Cryptocurrency Q&A
What are the downsides of quant trading?
What are the downsides of quant trading?
CryptoEnthusiast
Fri Oct 25 2024
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7 answers
1881
I'm interested in understanding the potential drawbacks or negative aspects associated with quantitative trading. I want to know what are the risks, limitations, or challenges that one might face when engaging in this type of trading.
7 answers
Pietro
Sun Oct 27 2024
Disadvantages of Quant trading are often overlooked despite its popularity.
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Enrico
Sun Oct 27 2024
Market randomness can cause the model to crumble, resulting in unexpected losses.
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EchoSoulQuantum
Sun Oct 27 2024
One significant drawback is its vulnerability to curve fitting and optimisation.
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GyeongjuGloryDaysFestivalJoy
Sun Oct 27 2024
This occurs because quantitative trading heavily relies on historical data.
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Margherita
Sun Oct 27 2024
The reliance on past performance can lead to irrational outcomes in the present.
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