Method and system for controlling investment position risks

Abstract

The invention relates to a method and a system for controlling investment position risks. The method and the system are applied to the field of financial investment, and are particularly suitable for high-risk and lever trading investment modes; the problem of risk control for position weight during investment trading of an investor is solved, the mental states of greed and fear are overcome, the optimal income in a limited risk range is realized while position blast is prevented, and the efficiency of investment is improved. The system is simple and convenient in operation, a user only needs to input two groups of four data including reference parameters and trading parameters, the system can calculate the position value of the optimal risk-income ratio meeting the risk preference requirements of the investor under the current trading condition through a group of mathematical models, the position value of the optimal risk-income ratio is converted into the specific trading number of a corresponding contract, and the user determines to execute the trading through clicking or cancels the trading through clicking and abandons for turning back. The system is connected or embedded with an order system (client ordering software), the reaction is rapid, extensive application interfaces are provided, and the system can be suitable for the requirements of program trading and short-term high-frequency trading.

Description

technical field [0001] Applied in the field of financial investment, especially suitable for high-risk and leveraged trading investment methods. Background technique [0002] In recent years, with the rapid development of quantitative investment, a new problem has emerged, that is, quantitative models often have liquidation events when executing programmatic transactions. The reason is that position risk measurement is not considered and position control is ignored. In fact, position risk control is an old problem, because for a long time, in the field of financial investment, the vast majority of transactions have not been hedged, and position risk control has always been a thorny issue; If the risk is too underestimated and the position is too heavy, it will lead to an increase in unexpected losses, and the worst is a liquidation. Therefore, the psychology of greed and fear will cycle back and forth in the hearts of investors, lingering. One of the ways to solve this pro...

AI Technical Summary

Problems solved by technology

In fact, position risk control is an old problem, because for a long time, in the field of financial investment, the vast majority of transactions have not been hedged, and position risk control has always been a thorny issue; If the risk is too underestimated and the position is too heavy, it will lead to an increase in unexpected losses, and the worst is a liquidation

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