The Rise of Quantitative Trading and the Possibility of a Shake-Up

This chapter discusses the rise of quantitative trading and algorithmic trading over the past decade and speculates on the possibility of a scandal or regulatory crackdown that may shake the world of quantitative systematic trading funds. The speaker highlights that these funds have grown significantly without a complete understanding of their strategies or impact on asset prices. They suggest that once regulators start asking questions about the contributing factors to their returns and their trading practices, it may lead to a more public and mainstream scrutiny of this world.