Strategies reacting to corporate events like earnings, mergers, or insider activity.
This paper reveals that high-frequency trading (HFT) is not one big strategy—but three distinct types. It shows that when HFTs compete in market-making, volatility actually goes down, and smaller exchanges become more viable.
High-frequency traders (HFTs) often compete with large institutional trades, raising execution costs for informed orders. This paper shows that when HFT speed is restricted, price impact drops—especially for skilled institutional traders.
This paper shows that high-frequency traders use their speed to crowd out slower traders from the most profitable limit order executions. They exploit fleeting imbalances in the order book and withdraw when risk increases—leaving slower traders with poor fills.
It’s not volatility, but the anticipation of risk that drives returns. This paper shows how timing macro events reveals the hidden premium of uncertainty.
Option volume can be an early signal for takeover events
This paper shows that Initial Coin Offerings (ICOs) can help startups grow by giving them access to funding and liquidity. Projects that make good disclosures, use tokens with real utility, and get listed on exchanges are more likely to survive and hire more employees later.
Most stock market gains happen during a four-hour window before European markets open. This paper finds that almost all returns come from this short time period, likely because investors are reacting to overnight news. A simple strategy that trades during this window beats buy-and-hold.