What Is Quantitative analysis?

Quantitative analysis is a method of evaluating securities by using mathematical and statistical models. It is a data-driven approach to investment that involves the use of numerical and computational techniques to analyse financial data and make investment decisions.

Quant traders, use tools such as statistical models, algorithms, and high-frequency trading technology to analyse market data, identify trends, and make predictions about future market movements. They rely on historical data, such as stock prices, interest rates, and economic indicators, to develop their models and test their predictions.

Quantitative analysis is commonly used in the field of finance, particularly in hedge funds and institutional trading desks, and can be applied to a variety of asset classes, including stocks, bonds, commodities, and currencies.