Machine Learning News & Topics for Quantitative Trading and Algorithmic Development

Machine Learning (ML) is the evolution of artificial intelligence where the computer (program) works with data to discover patterns (also called features) that can be used later to evaluate other data.  ML is typically broken down into three categories: supervised ML, unsupervised ML, and reinforcement learning.

CloudQuant does enable Machine Learning. To learn more check out “An Intro to Machine Learning with CloudQuant and Jupyter Notebooks” by Trevor Trinkino. This post and video cover one quantitative trader’s approach to supervised ML.


Stock Market, Quantitative Strategy, Trading, and Algo Development Industry News

Machine learning set to shake up equity hedge funds – Financial Times

AI seen becoming powerful enough to forecast market moves better than humans

Financial Times May 25, 2017 by: Lindsay Fortado and Robin Wigglesworth
Machine learning poses a threat to equity hedge funds within the next decade as the technique becomes powerful enough to forecast market moves better than humans, one of the earliest investors in the industry is forecasting. Jeff Tarrant, the founder of Protégé Partners, says that the model of hedge funds charging “2 and 20” — a 2 per cent management fee and 20 per cent performance fee — for investing in large-cap stocks rising and falling “doesn’t work any more” and is ripe for disruption. He pointed to the overhaul of other industries in the past decade at the hands of engineers and scientists. “Jeff Bezos picked off the bookstore business. Apple totally picked off the music business and Netflix totally changed television. Now [machine learning] is going to pick off the hedge funds.”
Read the full story on Financial Times