Future of Trading: Embracing Technology, Innovation, & Algo Trading with Tejas Khoday

In this video, Mr. Tejas Khoday will help us explore the transformative future of trading with technology, data, and algo trading. Discover how innovations and challenges are reshaping strategies and democratizing the trading landscape for all.

From the perspective of a broker in particular, the exchanges serve as the hub for all trading activity within the financial markets' technological architecture. To make trading easier, brokers employ a complex IT stack made up of hardware, software, and connections. The software, which is frequently set up on-site in Indian data centers, differs throughout brokers but frequently has widely utilized choices.

Hardware configurations can be distinctive, particularly when it comes to data center vertical scalability. Crucial elements include order management systems (OMS), which are usually hosted on-site and need a large server capacity in order to scale vertically. OMS server load is decreased by the horizontal scaling options offered by cloud infrastructure. While other non-trading processes may make use of cloud servers, fundamental trading activities continue to be housed within OMS servers.

Having a driver for your trading activity is similar to algorithmic trading, which is sometimes seen as complicated. Algorithmic trading employs predetermined algorithms to execute trades on your behalf, much like a driver follows your directions to navigate. Even with its democratization, its simplicity is not well known. For retail traders, comprehending algorithmic trading is similar to interacting with your driver using a computer language like Python.

FIRE API v3 and other algorithmic trading APIs provide smooth trading platform integration and are supported by a community, REST-like APIs, and SDKs. Traders can use online tools or freelancers to build and implement trading methods, regardless of their level of coding expertise. Brokerage firms might help with code, but customization, confidentiality, and continuous expenses demand customized approaches. Concerns about proprietary trading highlight how crucial trust and openness are. Algorithmic trading, which capitalizes on the global trend toward automated trading, offers a tempting alternative for time-constrained individuals without requiring any upfront funds or API fees. It is expected that regulatory frameworks will guarantee market integrity and address issues related to unregulated platforms.