With the rise of quantitative investing and algorithmic trading, more and more people are looking for free resources to learn about these topics. Free ebooks are a great way to start learning quantitative analysis, backtesting, and algorithmic trading system development. Here are 5 of the best free ebooks for learning quantitative investing:
Ernest Chan’s Machine Trading book teaches Python programming
This free book by famous quant Ernest Chan teaches using Python for quantitative analysis and trading system development. It covers important programming techniques like vectorization and parallelization that allow strategies to run faster. The book also discusses machine learning techniques for predicting price movements.
Rishi Narang’s Inside the Black Box explains quant strategies
Rishi Narang’s book reveals the key concepts behind quantitative equity strategies in easy-to-understand language. It explains types of factors like value, growth, quality, and momentum as well as how quants combine alpha factors to create portfolios.
Quantstart’s ebook covers complete algo trading system
Quantstart’s free ebook provides a step-by-step guide to building a complete end-to-end algorithmic trading system in Python. It teaches everything from strategy development, backtesting, optimization, and walk-forward analysis to execution systems and performance monitoring.
Connors on Advanced Trading Strategies teaches new techniques
Larry Connors’ free ebook includes new trading strategies like pattern recognition techniques using machine learning and combines short-term mean reversion signals with long-term trend following.
Quantpedia’s Factor Investing Guide covers hundreds of anomalies
Quantpedia’s free guide describes over 400 different market inefficiencies or ‘factors’ that can potentially generate alpha. This allows quants to research new signals and build machine learning models to take advantage of mispricings.
These free quantitative investing ebooks are a valuable way to build knowledge on algorithmic trading and quant finance for both beginners and advanced practitioners.