Nature-inspired intelligent techniques for automated trading: A distributional analysis

Abstract

Nowadays, the increased level of uncertainty in various sectors has posed great burdens in the decision-making process. In the financial domain, a crucial issue is how to properly allocate the available amount of capital, in a number of provided assets, in order to maximize wealth. Automated trading systems assist the aforementioned process to a great extent. In this paper, a basic type of such a system is presented. The aim of the study focuses on the behavior of this system in changes to its parameter settings. A number of independent simulations have been conducted, for the various parameter settings, and distributions of profits/losses have been acquired, leading to interesting concluding remarks. © 2014 Springer International Publishing.