High School Belle Fell in Love with Me

Chapter 639: Chapter 273: He Clearly Doesn’t Even See Him as Human!

Li Yang never refuses Jiang Banxia’s visits.

After all, Jiang Banxia’s work over there is mostly done.

After spending two days over the weekend, Jiang Banxia didn’t go back. Instead, on Monday night, she went with Li Yang to the trading room of Wanliu Capital.

It was that night she first encountered quantitative trading in her life.

She had heard about quantitative trading long ago; in fact, many private equity firms rely on it to operate.

Quantitative trading belongs to ultra-high-frequency trading, capable of completing thousands of transactions in a second, and with more data configured, completing millions of transactions in a second is possible.

Jiang Banxia’s own high-frequency trading was done one transaction at a time, completing less than a few hundred trades in a day.

Compared to a quantitative program, she didn’t dare to claim she was doing high-frequency trading; even serving as a lackey for quantitative trading was not enough.

Jiang Banxia was quite concerned about the potential problems this money could run into, considering it was $30 billion, an amount that would draw attention no matter where it was placed.

But when she found out that Li Yang dispersed $30 billion across nearly two hundred stocks, she realized no one could target this money specifically.

Anyone attempting to target this sum would need to manipulate the entire US stock market.

The required amount of money would be astronomical.

Jiang Banxia watched carefully, acknowledging that the risk of quantitative trading is significant and requires powerful algorithm support. If this algorithm falters, the losses could be enormous.

Any algorithm needs logical support.

But the stock market has no logic; it’s not as simple as one plus one equals two; it requires someone to infuse it with a soul.

After watching for a while, Jiang Banxia quietly asked, "Did Master Li create this quantitative system?"

"Yeah, mainly because I didn’t want to stay up all night every day. What would happen if my health deteriorated at such a young age?"

Compared to China, the US stock market operates at night, requiring one to stay up till 4 AM during daylight saving time and till 3:30 AM during standard time.

Unless it’s a critical moment, Li Yang wouldn’t stay up all night every day.

Staying up also isn’t efficient.

This quantitative system shouldn’t have any issues for at least five years. After five years, it’s hard to say.

Depending on how much he can extract from the US stock market, if it’s a little, the system might last longer; if it’s a lot... it might become useless.

Over the years, Li Yang has taken a lot of money from the market. Countless small butterflies have been lurking in the market. Gradually, as those small butterflies flap their wings, a world-sweeping tornado will emerge.

And then... the whole world will be different from the previous life.

The more money he takes, the faster the tornado will emerge.

The world is like a running program; when a variable appears, nothing seems to change at first because the world’s size is vast.

As the variable grows more significant, occupying a more considerable proportion, the final results will completely differ from the initial ones.

Jiang Banxia continued asking, "But why is the transaction frequency not high? I’ve been watching, and it’s somewhat different from the quantitative programs I imagined."

Li Yang’s quantitative program has a transaction frequency similar to her manual trading frequency.

Mostly, it’s tens of thousands of US Dollars per trade, neither big nor small.

Li Yang explained, "Quantitative trading is just about making some hard-earned money. If the transaction frequency is too high, aren’t we just giving money to others? The commission fees are unknown."

US stock transaction fees are charged per transaction.

The commission for a single trade is nearly $20. If we go all out, the little money Li Yang earns wouldn’t cover the commission fees.

Unless all $30 billion in funds is mobilized.

But if that happens, the US stock market will be turned upside down...

"Commission fees? Higher frequency means more profits, right?"

After all, the higher the transaction frequency, the greater the error tolerance.

If this trade loses money, the next one can make it back.

Quantitative trading doesn’t mean every trade makes money; it just has strong execution and is not swayed by personal emotions.

Li Yang waved his hand and said, "Mine is different; it values thinking over trading."

Jiang Banxia rolled her eyes at Li Yang. Does she believe him?

In just a few days, you put out all of $30 billion, and you say you value trading lightly?

If only she had joined at a better time, who knows how crazy the trading was a few days ago.

At the close of the market, Jiang Banxia glanced at the position data; they hadn’t made money today, in fact, they lost over three million US Dollars.

This was mainly because of the US stock market’s average performance and the low trading frequency on Li Yang’s side.

She felt this wasn’t Li Yang’s usual style.

After returning to their place, Jiang Banxia and Li Yang leaned against the headboard, chatting.

Jiang Banxia began, "Honey, was it because you were preparing for quantitative trading that you dared to request a $30 billion limit? You had everything ready long ago?"

"No, it was just a sudden thought, so I made a simple quantitative program."

"You did it yourself?"

"I don’t know how to program; I had someone else do it. There are too many algorithm experts over at Extreme Shadow Cars; they didn’t even have to exert much effort."

"Ha..."

If quantitative algorithms were that simple, the world would be full of quantitative trading.

These are money-operating programs, and while they might not compare in scale to those large models, their rigor definitely surpasses other algorithm architectures.

No one wants to gamble with their own money.

So, without dozens or even hundreds of tests, a quantitative program would never be employed.

Leaning against Li Yang’s shoulder, Jiang Banxia said, "Honey, did you know? Wanliu Capital has already become the fund with the most investors nationwide. Although it barely makes it into the top ten in terms of scale, our number of investors is twice that of the first-ranked, with over 3.6 million investors handing us their money to manage."