The role of automation in financial trading companies

2020 ◽  
Author(s):  
Carlos Jorge Lenczewski Martins
Keyword(s):  
Financial Market ◽  
High Frequency ◽  
Trading Systems ◽  
Financial Trading ◽  
Blockchain Technology ◽  
Level Of Automation ◽  
Risk Of Exposure ◽  
Source Of Information ◽  
Management Issues

High Frequency Trading (HFT) has significantly affected the financial market - how trade is performed, types of employees hired, technology, or even market regulations. There are arguments that important risks arrive from trade automation, especially with the use of ultra-low latency trading systems. It also gives a possibility of achieving (higher) returns more quickly with less residual losses, i.e. algorithms may lead to a lower risk of exposure than traditional ‘human' traders. A higher level of automation in trading companies is a reality, which brings important management issues. The rise in competition between algo-traders has led to the rise of the so-called Quant 2.0: the rebirth of complex algorithms and artificial intelligence to collect, extract and process information available from any source of information. im of this article is, through a literature review, to present the main issues concerning automation in financial trading companies, and how the highly probable introduction of the Blockchain technology may affect HFT and the financial market - either the general market design, or specif- ically, how trading is performed.

Representing Stages and Levels of Automation on a Decision Ladder

2016 ◽  
Vol 60 (1) ◽  
pp. 328-332 ◽  
Author(s):  
Yeti Li ◽  
Catherine Burns ◽  
Rui Hu
Keyword(s):  
Information Processing ◽  
Information Requirements ◽  
Trading Systems ◽  
Financial Trading ◽  
Level Of Automation ◽  
Levels Of Automation ◽  
Design Requirements ◽  
Decision Ladder ◽  
States Of Knowledge

We propose that representing stages and levels of automation on a decision ladder (DL) could help to identify information requirements for designing automation interfaces. We look at automated financial trading systems, a domain with variable degrees of automation (DOA). We give examples of modelling a financial trading task for two DOAs: basket trading (a low DOA) and trend following trading (a high DOA). On the resulting DLs, both human and automated information-processing activities are presented. The steps and states of knowledge allocated to automation are first categorized by the commonly known four stages of automation, and then shaded to represent the level of automation in each stage. This work advances the understanding of automated trading, and automation in general, and may provide a deeper representation of human-automation interactions and thus better understanding of design requirements.

Role of Blockchain Technology in Ensuring the Competitiveness of Tourism and Energy Investment

2021 ◽  
pp. 120-135
Author(s):  
Miraj Ahmed Bhuiyan ◽  
Natalia Sokolinskaya
Keyword(s):  
Financial Market ◽  
Capital Market ◽  
Service Sector ◽  
Energy Development ◽  
Comprehensive Approach ◽  
Entrepreneurial Activity ◽  
Open Market ◽  
Energy Investment ◽  
Blockchain Technology

This study was conducted to research the use of blockchain technology to ensure the competitiveness of tourism and energy investment using a statistical approach. The chapter offers a comprehensive approach to examining the aforementioned topics and confirms the conclusion of the revitalization of the financial market (tourism and energy) development. Moreover, it also plays a role regarding the factors of inflation, devaluation, and proposes benefits – the activation of entrepreneurial activity, expansion of the service sector. Based on the results of the study, financial market (tourism and energy) clients (especially buyers) can benefit most from the lower costs of capital market transactions and securities servicing. Retail and wholesale investors can participate in a larger volume of deals among themselves with guaranteed execution in the open market.

External Factors of Big Business Transformation in Russia

2005 ◽  
pp. 72-89 ◽  
Author(s):  
Ya. Pappe ◽  
Ya. Galukhina
Keyword(s):  
Financial Market ◽  
Capital Market ◽  
Business Groups ◽  
External Factors ◽  
Big Business ◽  
Business Transformation ◽  
Global Standards ◽  
The World ◽  
Principal Subject

The paper is devoted to the role of the global financial market in the development of Russian big business. It proves that terms and standards posed by this market as well as opportunities it offers determine major changes in Russian big business in the last three years. The article examines why Russian companies go abroad to attract capital and provides data, which indicate the scope of this phenomenon. It stresses the effects of Russian big business’s interaction with the world capital market, including the modification of the principal subject of Russian big business from integrated business groups to companies and the changes in companies’ behavior: they gradually move away from the so-called Russian specifics and adopt global standards.

ANALYSIS OF APPLICATION OF BLOCKCHAIN TECHNOLOGIES FOR THE BANKING SECTOR

2017 ◽  
Author(s):  
Svitlana Ilkovych ◽  
◽  
Maryna Korol ◽  
Keyword(s):  
Banking Sector ◽  
Blockchain Technology ◽  
Current State ◽  
Global Banking ◽  
Banking Institutions ◽  
Pros And Cons ◽  
Further Development

The article considers the essence of blockchain technology and the possibility of its application in the banking sector. The current state of development and application of blockchain technologies in various industries is analyzed. The pros and cons of using blockchain technologies for the banking sector are identified. Emphasis is placed on the role of blockchain technologies in the further development of the banking sector. The most promising directions of development of this technology are considered. Particular attention is paid to examples of the use of blockchain technology by global banking institutions.

Calculation-and-experimental estimation of the role of the frequency ratio in changing the endurance at two-frequency deformation modes

2019 ◽  
Vol 85 (1(I)) ◽  
pp. 64-71 ◽  
Author(s):  
M. M. Gadenin
Keyword(s):  
High Frequency ◽  
Experimental Studies ◽  
Low Frequency ◽  
Reduction Factor ◽  
Single Frequency ◽  
Cyclic Loads ◽  
Small Ratio ◽  
Harmonic Components ◽  
Deformation Modes

The cycle configuration at two-frequency loading regimes depends on the number of parameters including the absolute values of the frequencies and amplitudes of the low-frequency and high-frequency loads added during this mode, the ratio of their frequencies and amplitudes, as well as the phase shift between these harmonic components, the latter having a significant effect only with a small ratio of frequencies. Presence of such two-frequency regimes or service loading conditions for parts of machines and structures schematized by them can significantly reduce their endurance. Using the results of experimental studies of changes in the endurance of a two-frequency loading of specimens of cyclically stable, cyclically softened and cyclically hardened steels under rigid conditions we have shown that decrease in the endurance under the aforementioned conditions depends on the ratio of frequencies and amplitudes of operation low-frequency low-cycle and high-frequency vibration stresses, and, moreover, the higher the level of the ratios of amplitudes and frequencies of those stacked harmonic processes of loading the greater the effect. It is shown that estimation of such a decrease in the endurance compared to a single frequency loading equal in the total stress (strains) amplitudes can be carried out using an exponential expression coupling those endurances through a parameter (reduction factor) containing the ratio of frequencies and amplitudes of operation cyclic loads and characteristic of the material. The reduction is illustrated by a set of calculation-experimental curves on the corresponding diagrams for each of the considered types of materials and compared with the experimental data.

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