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Algorithmic Trading If you’ve ever wondered how trading firms execute massive volumes of orders in split seconds, or how “bots” seem to respond so fast to market movements, you’re likely thinking of algorithmic trading (often shortened to “ algo‑trading ”). It is one of the defining trends in modern financial markets. Behind its promise lie huge advantages—and equally significant challenges. This article walks you through what algorithmic trading is, how it works, why it matters, the risks, strategies, regulatory & ethical issues, and what the future might bring. What Is Algorithmic Trading Algorithmic trading refers to the use of automated, pre‑programmed instructions ( algorithms ) to execute trades in financial markets, based on variables such as price, timing, volume, or other market conditions. The goal is to automate decision‑making, to take advantage of speed, scale, and data in ways beyond what human traders can reliably achieve. Algorithms can be simple: “if price drops ...

Accretive When you first hear “ accretive ” in a financial or corporate context, it may feel like jargon. Yet it captures a simple but powerful idea: something that adds value . In everyday English, “accretive” is the adjective form of “accretion,” meaning growth by gradual accumulation. In finance, that “accumulation” often applies to earnings, assets, or value added from a transaction. But “accretive” is not just a flourish of language—it’s a lens through which investors, managers, and acquirers view deals. It’s one of the first filters to judge whether a merger, acquisition, or investment is likely to enhance value for existing shareholders. What Does “Accretive” Mean in Finance? In Corporate Finance (M&A) In mergers and acquisitions , the term is most commonly used to refer to a deal that increases the earnings per share (EPS) of the acquiring company post‑transaction. If the acquirer’s EPS after the combination is higher than it was before, the deal is called “accretive....

Asset Management Introduction Asset management refers to the systematic process of developing, operating, maintaining, and selling assets in a cost-effective manner. In finance, it broadly involves managing investments on behalf of individuals, corporations, or institutions to grow wealth and optimize returns. However, the scope of asset management also extends beyond financial investments to include physical assets such as infrastructure, machinery, and equipment. There are two primary domains within asset management: Financial asset management , which focuses on investment portfolios including stocks , bonds , mutual funds , and more. Physical asset management , which deals with tangible assets across sectors like manufacturing, energy, and logistics. An important distinction within financial asset management is active vs. passive management . Active managers seek to outperform benchmarks through research and market timing, while passive managers aim to replicate the perfo...