Ameritrade vs Interactive Brokers
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How can I use algorithms that I have created on Quantopian on the stock market? Do I need to re-write the code for platforms like ninjatrader? We're working on building our live trading capabilities. We plan interactive brokers forex minimum trade size 104 letting you connect your Interactive Brokers account so that your Quantopian algorithms can be turned on live, and place orders to the market via IB. This is our biggest focus right now, and we hope to have something ready in the near to medium future.
You won't have to rewrite anything - once you are happy with an algorithm, it will be very easy to start trading it live with paper or real money. The material on this website is provided for informational purposes only and does not constitute an offer to sell, a solicitation to buy, or a recommendation or endorsement for any security or strategy, nor does it constitute an offer to provide investment advisory services by Quantopian.
In addition, the material offers no opinion with respect to the suitability of any security or specific investment. Interactive brokers forex minimum trade size 104 information contained herein should be regarded as a suggestion to engage in or refrain from any investment-related course of action as interactive brokers forex minimum trade size 104 of Quantopian nor any of its affiliates is undertaking to provide investment advice, act as an adviser to any plan or entity subject to the Employee Retirement Income Security Act of interactive brokers forex minimum trade size 104, as amended, individual retirement account or individual retirement annuity, or give advice in a fiduciary capacity with respect to the materials presented herein.
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Or will the costs be significantly lower seems unlikely, since then all of the IB customers would just use Quantopian? Or higher, since Quantopian has to make money, right?
I'm just trying to sort out the advantage Quantopian will be offering other than the nice browser-based backtester, free historical data, community forum, Python, etc. What's the business plan? I gather that your model is that there is a large, untapped market of individual algorithmic traders, but it would seem that the capital requirements and costs would need to be lowered to attract more interactive brokers forex minimum trade size 104.
As it stands now, we have already dramatically reduced the total cost for algo trading. Besides the time to develop a backtesting system, we have also arranged for free historical testing using high quality data. We will do the same for paper trading against a live market feed.
These are interactive brokers forex minimum trade size 104 substantial cost savings for the individual quant, particularly since they are costs that you would incur before you have the chance to generate profits by trading at all. When it comes to live trading, the cost structure is totally dependent on the volume traded through Quantopian. The more volume we can aggregate, the better we can negotiate with brokers, and the more we will be able carve out profits for Quantopian, and pass savings along to you as lower commissions.
As for capital requirements, the vision is for Quantopian to help quants connect with backers by providing backtesting results that can be compared to peers, audit-able performance track records for real trading, and massive global distribution. Capital introduction fees today border on the predatory, because new managers have interactive brokers forex minimum trade size 104 many hurdles to be marketable to institutional investors. This is another area where I think we can create profit for Quantopian while lowering costs and eliminating barriers for quants.
Of course, all of this is just pie in the sky until we execute trade 0 in the markets. That's why we are maniacally focused on building live trading. It will be interesting to see how your business evolves, having been observing and participating from a relatively early stage.
Not to be cynical, but one concern I have is that Quantopian will attract and enable a lot of gambler types. My sense is that your mission is to enable prudent, capable individual traders a relatively small marketbut my hunch is that you'll attract lots of gamblers a huge market.
Perhaps you could offer some kind of confidential review process of algorithms by professionals e. I love the idea of the review process. To make it scale, we'd need some way for the community to self-organize in this way. What kind of incentives could we create for the reviewers? I suggest thinking about an automated review process, which might be considered an extension of backtesting.
One thing you could do is somehow reconcile the Quantopian backtester with real-world trading with a specific broker. I gather that your first broker will be Interactive Brokers IBso you could work with them to ensure that the Quantopian backtester will, with high fidelity, simulate live trading on their system. For example, one concern I've seen is that of latency between order submission and order fulfillment.
IB should be able to provide detailed guidance e. I think the more cynical but fair point to make is that Quantopian has been financially supported by Getco HFT, arms race stuff. While you say we can keep our code private, ultimately you will have access to everything to your servers right? I love what you are doing here, but soon as you get to plug this into the real world things get ramped up to 11 for all involved! Thanks for the candor. We recognize that we are asking our members for their trust, and we've written a bit about it previously: We are always eager for advice and demands on the privacy and security we are building.
I believe we have to earn your trust by being completely transparent, protecting your algos, and coming clean whenever we hit a problem. As a start, our terms of service clearly stipulate the algos you make here are your private property. As an example, we were attacked in December and had to shut down the site for about 24 hours. We immediately let the community know what was happening, and we detailed the events on our blog: We learned a lot from the experience, and we continue to advance our security infrastructure.
Part of the thrill for us interactive brokers forex minimum trade size 104 gaining your trust in such a high stakes endeavor. We need to be ethical in our stewardship of your intellectual property, interactive brokers forex minimum trade size 104 solid in our technology execution, and totally open in our communication. Our ambition is to build a giant business around the execution of our members' algorithms.
We would instantly lose that opportunity if we stole your IP. While there are sure to be incredible winners running on Quantopian, I see a better long term for Quantopian if we are the platform for numerous winning algos.
I want to add one thing Fawce's answer. In the end, you're not trusting a company, you're trusting people. When we put up our About Us page we deliberately did not put in mini-bios and instead linked to our reputation-driven, external profiles. We are all active, trusted members of the technology and finance communities. I'm hoping that curious people like you can find a common link that can vouch for us as people that can be trusted.
I recently finished Bruce Schneier's book Liars and Outliers and it has some fascinating insight on the challenges of trust for individuals, corporations, interactive brokers forex minimum trade size 104, and society as a whole. One thing I am sure you have thought of, is the easier you make the perception of this, the wider the net of people that come in to play, the wider the net of people that might dabble with connectivity to the real world.
It may not be pretty. Though I have no idea of any perceived drain on their esources, it is something they do offer at present with an admin style account I think? It would be great such order types are built interactive brokers forex minimum trade size 104.
The code interactive brokers forex minimum trade size 104 be much easier to read and I believe it would be easier to migrate the algo from backtest to live trading in IB. As far as I know these type of orders are supported in IB naively.
I'm curious what you'd like to see next - as in, what's the next order type to add to the support list. The different order types that Dan listed are actually implemented in zipline already, thanks to the wonderful contributions of zipline contributor Tony Worm.
You can review his implementation on github if you are interested: Also in the queue for zipline are higher level order management functions from also wonderful zipline contributor Jeremiah Lowin. Jeremiah's proposed changes are being reviewed for merge, and you can see the proposed changes in this github pull request: My current stream of work includes exposing these new interactive brokers forex minimum trade size 104 in Quantopian.
I'd love to hear your thoughts and requests. You obviously have a relationship established already with IB. I have two questions. Is this your understanding? We will support other brokers over time - anyone you'd like to see us prioritize? I don't have a priority. Dukascopy interest me but they are Forex only. But then they are Java-centric Forex has lower account limits because they aren't regulated by the SEC.
Makes for a much looser market - and a greater need to be careful! That figure sounds about right to me -- only large institutions can have larger leverage than 4: Forex is accessible to everyone, basically. Because great algorithmic researchers are not always in the same set of people who have huge piles of cash lying about. Leverage is a far better tool in forex, as compared to stocks, since you can basically control your interactive brokers forex minimum trade size 104 to volatility with a lower leverage.
And going up to As far as I know, IB's minimum deposit is 10k. For day-trading, which is probably what someone here needs, it is 25K. Reg T margin, i. About IB live trading, do you already know how it will work? When we can use Forex, interactive brokers forex minimum trade size 104. When we will be able to live paper trade?
When we will be able to live trade? Understandably, there are many factors that could affect this but do you and your team have a rough estimate for when these will be available?
Lastly, interactive brokers forex minimum trade size 104 mentioned before that one of the goals of Quantopian is to connect quant developers who may not have the funds with investors who do.