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Showing posts from March, 2021

The Difference Between Algorithmic and Quantitative Trading that is a Must-Know!

Quantitative trading is a market strategy that heavily relies on statistical and mathematical models to identify and execute opportunities in the stock market. These models are driven by quantitative analysis, which gives the strategy its name- Quantitative Trading. In other terms, people also tend to refer to them as ‘quant trading’, or sometimes 'quant'. Quantitative Trading uses analysis based on research and measurement to convert complex patterns of trade into numerical values. This ignores qualitative analysis, which will evaluate the opportunities based on subjective factors like management expertise or brand strength. Quant trading demands a lot of computational power; traditionally, the usage is limited to large institutional investors and hedge funds.  The past few years have seen the advent of new technology that has enabled increasing numbers of individual traders to get involved in quantitative trading. Working Model of Quantitative Trading? Quantitative tr