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Comment by SnorkelTan | Hacker News Reader

I remember reading a reddit thread that detailed the broad outlines of one of Renaissance's trading strategies. From memory it was basically arbitraging indexes of certain groups stocks by buying/selling the underlying stocks using leverage when the index deviates from the price of the assets. They used predictive modelling from lots of data sources to determine when this would occur.

Does anyone have the link?

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There's nothing new in what you described. Saying "they arb and use lots of data" contains exactly as much information as saying "they buy low and sell high". The implementation details are everything.

The Reddit link I was hoping someone had contained specific symbols and detailed information about the strategy. I kept my summary general because I wanted to keep the summary as accurate as possible.

The Reddit discussion on algo trading: https://reddit.com/r/algotrading/s/zYzV6XxR0p

Quora discussion from an informed source: https://www.quora.com/What-are-the-investment-strategies-of-...

Also talks about the barrier option they buy from investment banks for hedging purposes and the tax situations.

This us just simple index/etf arb. It is not about what they do there is certainly something in how they do it and it is most likely something common that they replicate in all their strategies.

I hope someone answers with the link, I'm very curious myself.

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