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Ramabhadran Thirumalai

In the culminating project, you will develop new trading strategies, evaluate them using the tools learned in the course, integrate them with the existing portfolio and also develop a plan to start a hedge fund.

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What's inside

Syllabus

Week 1 - Learner's Introduction
In this module, you will introduce yourself to the other learners. You can exchange ideas and learn from one another.
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Week 2 - Strategy
In this module you will go through the paper based on 'Pairs Trading' strategy and understand the details of the strategy completely. You will also identify the sector and related sector on which you want to base your strategy.
Week 3 - Data Collection
In this module you will gather the data required to design the strategy. You will pick a pair in the chosen sector and one more pair in the related sector to implement the strategy.
Week 4 - Strategy Rules
In this module you will formulate the rules required to trade the strategy and execute the strategy.
Week 5 - Strategy Evaluation
In this module, you will evaluate the strategy that you had designed. For this purpose you will make use of various performance measures discussed in the course.
Week 6 - Grading Rubric
In this final module, you will use the grading rubric to evaluate the projects submitted by the other learners.

Good to know

Know what's good
, what to watch for
, and possible dealbreakers
Develops real-world trading strategies for starting a hedge fund
Hands-on course with a culminating project on developing trading strategies
Strategy development includes evaluating and integrating with existing portfolios
Provides a comprehensive overview of trading strategies, from data collection to evaluation
Taught by experienced instructors who are recognized for their work in finance
Week provided on learner's introduction and exchange of ideas

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Reviews summary

Trading strategy design

According to students, Trading Strategy Design is a finance course that teaches foundational knowledge in trading. Many learners say that the experience was positive and that they learned a lot. One learner struggled with the statistics, but overall, students say that this course is a great option for finance enthusiasts looking to learn more about trading.
Course introduces seminal academic papers.
"I would never have read the seminal Pairs trading academic paper nor Piotroski's paper which spawned Value investing."
Instructor is great.
"Mr Prasanna Tantri is hands down one of the best instructor i have come across"
Course is finance focused.
"Good foundational course in the world of trading and finance in general."
"A must for finance guys."
Course could use more statistics explanation.
"I have some difficulty with statistics. I think it would be explained a little more."

Activities

Be better prepared before your course. Deepen your understanding during and after it. Supplement your coursework and achieve mastery of the topics covered in Design your own trading strategy – Culminating Project with these activities:
Volunteer at a Financial Literacy Organization
Volunteering will allow you to share your knowledge with others and make a positive impact on the community.
Browse courses on Financial Literacy
Show steps
  • Identify and contact a financial literacy organization.
  • Inquire about volunteer opportunities.
  • Attend volunteer training and participate in programs.
Join a Trading Discussion Group
Engaging with other traders will provide you with valuable perspectives, insights, and support.
Browse courses on Trading Strategies
Show steps
  • Identify and join a trading discussion group.
  • Participate in discussions and share your experiences.
  • Seek advice and feedback from other traders.
Review the Hedge Fund Market Wizards
This book provides insights and strategies from successful hedge fund managers, helping you understand the mindset and approaches necessary for trading success.
Show steps
  • Read the book and take notes on key concepts and strategies.
  • Identify trading strategies that align with your risk tolerance and investment goals.
Five other activities
Expand to see all activities and additional details
Show all eight activities
Practice Paper Trading
Paper trading provides a low-risk environment to practice your trading skills and test different strategies.
Browse courses on Trading Strategies
Show steps
  • Open a paper trading account.
  • Select a market and asset to trade.
  • Implement your trading strategies.
  • Monitor your trades and adjust your strategies as needed.
Create a Trading Plan Presentation
Articulating your trading plan in a presentation format will help you clarify your investment goals, risk tolerance, and trading strategies.
Browse courses on Trading Strategies
Show steps
  • Outline the key elements of your trading plan, including your goals, strategies, and risk management measures.
  • Create slides and visual aids to illustrate your plan.
  • Practice presenting your plan to receive feedback and improve its clarity.
Develop a Simulated Trading Model
Building a simulated trading model will allow you to test and refine your trading strategies in a risk-free environment.
Browse courses on Trading Strategies
Show steps
  • Gather historical market data.
  • Develop a trading algorithm based on the strategies you have learned.
  • Backtest your algorithm using the historical data.
  • Refine and optimize your trading algorithm based on the backtesting results.
Develop a Hedge Fund Business Plan
Creating a business plan for a hedge fund will provide you with a comprehensive roadmap for starting and operating your own fund.
Browse courses on Hedge Funds
Show steps
  • Define your fund's investment strategy and objectives.
  • Conduct market research and identify potential investors.
  • Develop a detailed financial plan, including projections and risk management strategies.
  • Write the business plan and seek feedback from experts.
Contribute to an Open-Source Trading Platform
Contributing to open-source projects will enhance your technical skills and deepen your understanding of trading platforms.
Show steps
  • Identify an open-source trading platform that aligns with your interests.
  • Review the project's documentation and codebase.
  • Find a suitable issue or feature to work on.
  • Contribute your code and submit a pull request.

Career center

Learners who complete Design your own trading strategy – Culminating Project will develop knowledge and skills that may be useful to these careers:
Quantitative Research Analyst
Quantitative Research Analysts design and implement quantitative trading strategies for hedge funds and other financial institutions. This course would be particularly helpful for those interested in pursuing a career in quantitative finance, as it provides a strong foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are essential for success in this field.
Equity Research Analyst
Equity Research Analysts conduct research on companies and make recommendations on whether to buy, sell, or hold their stocks. This course would be useful for those interested in a career in equity research, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are essential for success in this field.
Hedge Fund Manager
Hedge Fund Managers oversee the investment portfolios of hedge funds. This course would be beneficial for those interested in a career in hedge fund management, as it provides a comprehensive overview of the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are essential for success in this field.
Portfolio Manager
Portfolio Managers oversee the investment portfolios of individuals and institutions. This course would be useful for those interested in a career in portfolio management, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are essential for success in this field.
Risk Manager
Risk Managers assess and manage the risks associated with financial investments. This course would be beneficial for those interested in a career in risk management, as it provides a strong foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are essential for success in this field.
Financial Analyst
Financial Analysts provide financial advice to individuals and institutions. This course would be beneficial for those interested in a career in financial analysis, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are essential for success in this field.
Investment Banker
Investment Bankers provide financial advice to companies and governments. This course would be beneficial for those interested in a career in investment banking, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are essential for success in this field.
Financial Planner
Financial Planners provide financial advice to individuals and families. This course may be useful for those interested in a career in financial planning, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are useful for success in this field.
Actuary
Actuaries assess and manage the risks associated with insurance and other financial products. This course may be useful for those interested in a career in actuarial science, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are useful for success in this field.
Data Scientist
Data Scientists use data analysis and modeling techniques to solve business problems. This course may be useful for those interested in a career in data science, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are essential for success in this field.
Software Engineer
Software Engineers design and develop software applications. This course may be useful for those interested in a career in software engineering, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are useful for success in this field.
Operations Research Analyst
Operations Research Analysts use mathematical and analytical techniques to solve business problems. This course may be useful for those interested in a career in operations research, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are useful for success in this field.
Statistician
Statisticians collect, analyze, and interpret data. This course may be useful for those interested in a career in statistics, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are useful for success in this field.
Economist
Economists study the production, distribution, and consumption of goods and services. This course may be useful for those interested in a career in economics, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are useful for success in this field.
Teacher
Teachers educate students at all levels. This course may be useful for those interested in a career in teaching, as it provides a foundation in the principles of trading strategy design and evaluation. The course also covers the use of data analysis and modeling techniques, which are useful for success in this field.

Reading list

We've selected eight books that we think will supplement your learning. Use these to develop background knowledge, enrich your coursework, and gain a deeper understanding of the topics covered in Design your own trading strategy – Culminating Project.
Provides a comprehensive overview of pairs trading, a strategy that involves identifying and trading pairs of stocks that move in opposite directions. It covers the theoretical underpinnings of pairs trading, as well as practical implementation details.
Provides a comprehensive overview of hedge funds. It covers the basics of hedge funds, as well as advanced topics.
Provides a comprehensive overview of financial risk management. It covers a wide range of topics, including risk measurement, risk management techniques, and case studies.
Provides a comprehensive overview of hedge fund markets and strategies. It covers the theory and practice of hedge fund markets and strategies.
Provides a comprehensive overview of market microstructure. It covers the theoretical underpinnings of market microstructure, as well as practical implementation details.
Provides a comprehensive overview of continuous-time stochastic calculus. It covers the theoretical underpinnings of continuous-time stochastic calculus, as well as practical implementation details.
Provides a comprehensive overview of mathematics for finance. It covers a wide range of topics, including calculus, probability, and statistics.

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