The asset management industry is on the verge of entering a new era driven by machine learning.
Taking this machine learning approach versus actively managed hedge funds and momentum-oriented index funds, AlphaTrAI is well-positioned as a market-leading, next-generation financial technology firm.
Core beliefs at the heart of our approach
Innovation Drives Value
AlphaTrAI executions are entirely based on our own novel, comprehensive, data-driven algorithms and software best practices that are designed to deliver results across varying market conditions. Unlike a typical quantitative trading firm, each algorithm leverages the constantly changing nature of financial markets and capitalizes on pockets of high predictability. It is our ability to apply expertise in non-stationary data analysis that sets us apart and delivers results across highly variable market conditions.
Risk Management is Key
The marriage between finance and science orients our algorithms towards sensible, reliable, client-centric investment objectives. Every AI agent we deploy on behalf of our clients executes trades on a risk management basis with each prediction and decision evaluated in realtime against the desired risk objective. Each algorithm’s risk and reward orientation is calibrated on-demand, giving AlphaTrAI the unique ability to create distinct trading profiles on the fly.
Our DELTA (Dynamic Ensemble Learning-based Trading Algorithms) platform uses an ensemble of algorithms that dynamically identify market signals and make predictions, while constantly evaluating risk and reward. DELTA enables rapid prototyping, development, and deployment of algorithmic models while offering the unique ability to optimize our financial products to a variety of performance metrics.
We combine alpha-generating models, adaptable beta exposure models, and appropriate dynamic hedging when opportunities arise. Daily, these algorithms decide on their own which long or short positions to take, the respective holding periods of each trade, selection of asset type, and magnitude of each position. With the algorithms’ ability to continuously learn, this complex approach has proven to adapt even in cases of extreme volatility.
Our investment strategies are built on a robust technology foundation that brings scale and agility to our daily operations.
Being an automated and algorithm-centric asset management firm, all executions are based on the underlying technologies and are not dependent on humans with the exception of catastrophic events. This immediately eliminates the typical reliance on the success of individual managers and their daily human sentiments.
As markets constantly change, so do our data-driven algorithms.
Continuous, automatic integration of new inputs enables our algorithms to learn and improve from non-stationary market signals on an ongoing basis. Physics-based algorithms used to decipher data, when applied to financial markets, can repeatedly surface actionable signals buried deep within financial data.