Written by Rohin Maliakkal (rohin.tapmimpl2022@learner.manipal.edu) Position sizing is the process of determining the appropriate size of each investment in a portfolio based on the investor’s risk tolerance, investment objectives, and the characteristics of the stock or asset under consideration. …

Written by Margret Syriac (margret.tapmimpl2022@learner.manipal.edu) Introduction The financial industry has greatly benefited from technological advancements over the past 20 years. Most capital markets professionals believe that technology has improved market efficiency, although some industry veterans have lost their jobs due to automation. Baby boomers were less positive about the impact…

Written by Kaushik Sanghani (kaushik.sanghani@xumitcapital.com) Backtesting strategies using spot market and futures market data has become easier with the availability of various libraries like backtrader, vectorbt, and backtesting.py. However, backtesting trading strategies on derivatives is not as simple. While equity data is freely available on Yahoo Finance, most derivatives data…

Written by Kaushik Sanghani (kaushik.sanghani@xumitcapital.com) In my previous articles, I primarily utilized the moving average crossover strategy to explain quantitative concepts, despite the fact that it is not a widely used trading strategy. Most traders rely on tested technical indicator strategies to make trading decisions. However, there is another option…

Written by Kaushik Sanghani (kaushik.sanghani@xumitcapital.com) I am currently investigating high-frequency trading, which involves executing thousands of orders within seconds. This type of trading is quite distinct from technical trading and investment strategies. Fewer resources are available to learn about it than typical algorithmic trading strategies. To comprehend high-frequency trading, we…

Written by Shubham Soni (associate.01@xumitcapital.com) Introduction Mean reversion is a popular trading strategy used in the financial market to take advantage of the tendency of an asset’s price to move back to its mean or average price over time. This strategy uses statistical analysis and mathematical models to identify opportunities to…

Written by Dheer Ved (dheer.ved@xumitcapital.com) UK Innovator Visa In the last blog, we discussed an Active Investor Program and saw Canada Starta-Up Visa. So today, we are going to explore one more program of Investor Immigration Program under the Active Investor Program, the UK Innovator Visa. The United Kingdom, also…

Written by Kaushik Sanghani (kaushik.sanghani@xumitcapital.com) In this article, we will delve deeper into the concept of walk-forward analysis and its practical implementation. We will take the example of an exponential moving crossover system applied to NIFTY hourly data. Using Python, we will perform backtesting, optimization, and walk-forward analysis to evaluate…

Written by Shubham Soni (associate.01@xumitcapital.com) In this article, we will look at how we can use python to create an interactive Tree Map Dashboard, which represents the sentiment of individual stocks, their broader sector, industry, and the whole NIFTY 500 universe in real-time.