applications. How regularization techniques can enhance out of sample performanceComprehensive exploration of the main families of explicit and implicit generative models for modeling high-dimensional data, including their advantages and limitations in model representation and training, sampling quality and speed, and representation learning.Techniques for combining and utilizing generative models to address data scarcity and enhance data augmentation for training ML models in financial applications like market simulations, sentiment analysis, risk management, and more.Application of generative AI models for processing fundamental data to develop trading signals.Exploration of efficient methods for deploying large models into production, highlighting techniques and strategies to enhance inference efficiency, such as model pruning, quantization, and knowledge distillation.Using existing LLMs to translate Federal Reserve Chair's speeches to text and generate trading signals.Generative AI for Trading and Asset Management earns a well-deserved spot on the bookshelves of all asset managers seeking to harness the ever-changing landscape of AI technologies to navigate financial markets.

Master the art of AI-driven algorithmic trading strategies through hands-on examples, in-depth insights, and step-by-step guidanceHands-On AI Trading with Python, QuantConnect, and AWS explores real-world applications of AI technologies in algorithmic trading. It provides practical examples with complete code, allowing readers to understand and expand their AI toolbelt.Unlike other books, this one focuses on designing actual trading strategies rather than setting up backtesting infrastructure. It utilizes QuantConnect, providing access to key market data from Algoseek and others. Examples are available on the book's GitHub repository, written in Python, and include performance tearsheets or research Jupyter notebooks.The book starts with an overview of financial trading and QuantConnect's platform, organized by AI technology used: Examples include constructing portfolios with regression models, predicting dividend yields, and safeguarding against market volatility using machine learning packages like SKLearn and MLFinLab.Use principal component analysis to reduce model features, identify pairs for trading, and run statistical arbitrage with packages like LightGBM.Predict market volatility regimes and allocate funds accordingly.Predict daily returns of tech stocks using classifiers.Forecast Forex pairs' future prices using Support Vector Machines and wavelets.Predict trading day momentum or reversion risk using TensorFlow and temporal CNNs.Apply large language models (LLMs) for stock research analysis, including prompt engineering and building RAG applications.Perform sentiment analysis on real-time news feeds and train time-series forecasting models for portfolio optimization.Better Hedging by Reinforcement Learning and AI: Implement reinforcement learning models for hedging options and derivatives with PyTorch.AI for Risk Management and Optimization: Use corrective AI and conditional portfolio optimization techniques for risk management and capital allocation.Written by domain experts, including Jiri Pik, Ernest Chan, Philip Sun, Vivek Singh, and Jared Broad, this book is essential for hedge fund professionals, traders, asset managers, and finance students. Integrate AI into your next algorithmic trading strategy with Hands-On AI Trading with Python, QuantConnect, and AWS.