One thing quants are good for, is mining for pairs relationship ship to do pairs trading, only reason why they fail is because they are rigid.
Because they only have plan A, no plan B for when it stops working.
What it can be used is for the strategy layer, not at a tactical level.
Basically whatever fti said about being rigid is where quants fall, the basic underlying strategy has some sound edge to work with, but when it tears up that's when you need to stop following it, that's where the trick lies.
Because they only have plan A, no plan B for when it stops working.
What it can be used is for the strategy layer, not at a tactical level.
Basically whatever fti said about being rigid is where quants fall, the basic underlying strategy has some sound edge to work with, but when it tears up that's when you need to stop following it, that's where the trick lies.