This book provides straightforward quantitative strategies that any
investor can implement with little work using simple, free or low-cost
tools and services.
But what exactly is quantitative investing?
There are various possible definitions of quantitative investing, but
the author defines it as:
"Identifying reasonable and measurable hypotheses about behaviours of
the financial market so as to make investment decisions with an
acceptable confidence in expected returns and risks."
The main advantages in using quantitative models are that they:
- make the investment process independent of opinions and emotions (the
most important factor for an individual investor), and
- make it reproducible by anyone at any time (the most important factor
for a fund)
With a set of good strategies, quantitative investing allows one to act
in the market at specific pre-planned times. It is possible to work on
this just once a week or month, and ignore charts and the news. It
removes most of the doubts and emotions with the discipline of keeping a
long-term vision and sensible money management. This book will show you
how.