The future of trading is already here.
“If it’s publicly traded, liquid and amenable to modelling, we trade it”
- Jim Simons -
We generally follow this philosophy, and you will be surprised what “amenable to modelling” applies to in the brave new world of accessible trading data and AI.
Our process
From an idea to live capital, in six steps.
Step 1
Academic research
HumanAIStep 2
Idea spawning and alpha edge search
AIStep 3
Strategy grooming with rule sets
AIStep 4
Human quant review and promotion to paper trading
HumanStep 5
Satisfactory market behaviour for a time
Step 6
Live funds allocated
Human
The human factor
A person still makes the final call. Not because we recognise patterns better than the models do; we don't. We recognise them differently, and in markets where everyone runs similar machines on similar data, that difference is what lets us see what others won't.
So nothing reaches live capital on a backtest alone. A quant has to be able to say why a strategy should work, not only that it did.
How we work
Three principles, no exceptions.
Systematic
Models, not hunches
Infrastructure
Built on Sonic Trader
Transparent
We report to our investors
Sonic Fund
A systematic fund for a brave new world.
Sonic Fund is a systematic fund trading the world's most liquid markets. Every position comes from a model that was built, tested and deployed on the Sonic Trader platform; none comes from a hunch. We capture the inefficiencies that human needs and emotions leave in centralised monetary systems, and we report to our investors, not to the market.
Rough seas, best return to shore.
The $6 trillion currency liquidity pool that is traded daily lends itself to a better approach, one that automatically capitalises on the natural volatility and inefficiencies that exist as a result of human needs and emotions.
At Sonic, we have built and continue to refine a set of high-frequency trading algorithms that exploit every statistically non-random inefficiency that can conceivably be detected in the currency market. We think of it as grabbing a surfboard when rough seas present themselves and riding the waves that provide the best return to shore.
