@pyquantnews: This Jane Street trader litera...
@pyquantnews
6 views
Jul 07, 2025
1
This Jane Street trader literally explains edge in this book.
Here's what's inside:
Here's what's inside:
2
The author starts by explaining how the professionals and hedge funds think about trading.
3
He then talks about the biggest risk that faces market makers:
Adverse selection.
It's great since most people think of risk as standard (deviation.)
Adverse selection.
It's great since most people think of risk as standard (deviation.)
4
Liquidity is next (which is NOT volume).
And the most important chapter:
What is edge.
This is one of the best explanations I've ever read.
And the most important chapter:
What is edge.
This is one of the best explanations I've ever read.
5
A reason retail traders can compete is cost and capacity.
We play the game the big traders cannot.
We play the game the big traders cannot.
6
And finally, technology and adaption.
Super important in the age of AI.
Super important in the age of AI.
7
PyQuant News helps you get started with Python for quantitative finance.
There are a few things you can do:
• Reply to this thread with any questions
• Follow me @pyquantnews for more of these
• RT the tweet below to share this thread with your audience
There are a few things you can do:
• Reply to this thread with any questions
• Follow me @pyquantnews for more of these
• RT the tweet below to share this thread with your audience
View Tweet