Algorithmic And High-frequency Trading

E-Book Overview

The design of trading algorithms requires sophisticated mathematical models backed up by reliable data. In this textbook, the authors develop models for algorithmic trading in contexts such as executing large orders, market making, targeting VWAP and other schedules, trading pairs or collection of assets, and executing in dark pools. These models are grounded on how the exchanges work, whether the algorithm is trading with better informed traders (adverse selection), and the type of information available to market participants at both ultra-high and low frequency. Algorithmic and High-Frequency Trading is the first book that combines sophisticated mathematical modelling, empirical facts and financial economics, taking the reader from basic ideas to cutting-edge research and practice. If you need to understand how modern electronic markets operate, what information provides a trading edge, and how other market participants may affect the profitability of the algorithms, then this is the book for you.

E-Book Information

  • Series: Mathematics, Finance and Risk

  • Year: 2,015

  • Edition: 1

  • Pages: 356

  • Pages In File: 360

  • Language: English

  • Topic: 10

  • Identifier: 1107091144,9781107091146

  • Color: 1

  • Paginated: 1

  • Org File Size: 32,635,180

  • Extension: pdf

  • Tags: Economics Banks & Banking Commerce Commercial Policy Comparative Development & Growth Digital Currencies Econometrics Economic Conditions Economic History Economic Policy & Development Environmental Economics Free Enterprise Income Inequality Inflation Interest Labor & Industrial Relations Macroeconomics Microeconomics Money & Monetary Policy Public Finance Sustainable Development Theory Unemployment Urban & Regional Business & Money Financial Engineering Finance Business & Money Analysis & Stra

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