MODEL DEVELOPMENT

DEVELOPMENT

The core objective of eminiWorld.com team’s quantitative research is to develop investment models that are robust in changing market environments. Our team of research professionals is responsible for formulating, evaluating and implementing trading ideas.

eminiWorld.com researchers are responsible for identifying and evaluating trading strategies that have the potential to generate absolute returns within the framework of a quantitative and systematic methodology.

All trading strategies are evaluated and approved by the eminiWorld.com team, which is comprised of professionals with years of experience in systematic trading.

THE TEAM:

1. Approves the global markets to be included in the trading system portfolio;

2. Monitors liquidity, execution costs, trading depth and exchange structure;

3. Establishes the framework within which each project will be conducted, including;

    • the objective of the project, along with metrics for determining success/failure
    • the robustness of the testing including the types of stress- and parameter sensitivity-testing to perform
    • the quality of data available for the project
    • the infrastructure required to ensure accurate implementation
    • the structure of day-to-day monitoring after implementation

4. Agrees on the funding of proprietary accounts to test the validity of new strategies.

Our approach is quantitative and systematic. All projects must be adaptive to formal computerized modeling. These formal models control all aspects of trading including the directional positions in each market, the risk exposure in each position and the risk allocations within the overall portfolio.

Benefits include:

  • Trading strategies must be quantitatively expressed, forcing careful thought about the precise nature of the characteristics the strategy is designed to capture;
  • No trading strategy is dependent on any single “key” person;
  • Disciplined adherence to well-researched strategies is inherent in this process and ensures objectivity;
  • The “success” of a trading strategy can be concretely measured.

This process requires:

  • Capturing, storing and analyzing large quantities of data in real time;
  • Redundant data feeds from multiple sources to be analyzed and reviewed by research support staff to ensure accuracy;
  • That the technological infrastructure must be fault-tolerant by maintaining real time, hot-remote computer systems that can take over in the event of failure in the primary systems.

Institutions, hedge funds, CTAs, proprietary trading groups and professional traders all have different needs.

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