Glossary
- AggregatorAggregator is a system used to aggregate liquidity from several liquidity providers. Retail aggregators packet small retail trades into larger trades that can be handled conveniently by banks. Some retail aggrega
- AI-Driven Portfolio Optimisation vs Traditional MethodsIn this post, we will discuss the cutting-edge world of portfolio optimization, and the star of the show is none other than Artificial Intelligence. Moving past the traditional approaches, there's a whole new world o
- AlgorithmAn algorithm is a sequence of unambiguous instructions to obtain a required output for any legitimate input within a finite amount of time. Algorithms have a defined beginning where the input data is processed using a de
- Algorithmic tradingAlgorithmic trading, also known as black-box trading in some cases, or simply algo trading, is the process of placing orders in the market based on a certain trading logic via online trading terminals, which execute the
- Algorithmic Trading PlatformA trading platform is a software where there is live streaming of market prices of various financial products. The traders can open or close trading positions as per the requirements on the algorithmic trading platform.
- All-Or-None OrderAn AON order is an order to buy or sell a stock with instructions that the order can be executed completely or not at all. However, unlike the FOK orders, AON orders are those that need not be necessarily executed immedi
- AlphaAlpha is the measure of an investment’s performance compared to a certain benchmark. The excess return of the portfolio over the benchmark index is the portfolio’s alpha. If alpha is positive the investment h
- Alternative HypothesisAn alternative hypothesis is contrary to the null hypothesis, usually that the observations are the result of a real effect. Alternative hypothesis is the hypothesis that we actually test for in the hypothesis testi
- Alternative InvestmentAn alternative investment is an investment in an asset that is not conventional. Examples of conventional investments are bonds, cash, and shares. Alternative investments may include real estate, private equity, hedge fu
- American OptionAn American option is an option contract that can be exercised anytime on or before its actual expiration date. It is relatively more valuable than its European counterpart as the contract offers flexibility, as it can b
- ArbitrageArbitrage is the process of simultaneously transacting in multiple financial securities to make a profit from the difference in prices. This can be done in various ways such as the purchase and sale of same securities in
- ArbitrageurArbitrageur is an investor who attempts to make a profit from price inefficiencies in similar financial instruments. In simple words, Arbitrageur is an individual or an organization who engages in arbitrage. Spottin
- ARIMAIntroduction In this topic, you are going to learn how to forecast time-series using the ARIMA model. The results of the forecast (prediction in red vs actual in blue) using ARIMA model is shown below: As you
- Artificial IntelligenceIt is the science and engineering of making intelligent machines, especially intelligent computer programs to calculate, reason, learn from experience, adapt to new situations and solve complex problems. Artificial Intel
- Artificial Neural NetworkArtificial Neural Network is an information processing paradigm which is used to study the behaviour of a complex system by computer simulation. It is inspired by the biological way of processing information by the human
- Asian OptionAn Asian option is an exotic option and is also called average-price option or average option. In Asian option, option payoff is dependent on the average price of the underlying asset, over a prespecified period, during
- Ask PriceAsk price or offer price is the price that a seller is willing to accept to sell a security.
- Ask sizeAsk size is the number of shares that are being offered to sell at the ask price. Example If the ask in the market is $20*3000, this means the seller is willing to sell 3000 shares i.e ask size at a price of $20
- At-The-Money OptionA call or put option is said to be at-the-money when the strike price is equal to the current price of the underlying asset (i.e. spot price = strike price). An at-the-money option has no intrinsic value but it may have
- Augmented Dickey Fuller TestAugmented Dickey Fuller test is the augmented version of dickey fuller test. The Augmented Dickey Fuller Test (ADF) is a unit root test for checking stationarity. The hypotheses for the test: The null hypot
- Automated TradingAutomated trading refers to the complete automation of the trading process, which involves automation of decision making, order creation, order submission and order execution. It also includes quantitative modeling, risk
- Automated Trading on Alpaca: Step-by-Step GuideYou can do paper/ live trading in Alpaca using Blueshift. Blueshift is a backtesting and live trading platform with institutional class infrastructure wherein you can code your strategy in Python and deploy it in live ma
- Automated Trading using MT5 and PythonPython and MT5 are great tools for automating your trading strategies. Python has powerful libraries for analysing data and developing trading strategies, while MT5 supports automated trading with Expert Advisors and oth
- Autoregression (AR)Autoregression is a time series model used in statistical analysis, which uses past observations as input to predict future values. An AR(p) model is an autoregressive model where specific lagged values of yt ar
- Average Daily Traded Volume (ADTV)Average daily traded volume is the average number of individual shares traded in a day over a specified period of time. When the average daily trading volume of a security is high, it is traded more actively and typicall
