High Performance Trading

Algorithmic trading software
& custom development
for crypto & traditional markets

Quant Alpha is now Quantive Alpha!

Please click here to visit the new site.

The Art of Analytics
Our mission is to build exceptional trading software, while empowering clients to develop and deploy institutional-grade trading algorithms and portfolio-management systems with best of breed data-analytics, trading know-how and deep experience gained in the financial markets.

Our suite of services is designed to give you the essential foundations for generating the most consistent risk adjusted returns within your chosen investment domain, time-frame & risk profile. 

Our Services

A PARTNER THAT NEVER SLEEPS

01

Software
Order Management Software to run your algorithmic trading. Connect to your broker through their API. If you have a bespoke development requirement, just reach out for a discussion.

02

Analytics
Assistance with your algorithm development from seasoned experts. Get the necessary tools to avoid the common pitfalls and create robust strategies.

03

Partnership
Engage us as consultants on your next project, be it: portfolio construction; risk management review; compliance & regulatory projects; back-office requirements; strategy deployment; or distribution!

Being Conservative Should Not Mean Accepting Poor Returns

How do we think about algo construction?
First, we actually trade our own money, so capital preservation is the primary goal. The first priority is to 'stay in the game', then we will always be ready for the opportunities that arise. Any good business has periods of volatility, so volatility alone isn’t terribly representative of real risk. While we want to keep draw-downs to a minimum, opportunity frequently arises from volatility, so we need to accept some return instability if we are shooting for higher returns.

Our philosophy is that the best way to gain confidence in an investment methodology is to ensure it is systematic, testable & quantifiable. This is what algo trading gives us. Not only in traditional markets, but now that the crypto markets are beginning to mature, and the data and trading infrastructure are so much more robust and reliable, we believe there are opportunities there too.

Risk management  is the foundation of the entire process. It’s hard to manage what you can’t measure and for that reason we believe the quantitative approach yields the single best way to understand & manage market risk.

INVEST SMARTER

For investors who expect to out-perform

01

Software as a Service
We create custom solutions for your specific requirements. It's best to reach out for a discssion on your individual (institutional) requirements. Our quantitative trading solutions give you access to cutting edge research & technology, with full visibility & control, along with a dedicated partner.

We are in this together for the long term.

02

Full Transparency
Quant Alpha operates a small & exclusive membership, because our objective is to remain nimble, responsive and be a long-term wealth-creation partner. We believe in quality over quantity, and prefer to provide our software to firms who share our values & vision.

How do we trade ourselves?
The Quant Alpha Diversified portfolio has a mean reversion philosophy at it’s foundation, yet never seeks to swim against the tide and always ensures strong momentum and trend characteristics support each trade. The advantage of the mean reversion approach is the high trade count and short holding period, which allows us to trade at a high frequency and really benefit from the corresponding compounding of returns. It also means that, in accordance with the law of large numbers, we are more consistently generating our “expected” trade results and ideally this will translate into a smooth equity curve.

The long algorithms are run on approximately half of the portfolio, while the remainder of the portfolio is dedicated to short models. This is our primary risk defense, and risk-management considerations are the pillars of strategy. We dynamically size positions according to the prevailing market regime, and accumulate and distribute positions in a continual flow, never “all in” with our hard-earned capital. In this manner our average exposure remains quite low.

The program currently only trades highly liquid US stocks, although we are developing additional algorithms for international shares and futures, which will further diversify & reduce risk. Diversification of strategy types (for example, mean-reversion & momentum strategies) is also a critical risk control, which we primarily implement through the use of multiple strategies combined to work together to maximise returns and minimise risk. Further trend-following and momentum models are added to the portfolio to thoroughly round out our diversified approach.

BLOCKCHAIN = THE NEW FRONTIER

Yes, we do crypto

01

The World is Changing
In a world of unknowns, diversification is our best defence.  At Quant Alpha we wanted a way to participate in the incredible crypto opportunity, but with the least possible risk. In the early days, that was extremely difficult, but as the market has matured we were more and more able to apply all the experience we had gained in the traditional markets into developing robust, institutional grade algorithmic trading strategies for crypto.

02

Diversified Crypto Investing
Whether you are a crypto expert, or just a novice, you are likely looking to diversify your blockchain exposures as much as possible. We understand the risks in this space, but we know that it's still essential to gain as much exposure to this phenomenal opportunity as possible. If you are looking to complement your de-fi investing, or just looking for a safer way to gain exposure to crypto, then talk to us about the trading opportunities to complement that.
Do you trade?
If you have a track-record in algorithmic trading or believe your discretionary strategies could be systematized and stand the tests of time, then reach out - we are interested in partnerships.

OTHER CRITICAL RISK-MANAGEMENT PRINCIPLES

Always be prepared - the markets can remain irrational for longer than you can remain solvent

01

Low Leverage
We suggest extreme caution with leverage. Our leveraged program utilises margin on occassion, however the average exposure is actually very low. Also, by keeping our positions small, and trade-count high, we generate a smoother equity curve (less volatility of returns).

02

Diversified
In our own trading, we take small positions in a high number of stocks and different algorithms are working together to enter & exit positions. Further, we capitalise on different alpha-generation factors within the one program, taking particular advantage of the well-documented market behaviours: mean reversion & momentum.

03

Long - Short
We employ a balance of long & short models to hedge our bets & be ready for whatever the market throws at us. This means we profit in both rising & falling markets. The “all weather portfolio” is the least likely to experience extended periods underwater – in fact draw-down recovery is very swift. Our returns are highly uncorrelated to the market.

How it all Works

BECOME A PARTNER
We believe exposure to algorithmic strategies is an essential part of a modern portfolio. We’re disrupting the hedge fund industry by making a quantitative portfolio accessible, understandable & easily manageable.

WHAT MAKES QUANT ALPHA DIFFERENT?
“In the building practices of ancient Rome, when the scaffolding was removed from a completed Roman arch, the engineer stood beneath. If the arch came crashing down, he was the first to know. Thus his concern for the quality of the arch was intensely personal, and it is not surprising that so many Roman arches have survived.” (Seth Klarman, 1991,“Margin of Safety”)
Like the Roman arch builder, we are fully invested. Reach out for a casual chat or to get into the detail & start the due diligence process.

Your Success = Our Success

We can only see a short distance ahead, but we can see plenty there that needs to be done. 
– Alan Turing
Copyright 2022 Quant Alpha – ‘Quant Alpha’ and ‘Quant Alpha Tech’ are Trade Marks of Quant Alpha – all rights reserved

DISCLAIMER – READ FULL DISCLAIMER HERE

All the information contained on this website is general in nature and does not constitute personal or investment advice. Quant Alpha produces algorithms and software only and does not trade or arrange any trading on your behalf. Quant Alpha will not accept liability for any loss or damage, including without limitation, any loss which may arise directly or indirectly from the use of, or reliance on: its algorithms; the information on this site; or information provided by its managers, partners or affiliates. You should seek independent financial advice and conduct your due diligence prior to acquiring any Quant Alpha technology. Quant Alpha is neither a registered investment advisor nor an investment advisory service and does not provide any recommendations to buy or sell particular financial products. 
Before engaging in any trading activities, you should understand the nature and extent of your rights and obligations and be aware of the risks involved. Don’t trade with money you can’t afford to lose. Your trading and investing decisions are entirely your own responsibility. All securities and financial product transactions involve risks. Where Quant Alpha provides hypothetical representations of what the technology has achieved in the past, this has been done with the greatest know-how, data and expert technology that is available, but still, Quant Alpha cannot guarantee that these results have any likelihood whatsoever of being achieved in future. Where records have been provided of how the software has performed on management’s own accounts, whilst these are an accurate and true record of what has taken place in the past, they are not necessarily indicative of future results – the future is as unknown to Quant Alpha management as it is to anyone else. The past performance of any trading system or methodology is not necessarily indicative of future results.