Using artificial intelligence to replace investors' decision-making in some links can greatly reduce the influence of emotional fluctuation, enhance the consistency of investment and greatly improve the stability of investment. Compared with subjective traders, they often take "sense of disk", "experience" and "sixth sense" as their own ordering strategies. Quantitative trading emphasizes the importance of data. A set of strategies must be clear, first of all, it must be clear. The strategy is a complete closed loop, and there are clear conditions for opening, closing, taking profit and stopping loss, otherwise the computer can't identify it.
Such benefits are also obvious, which will make our transactions clear and systematic. On this basis, we can improve and improve, we can build a portfolio, trade different targets, use different strategies, and do not affect each other. We can conduct systematic transactions through strategy and fund management, instead of staying in the stage of building illusory and unverifiable strategies. The trading system plays the role of "constitution", not specific laws, and the remaining details are handled by traders based on their own experience to fine-tune the parameters in quantitative trading. Quantitative trading can also be understood as the application of artificial intelligence and data analysis in the financial field.
The difference between quantitative trading and ordinary trading is similar to that between western medicine and Chinese medicine. Ordinary trading is Chinese medicine. After reading, listening, asking, and cutting, a prescription is prescribed according to personal experience and subjective feelings. Quantitative trading is a kind of western medicine, which requires laboratory tests, filming and prescription after obtaining a large number of objective data. Although they are all treating diseases, the basis is completely different. Before quantifying trading operations, the model will be used to conduct a comprehensive investigation and scanning of the whole market, and then investment decisions will be made according to the results of the investigation and scanning.
The purpose of using quantitative stock trading is to guide trading with clear indicators and rules. In the actual use process, the quantitative strategy can be divorced from human judgment, with faster execution speed and higher operation efficiency. Regardless of whether or not procedural execution means are adopted, quantitative trading strategy can reduce people's burden in actual trading, which also reduces a lot of repetitive work. Earlier, the investment market was dominated by traders themselves, who bought and sold according to market trends. However, people's energy is limited after all. With the development of financial market, there are more and more stocks, so it is difficult for traders to analyze and mark the market themselves. Later, investment bankers thought of using computer big data analysis for financial operations. As long as we set corresponding rules, write corresponding programs and rely on the powerful data processing ability of computers, we can easily carry out market operations.
With the continuous progress of science today, more and more advanced technologies have been created and applied in various occasions. By combining the knowledge of many different disciplines and corresponding mathematical models, quantitative trading strategy is easier to find some hidden and complex data laws, which are often not easily perceived by subjective traders. With the rapid development of big data, artificial intelligence and other technologies, financial investment is gradually shifting from people-oriented to technology-oriented. How to better combine people and technology in the investment process has become the key to future investment. In this context, a large number of domestic fund companies pay more and more attention to quantitative investment, especially in the process of gradual tightening of supervision and gradual improvement of market effectiveness, quantitative trading has broad room for growth.
? Author: WeChat official account quantitative transactions.