RESEARCH AREAS
0xNG QUANT
Let Code Test the Logic.
Quantitative research is not an automatic profit machine. It makes research hypotheses face data.
RESEARCH STANDARD
Robustness before elegance.
Robustness
Repeatability
Stability
Adaptability
Risk
BACKTEST ≠ FUTURE
Backtest ≠Future Performance.
Historical effectiveness does not guarantee future effectiveness.
RESEARCH CYCLE
Validation Never Stops.
DATA
CLEAN
HYPOTHESIS
MODEL
BACKTEST
OUT-OF-SAMPLE
STRESS TEST
VALIDATION
MONITORING
RISK
REVIEW
NG
Market structure, participants, liquidity and execution environments change. Models can fail and must be reviewed.
QUANT FAQ
Testing the Model.
Why does a strong backtest not guarantee future performance?
A backtest describes how a model behaved on historical data under specific assumptions. Future market structure, liquidity, costs and participant behavior may be different.
What is out-of-sample validation?
It tests a model on data that was not used to build or tune it, helping evaluate whether the logic generalizes beyond the development sample.
Why run stress tests?
Stress tests examine how assumptions and model behavior respond to adverse or unusual conditions rather than evaluating only normal periods.
What does NG mean in the quantitative cycle?
NG means review, rebuild, revalidate and iterate when a hypothesis, parameter set or model no longer behaves as expected.