AlphaHub Frequently Asked Questions (FAQ)
What is AlphaHub?
AlphaHub is a trading signal generation service that seeks to offer average individuals access to trading signals based on high-quality, scientifically validated and AI-empowered trading algorithms of equal quality (in terms of risk-adjusted return) to the world’s top hedge funds, democratizing stock trading via AI, data science and econophysics.
What is the typical performance of your algorithms?
While we cannot guarantee future performance, and all investment decisions should be made at each user’s individual discretion in consultation with professional financial advisors, the historical performance of our algorithms range from 100-200% gains per year. Meanwhile, our best algorithm, has demonstrated 3x returns over the past year. On average, this translates to roughly 10% gains per month.
How consistent are your gains?
While our algorithms can vary slightly in terms of real-world performance within slight margins, on average the performance curve demonstrates exponential growth, which is an indication of consistency and stability of alpha over time.
How risky are your algorithms, from a risk reward ratio perspective?
The largest drawdown we have seen has been about 20%, but numbers that high are rare. Although we are unable to predict the occurrence of individual drawdowns, we are characterizing them to be able to keep track of size and and amount over time.
What makes your approach to trading signals different?
The signals offered by AlphaHub are generated by proprietary trading algorithms that combine the latest advances in artificial intelligence, machine learning, and econophysics to create highly profitable and adaptive trading algorithms.
We also offer multiple portfolio management options tailored to their specific risk/reward preferences. Unlike other algorithmic trading firms, who rely on traditional financial indicators derived from the field of financial engineering, we employ a highly scientific approach to the development of our trading strategies, market models, and adaptive execution platform.
Our overall aim is to offer trading signals of equal quality to those offered by the world’s top hedge funds in a socially-inclusive manner, without the high performance, and management fees and cumbersome capital lock-in periods typical of the hedge fund industry. We use science, AI, and data analysis to offer regular individuals the same kinds of potential financial gains typically limited to the wealthy elite.
When are your signals produced?
Our signals go out at 9:40am, 10 minutes following the opening time of North American markets. This decision is based on our results being more consistent and reliable compared to when we released those signals upon market opening. By waiting a few minutes to release the signals, it allows the markets a few minutes to settle down from the initial burst of activity following market opening.
Do I have the option to diversify my risk profile?
While we currently only offer trading signals based on Minotaur Optimus 1, Quantonomy’s best algorithm (i.e., with the highest risk vs. reward profile), we have a number of trading signals based on other Quantonomy algorithms with different risk-reward profiles, which we anticipate making available to the public in the coming months.
Can EU and non US residents and citizens use your signals?
Yes, there are currently only two ways to trade using our signals as EU and non US citizens. 1.) by hand and managing your trades manually with our signals, 2.) you are able to integrate your broker with our webhooks, although it is not something supported by any EU based brokers at the moment.
Who is Quantonomy?
Quantonomy is the company that developed the algorithms used to generate AlphaHub’s trading signals. AlphaHub has an exclusive licensing agreement with Quantonomy, allowing us to offer the decisions made by their trading algorithms as trading signals.
Quantonomy is a proprietary algorithmic trading firm that combines the latest advances in artificial intelligence, machine learning, and econophysics to create highly profitable and adaptive trading algorithms. They offer multiple portfolio management options for their clients, tailored to their specific risk/reward preferences. Unlike other algorithmic trading firms, who rely on traditional financial indicators derived from the field of financial engineering, they employ a highly scientific approach to the development of their trading strategies, market models, and adaptive execution platform.
Our team in Quantonomy combines complex mathematical modeling using the latest advances in artificial intelligence, and machine learning to create a seamless algorithmic trading infrastructure. It is both optimized for real-world markets and highly adaptive to a range of different market conditions.
Do you offer any automated traders based on your trading signals?
Yes. Our fully automated trader is available on our GitHub repository. It requires some setup on a Windows machine, which we cover in our video guide.
If you use a different operating system or prefer more flexibility, you can build a customized trader with our WebSockets API. To show how to use it, we've published some sample code along with a tutorial video.
If you'd prefer to use a cloud-based solution, you can always try the Arcade Trader platform with our signals. Be sure to use discount code ALPHAHUB20 to get 20% off the Advanced plan. To learn more about our partnership with Arcade Trader, check out our announcement blog post.
Quantonomy is focused on producing signals. But we recognize the importance of being able to efficiently execute signals. Although we don’t offer automated trading solutions as a product, we and our growing community have been developing various solutions to allow for anyone to be able to trade our signals.
Can people outside US use your signals?
Yes, our current focus is with US stocks, and several international countries offer trading brokers for these stocks. Unfortunately these trades would have to be done manually, because only a few brokers around the world have well developed and documented APIs like Alpaca’s. We are looking to scale up our automated trading solution, and searching for similar quality brokers and APIs worldwide. If you are aware of any, let us know.
Do you offer guides on how to use your services?
Yes.
We have a general guide on how to use AlphaHub and our signals, here:
We also have a Registration & Subscription Guide, and a guide on how to use our Automated Trader.
Do you have any sort of community? How can I get in contact with other users of your service?
We encourage you to subscribe to our YouTube channel for more tutorials and updates from the team.
We also have a Discord channel where we answer questions, respond to feedback, and chat about the algorithms' performance with our subscribers. You'll receive an invite to join once you subscribe to an algorithm.We occasionally write longer posts on our trading practices and insights on our Medium page. One example: 400% returns in 1.5 years trading a NASDAQ 100 stock per day.
You can also connect with us on Facebook, and you can always email us with any questions or comments.