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Investing. Look to Machine Insight in Cambridge, and the work they've done. They're trying to train an AI system to be Warren Buffet in a box. You don't hear mu
by ivankirigin 19y ago
Investing. Look to Machine Insight in Cambridge, and the work they've done. They're trying to train an AI system to be Warren Buffet in a box. You don't hear much about this trend, because people are making way too much money to talk about it openly.
I'll put it this way: if you can consistently beat the market by a few percentage points, you can be a billionaire.
- pixcavator 19y ago>...people are making way too much money to talk about it openly. Or maybe people are _wasting_ way too much money to talk about it openly.
- ivankirigin 19y agoDo you have any information at all to base your comment on?
- brent 19y agoDo you have any information of anyone algorithmically outperforming the market enough to make them personally billionaires?
- ivankirigin 19y agoI've heard anecdotes from multiple sources that there are groups of software engineers and algorithm designers buried deep inside all the major firms that are doing just this. I know those firms manage and create hundreds of billions of dollars and I've been told that the stiffest competition is in these tiny software components of the business. But I don't mean to sound too snarky. Sorry about that. So go ahead and try to get a job at Machine Insight or another such firm to find out what they're all about. http://www.machineinsight.com/ http://www.machineinsight.com/
- neilc 19y agoAlgorithmic trading is actually commonplace: http://en.wikipedia.org/wiki/Quantitative_analyst http://en.wikipedia.org/wiki/Quantitative_analyst http://en.wikipedia.org/wiki/Algorithmic_Trading_Platforms http://en.wikipedia.org/wiki/Algorithmic_Trading_Platforms http://www.iht.com/articles/2006/11/23/business/trading.php?page=1 http://www.iht.com/articles/2006/11/23/business/trading.php?... Typically this is not a question of "find the secret strategy and make billions!", but rather finding a good execution algorithm to break an order of $billions down into a series of smaller orders for a good average price, or finding and exploiting minute arbitrage opportunities, etc. Algorithmic trading is responsible for many billions of dollars of trades daily; I don't know offhand of particular people who have become billionaires off it, but there are definitely lots of folks who have made a lot of money.
- brent 19y agoI know there are people who trade algorithmically (I'm one of them). I just wanted evidence of one person who had made billions from it.
- ivankirigin 19y agoYou've taken my comment on a personal level in that you think I'm talking about an individual. I would form a company around the idea and target investing.
- neilc 19y agoHow about D. E. Shaw? I'm not sure how much he's made, but it's surely quite a lot.
- pixcavator 19y agoFine, let me rephrase. Or maybe people are _wasting_ way too much money to talk about it openly?