

010 - Alan Clement - Fortified & Diversified Quantitative Equities Strategies
7 snips Dec 5, 2023
Alan Clement, a seasoned trader and strategy developer, shares insights into systematic trading in equity markets. He discusses mean reversion, trend following, and volatility trading strategies, emphasizing the importance of diversification. Alan also highlights the nuances of trading equities, adapting to market conditions, and risk management. He explores building and testing strategies to avoid overfitting, including out-of-sample testing and Monte Carlo simulations.
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Advantages of Equities for Retail Traders
- Consider equities for their simplicity: no margin, rollovers, or expirations.
- Retail traders benefit from capacity and nimble trading in various liquidity levels.
Targeting Market Inefficiencies
- Target specific market inefficiencies like momentum or mean reversion for profitable trading.
- Different strategies, like trend following or swing trading, exploit different inefficiencies.
Exploring Diverse Market Inefficiencies
- Explore diverse market inefficiencies beyond momentum and mean reversion, such as seasonality, volatility, and co-integration.
- Consider market properties like survivorship bias when backtesting equity strategies.