Renaissance Technologies Explained

Renaissance Technologies is an East Setauket, New York-based American investment management firm founded in 1982 by James Simons, an award-winning mathematician and former Cold War code breaker, which specializes in systematic trading using quantitative models derived from mathematical and statistical analyses. Renaissance is one of the hedge funds using quantitative trading — known as “quant hedge funds” — that rely heavily on powerful computers and sophisticated mathematics to guide investment strategies. (Everything Explained Today)

everything-explained-today

Advertisements

Launch of ‘Flash Boys’ exchange IEX will test its philosophy

After all the regulatory hand-wringing, traded barbs, TV fights and the book, IEX will launch as a stock exchange beginning on Friday. It is a landmark moment for a trading start-up that has railed against the status quo of the world’s largest stock market. Backed by investors including mutual funds, hedge funds and venture capitalists, Investors Exchange now takes its place among the likes of the New York Stock Exchange and Nasdaq. (Financial Times)

financial-times

Nasdaq Tries to Appeal to Investors Lured by New Rival IEX

In the latest sign that American stock exchanges are inching away from a decadelong arms race toward ever greater speed, Nasdaq Inc. plans a new option for investors who complain they can’t keep up with rapid-fire trading. The move shows how exchange operators are angling to respond to IEX Group Inc., the startup that won regulatory approval in June to launch a market that slows the pace of trading. (Wall Street Journal)

wsj

This Legendary Hedge Fund Hopes to Use Physics to Battle Wall Street’s Speed Demons

Renaissance Technologies, the investment fund known for its ultra-educated workforce and quant trading style, has a plan to beat high frequency traders at their own game. Their plan involves algorithms, servers and the world’s most accurate timekeeper currently used for GPS satellites and deep space exploration, the atomic clock. (Fortune)

fortune