Adam Barry
The financing of international trade. Trade finance includes such activities as lending, issuing letters of credit, factoring, export credit and insurance. Companies included in trade finance include importers and exporters, banks and financiers, insurers and export credit agencies, as well as other service providers. Trade finance is of vital importance to the international economy, with all the World Trade Organization estimating that 80 to 90% of worldwide trade is reliant on this process of financing.
Now for those of you who know me as a blogger might find this post a little unorthodox to my traditional style of writing, however in the spirit of evolution, inspired by a friend of mine Stuart Reid (TuringFinance.com), I will be following some of the tips suggested in the following blog post.
Algorithmic trading is machines trading automatically without human intervention, where the trading decisions are derived from the sophisticated mathematical models running in the backend. In developed markets of the USA, the UK, and Europe, algorithmic trading is quite popular amongst the retail players. The market share of algorithmic trading is about 70% of total trades including a high percentage of retail trading.
All over the world, certain laws and rules have been executed, intending to de-motivate activities that can be harmful for financial markets. A debate has been going on the question whether the changes may turn out to be detrimental for the market in itself or not. It has been argued that certain regulations made for HFT activities may not bring benefits for the market. Experts say that at one place are the high-frequency traders who act like market makers and have information that is order-flow driven, and at another place there are traders who have no sensitivity towards the latency and randomly come out like Poisson processes
A common point I have read around in response to blogs on everything about the quant world is that what subject is the best to get a degree in if one wants a career as a quant. Well, it is quite diverse and spread out field which includes a wide range of areas. So even if you graduate in one subject, you still will need at least a basic knowledge of the other areas. This article discusses subjects that can lead you to a flourishing career as a quant.
We have a large number of vendor-developed backtesting platforms available in market which can be very efficient in backtesting automated strategies; but to decide which once will suit your requirements, needs some research. Ideally custom development of a backtesting environment within a first-class programming language provides the most flexibility and third party platforms might make a number of assumptions.
