Algorithmic trading, or algo trading, is a type of financial market trading in which an algorithm is used to make buy and sell decisions automatically based on pre-programmed rules. Algorithms are ...

These days most trades are executed by computers being directed by complex trading algorithms. But how do hedge funds use these algorithms and more importantly, how can their efficiency be assessed?

In recent posts, I have been focused on algorithm nuances that can have disproportionate effects on algorithm performance. In this post, I am going to move in the opposite direction and discuss a much ...