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Learn Algorithmic Trading
book

Learn Algorithmic Trading

by Sebastien Donadio, Sourav Ghosh
November 2019
Beginner content levelBeginner
394 pages
10h 31m
English
Packt Publishing
Content preview from Learn Algorithmic Trading

Risk management

Good risk management is one of the cornerstones of algorithmic trading. Bad risk management practices can turn potential profitable strategies into non-profitable ones. There is an even bigger risk of violating rules and regulations at trading exchanges that can often lead to legal actions and huge penalties. Finally, one of the biggest risks with high-speed automated algorithmic trading is that poorly programmed computer software is prone to bugs and errors. There are many instances of entire firms shutting down due to automated high-speed algorithmic trading systems that run amok. Hence, risk management systems need to be built to be extremely robust, feature rich, and have multiple layers of redundancy. There also needs ...

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Publisher Resources

ISBN: 9781789348347Supplemental Content