Algorithmic trading (algo trading for short) uses computer programs to execute trades automatically based on predetermined criteria. These programs enter and exit positions on traders' behalf when ...
Algorithm trading firms, also known as quantitative trading firms, are financial organizations that use sophisticated algorithms and mathematical models to make investment decisions in financial ...
Big banks, hedge funds and institutional investors use computer-driven trading algorithms routinely in bull or bear markets. When the stock market turns volatile, algorithmic trading often gets the ...
Algorithmic trading is no longer the exclusive domain of niche quantitative firms—it has become the backbone of modern financial markets. I am already seeing the significant impact AI-driven ...
Algorithmic trading is often presented as a structured process: build a strategy, test it on historical data, and automate execution. In reality, each step involves deeper layers of complexity that ...
1. An investment firm that engages in algorithmic trading shall have in place effective systems and risk controls suitable to the business it operates to ensure that its trading systems are resilient ...
Even 20 years after their mainstream adoption, algorithmic trading continues to challenge regulators and compliance teams. It's not just that it is inherently complex, but the pace of change and ...
On 26 February 2026, the European Securities and Markets Authority (ESMA) published a new Supervisory Briefing on Algorithmic Trading in the EU. The briefing draws heavily on insights from ESMA’s 2022 ...
On 22 August 2025, the Financial Conduct Authority (“FCA”) published its high level observations following a multi-firm review of algorithmic trading controls. During the review, the FCA assessed a ...