Quantitative Trading: The Predictability Of Stock Markets

Tomer Solel is a Financial Analyst at I Know First. He graduated from Cal Poly Pomona with a bachelor's degree in applied mathematics. Quantitative Trading

premiumRead The Full Premium Article

Subscribe to receive exclusive PREMIUM content Here

I Know First Weekly Review Algorithmic Performance: January 12th, 2021

I Know First Weekly Newsletter
Investment Selection Using AI Predictive Algorithm
January 12, 2021

Read The Full Newsletter

Quantitative Trading Strategies for European Stocks

In the following, we analyze the performance of our “European Stocks” Package by evaluating quantitative trading strategies which invest on a daily basis in the European stocks selected by our AI system and can easily be recreated by using the daily forecasts provided to clients.

We show that the I Know First algorithm’s signals including the costs of bid-ask spreads and commissions results in a high-performing trading strategy with excellent statistics:

  • Returns of up to 128% in a 2-year time period
  • Alphas over 20%
  • Betas below 0.15
  • Sharpe ratios reaching 1.4

ETF Strategy

Quantitative Trading Based on Machine Learning: Highest Return of 51.08% in 1 Month

top 10 stocksPackage Name: Small Cap Stocks
Forecast Length: 1 Month (05/29/16 – 06/29/16)
I Know First Average: 7.44%

Read The Full Forecast

Quantitative Trading

Quantitative Trading: Average Return of 9.11% (Long) and 44.21% (Short)

Package Name: Tech Stocks
Forecast Length: 3 months (8/23/15 – 11/23/15)
I Know First Average: 9.11% (Long), 8.67 (Short)

Read The Full Forecast

Quantitative Trading

Quantitative Trading: Up To 34.19% Return In 30 Days

Package Name: Risk-Conscious
Forecast Length: 1 Month (9/4/2015 - 10/4/2015)
I Know First Average: 5.91% (long) & 4.52% (short)

See The Full Forecast

quantitative trading

Quantitative Trading: Up To 54.79% Return in 14 Days

Package Name: Stocks Under 5 Dollars
Forecast Length: 14 Days (8/24/2015 - 9/7/2015)
I Know First Average: 13.19%

Read The Full Forecast

Quantitative Trading

Quantitative Trading: Up To 32.21% Return In 3 Days

Package Name: Stocks Under 5 Dollars
Forecast Length: 3 Days (8/23/2015 - 8/26/2015)
I Know First Average: 6.82% (Long); 2.99% (Short)

Read The Full Forecast

Quantitative Trading