SI171: Machine Learning Trading Strategies ft. Hari Krishnan

Today we’re joined by special guest, Hari Krishnan, to discuss the advantages and drawbacks of machine learning-based trading strategies, successful funds that utilizes machine learning investment techniques, defining machine learning and comparing it with artificial intelligence, how Trend Following can best integrated with machine learning, the history of machine learning in the investment world, and we also answer some of your questions, such as how to select signals for a smaller trading account.
In this episode, we discuss:
The reasons for and against machine learning trading strategies
If any funds have successfully implemented machine learning
What defines machine learning
The history behind machine learning-based trading styles
How to manage smaller trading accounts, when it comes to signal selection
How to time the entry into trend following funds
If you would like to leave us a voicemail to play on the show, you can do so https://www.speakpipe.com/ttuvoicemail (here).
Check out our series on Volatility https://www.toptradersunplugged.com/podcasts/volatility/ (here), and our Global Macro series https://www.toptradersunplugged.com/category/global-macro/ (here).
Learn more about the Trend Barometer https://www.toptradersunplugged.com/resources/market-trends/ (here).
IT's TRUE 👀 - most CIO's read 50+ books each year - get your copy of the Ultimate Guide to the Best Investment Books ever written http://bit.ly/36bzny2 (here).
And you can get a free copy of my latest book "The Many Flavors of Trend Following" http://www.toptradersunplugged.com/book (here).
Send your questions to [email protected]
Follow Niels & Hari on Twitter:
https://twitter.com/TopTradersLive (@TopTradersLive) & https://twitter.com/HariPKrishnan2 (@HariPKrishnan2)
And please share this episode with a like-minded friend and leave an honest rating & review on https://www.toptradersunplugged.com/reviewttu (iTunes) so more people can discover the podcast.
Top Traders Unplugged wins award for https://www.theinvestorspodcast.com/podcasts/the-20-best-investing-podcasts-in-2020/ (‘Best Trading Podcast’ and features among the ‘Top 20 Best Investing Podcasts in 2020’ by The Investors Podcast) 🏆
Episode TimeStamps:
00:00 - Intro
01:25 - Feel free to share this podcast with like-minded friends using this link: https://top-traders-unplugged.captivate.fm/listen (https://top-traders-unplugged.captivate.fm/listen) and a big thank you to those who have left a rating or review on iTunes
02:38 - Macro recap from Niels
04:52 - Weekly review of returns
09:58 - Q1; Daniel: How do I choose which signals to take when too many arise for a small account?
15:21 - Q2; Mervin: Do you have any advice for finding low-risk entry points into new TF funds?
25:31 - The history of machine learning and how to define it properly
44:24 - How can machine learning be profitable during rare market moves when the data sample size for these moves is so small?
48:41 - Which specific areas of Trend Following are more suited to Trend Following? How risky is it to blindly follow a machine learning strategy? 
54:20 - Do you classify machine learning as a form of artificial intelligence?
55:55 - Have you come across any machine learning funds that have done well for a reasonably long period of time?
01:00:48 - Tell us about the recent experiment that Man Group carried out using Machine Learning to select a perfect (and sustainable) Christmas dinner?
01:04:44 - Announcement of future special Top Traders Unplugged episodes hosted by Hari Krishnan, as well as special episodes of the Systematic Investor featuring all the usual co-hosts over Christmas
01:06:18 - Benchmark performance update

Today we’re joined by special guest, Hari Krishnan, to discuss the advantages and drawbacks of machine learning-based trading strategies, successful funds that utilizes machine learning investment techniques, defining machine learning and comparing it with artificial intelligence, how Trend Following can best integrated with machine learning, the history of machine learning in the investment world, and we also answer some of your questions, such as how to select signals for a smaller trading account.

In this episode, we discuss:

The reasons for and against machine learning trading strategiesIf any funds have successfully implemented machine learningWhat defines machine learningThe history behind machine learning-based trading stylesHow to manage smaller trading accounts, when it comes to signal selectionHow to time the entry into trend following funds

If you would like to leave us a voicemail to play on the show, you can do so here.

Check out our series on Volatility here, and our Global Macro series here.

Learn more about the Trend Barometer here.

IT's TRUE 👀 - most CIO's read 50+ books each year - get your copy of the Ultimate Guide to the Best Investment Books ever written here.

And you can get a free copy of my latest book "The Many Flavors of Trend Following" here.

Send your questions to [email protected]

Follow Niels & Hari on Twitter:

@TopTradersLive & @HariPKrishnan2

And please share this episode with a like-minded friend and leave an honest rating & review on iTunes so more people can discover the podcast.

Top Traders Unplugged wins award for ‘Best Trading Podcast’ and features among the ‘Top 20 Best Investing Podcasts in 2020’ by The Investors Podcast 🏆

Episode TimeStamps:

00:00 - Intro

01:25 - Feel free to share this podcast with like-minded friends using this link: https://top-traders-unplugged.captivate.fm/listen and a big thank you to those who have left a rating or review on iTunes

02:38 - Macro recap from Niels

04:52 - Weekly review of returns

09:58 - Q1; Daniel: How do I choose which signals to take when too many arise for a small account?

15:21 - Q2; Mervin: Do you have any advice for finding low-risk entry points into new TF funds?

25:31 - The history of machine learning and how to define it properly

44:24 - How can machine learning be profitable during rare market moves when the data sample size for these moves is so small?

48:41 - Which specific areas of Trend Following are more suited to Trend Following? How risky is it to blindly follow a machine learning strategy? 

54:20 - Do you classify machine learning as a form of artificial intelligence?

55:55 - Have you come across any machine learning funds that have done well for a reasonably long period of time?

01:00:48 - Tell us about the recent experiment that Man Group carried out using Machine Learning to select a perfect (and sustainable) Christmas dinner?

01:04:44 - Announcement of future special Top Traders Unplugged episodes hosted by Hari Krishnan, as well as special episodes of the Systematic Investor featuring all the usual co-hosts over Christmas

01:06:18 - Benchmark performance update