Trading systems seemed so complex to understand to me. Why? Because they actually ARE complex, but also because they are constantly evolving and using cutting-edge technologies. These systems have become a **crucial** tool in financial institutions, holding roughly 50% of trading volume in U.S. equity markets.
If you’re new to trading and try to read the news, you’ll often find articles dealing with stocks. I didn’t know that when people say stock, they usually refer to common stocks, as opposed to preferred stocks. Yes, there are two types of stocks. To understand how they differ, let’s first understand what’s a stock.
Reading quantitative finance articles can be a pain if you don’t know about the jargon. I picked six terms that confused me while reading the news and research papers because some traders use them interchangeably (which, by the way, is wrong!)
Trading systems seemed so complex to understand to me. Why? Because they actually ARE complex, but also because they are constantly evolving and using cutting-edge technologies. These systems have become a **crucial** tool in financial institutions, holding roughly 50% of trading volume in U.S. equity markets.