Quantitative traders will help you get started: How to classify trading styles?

量化交易员带你入门：如何如何划分交易风格？ Quantitative traders will help you get started: How to classify trading styles? <!-- @@@ -- In the field of investment and trading, you often hear various "styles": some people focus on "Buy & Hold", some do high frequency trading every day, some pursue trends (Trend Following), and some specialize in bargain hunting (Contrarian)... The logic behind different styles, trading frequency, and risk characteristics are quite different. Below, I would like to share a more detailed classification of "trading styles" to help you better understand your own or others' trading methods, especially their potential risk and reward characteristics. <!-- @@@ -- 1. Static vs. dynamic 1. Static strategy (Static) - Definition: It hardly moves after buying. The income and risk mainly come from the asset itself. - Common Forms: - Buy & Hold: Simply buy a stock or ETF and never buy or sell again. - Fixed ratio rebalancing: If one asset rises sharply and the other falls, some of the assets that have risen will be sold and some that have fallen will be bought to ensure that the two assets maintain a predetermined ratio. - Risk Parity: Not only maintains a balanced market value, but also maintains a…