Buy Side

The investment and trading industry is commonly broken down into “Buy Side” and “Sell Side.”

The Buy Side is the industry participants who typically make up the investment and speculation firms. These include institutions such as proprietary traders, mutual funds, hedge funds, pension funds and insurance firms that tend to invest.

The Sell Side is the industry participants who typically provide brokerage or liquidity services. These include broker-dealers, Future Commission Merchants, exchanges, and other marketplaces.

CloudQuant and our parent Kershner Trading Group, as a family office fund and proprietary traders, is considered to be Buy Side.

Posts

Environmental, Social, & Governance (ESG) Short Term Trading

Short-term ESG data is showing some very interesting opportunities. Our recent whitepaper shows that 5-day and 20-day positions are profitable.

Spot checking the white paper shows the following simulated trades from last week.

The simulated trades were MOO on Monday, MOC on Friday.
ADBE 2019-12-14

$ADBE ESG Simulated Trading, 5 Day Hold

DE 2019-12-14

$DE ESG Simulated Trading, 5 Day Hold

 
FOX 2019-12-14

$FOX ESG Simulated Trading, 5 Day Hold

    Please note, this is not trading advice in any way. It is merely showing the potential of Environmental, Social, and Governance (ESG) data.  
News for Machine Learning and Algo Trading

Deep Dive With JLN: How Can The Financial Industry Draw In The Next Generation Of Talent?

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The former trading floors provided a sense of community. Electronic trading communities like CloudQuant provide a bright future for new traders.
Quantitative Strategy, Trading, and Algo Development Industry News

Quantitative Trading and Artificial Intelligence News Recap: September 11, 2017

Quantitative Trading and Data Science in the News August 28, 2017, covering crowdsourced quantitative investment, artificial intelligence and more
Quantitative Strategies and Capital for Trading

Quantitative Trading and Data Science in the News August 14 2017

Topics include: GeoLocation Alternative Data, robotic revolution, buy side, sell side, hot jobs, financial crime, …
Innovation in Trading

The next wave of broker innovation will be Crowdsourced algos

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Are Institutional Brokers Innovative?

Markets Media is reporting that “47% of buy-side firms, mostly those with modest levels of assets under management, did not think their brokers were doing anything innovative.” Andy Kershner, the CEO of CloudQuant’s parent company was interviewed.  He believes:

The next wave of broker innovation likely will be geared toward democratizing quantitative trading, according to Kershner Trading Group Founder and CEO Andy Kershner. That would vastly expand the universe of high-level quant traders globally, which Kershner roughly estimated stands at perhaps 5,000 today.

Andy Kershner, Kershner Trading

“It will be very similar to what you saw when you had access to the market open up in the mid-90s for day traders,” Kershner said. “You had lots of innovation, lots of people coming in with lots of ideas, and lots of software that really changed and knocked out all the market makers. Then high-frequency came along and killed all the specialists and also knocked out some of the day traders. I think now we’ll see a reversion.”

“You’ve got ‘big data’ out there everywhere that everybody talks about, but the moat is access to the data, access to capital, and access to some knowledge of what to do with it,” Kershner continued. “I think in the next three years if you do not have an auto- or quantitative-trading system that’s more than just APIs — you’ll need back-testing, forward-testing, live, the whole package — if you don’t have that for people to sign up for, your brokerage will be left behind.”

Read the full story on Markets Media

Andy Kershner, veteran trader discusses CloudQuant

Risk tolerance, daily habits and trade critiques with Andy Kershner

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Trading industry veteran Andy Kershner, the CEO of CloudQuant’s parent company Kersher Trading spoke with Chat With Traders about risk tolerance, daily habits and trade critiques. Andy has been an active stock trader since the early 90’s, and in 2001 he founded Kershner Trading Group—a proprietary trading and technology firm in Austin (Texas) and, through a partnership with SMB Capital, Kershner Trading have a second office in Midtown (Manhattan) too.

Topics of discussion:

  • Andy talks about his ability to take pain on trades moving against him, and whether or not day traders with a greater risk tolerance make more money.
  • Beyond good strategies; the daily habits which have contributed to Andy’s trading success. Plus, Andy critiques his trades from the session prior to recording.
  • Andy shares several types of strategies which have been working for him lately, how he “ladders” into favorable positions and a few tips for doing the same.
  • As someone who’s hired many new traders, Andy describes some of the typical errors made by traders just starting out and how they could be better prepared.
  The follow up interview with Morgan Slade is now available too at https://info.cloudquant.com/2017/06/crowd-research/
Quantitative Strategy, Trading, and Algo Development Industry News

Rise of Robots: Inside the World’s Fastest Growing Hedge Funds

Believe the hype. Quants have never been more popular. After doubling over the past decade, assets run by so-called systematic funds have hit a record $500 billion this year, according to estimates from Barclays Plc. In some ways, their meteoric rise is due to the same technological advances that are disrupting most industries. Faster computers and better data has enabled asset managers to automate skills that once were limited to market legends. The diversity of quant strategies, however, makes it hard to generalize about the group. Categories include factor investing, risk parity and managed futures — not to mention secretive black-box funds, like Renaissance Technologies LLC. Even fundamental traders now arm themselves with quantitative techniques, accounting for $55 billion of systematic assets, according to Barclays. Read the full article on Bloomberg