Everything you need to know to become a quant trader (top 5 books)

[@CodingJesus]

So anon, will you be reading these books or will you give up on your dreams?

[@kyuss0x1]

These books suck you are not real trader lol

[@rahulprasad2318]

Bro what are your thoughts on taleb? He is blue pilled on iq question :(

[@CodingJesus]

@@rahulprasad2318 He’s blue pulled on Bitcoin. You just take the parts of him that you like.

[@optimizedpran1247]

@@kyuss0x1 He isn't a trader but these books are pretty widely read in the quant community.

[@pazdowg]

@@CodingJesus CJ, is it true that most firms only hire graduates? Is it possible for someone to transition after a year in another STEM based role?

[@lallmanish90]

five books mentioned in the video: 1. Option Volatility and Pricing by Sheldon Natenberg 2. Frequently Asked Questions in Quantitative Finance, Second Edition by Paul Wilmott 3. Python for Finance by Yves Hilpisch 4. Linear Algebra by Gilbert Strang 5. Advances in Portfolio Management by Grinold and Kahn

[@rickyliuna9376]

What about General Python (Not For Finance) book?

[@Larussiecestlavie]

ty bro

[@gregorybennings8718]

Which book do you start with? What level of math do you need? I tried reading the Wilmott book and was confused.

[@MK-yg7zf]

Not a good move. Not a good move at all. Respect the content creators and the effort they put in.

[@gregorybennings8718]

​@@MK-yg7zf Took me 5 seconds to read that comment as opposed to 17 minutes to watch the video. It's a very good move, and an efficient use of time.

[@rickneibauer1]

I wish i could speak like you. One thing i notice that you are EXCELLENT at is recapping/summarizing or even rephrasing a potentially overly complex idea. You make things very digestible. Thank you!

[@sentralorigin]

my top 5 are: 1) Harris - Trading and Exchanges 2) Sinclair - Volatility Trading 3) Taleb - Dynamic Hedging 4) Hull - Options, Futures, and Other Derivatives 5) Natenberg - Option Volatility and Pricing

[@moal5673]

Hull is the bible in my firm

[@khoadoan8966]

Hull is so godlike, it's the first book I've read and a reference for me until now

[@CodingJesus]

Sinclair’s felt way too choppy. He jumps from idea to idea in the span of a paragraph. Hull is too dense. I prefer the intuition to the theory. Taleb and Natenburg are my go-to.

[@robertmazurowski5974]

@@CodingJesus "I prefer the intuition to the theory" That is the language of technical analysis, Please stop doing this. Did you listen to the guy in the videos? Just watch a couple of videos.

[@gwagon3268]

@@robertmazurowski5974 basically this guy is a complete hypocrite

[@galvinng1997]

These books are top notch! Independently arrived at this conclusion from Coding Jesus. Thanks for sharing with the community!

[@Jean-Berry]

So happy to see you recommend linear algebra by strang and linear algebra done right. They are very underrated

[@jongxina3595]

ladr is awesome!

[@BryWMac]

returned to school to study math after starting my CFA journey and mainly liking the quant section, feeling lost thank you for this

[@itooflemma]

Good choice, get the PhD in applied Maths and quant finance won't be as hard to dive into. Personally I just did a MFE to skip 2 years.

[@ssublexff3465]

Linear Algebra as a Software eng student is the best part and probably the most used part of math in most of the fields. That involve eng or econonmics. It is surely beautiful and if you take time to understand the concepts you will get to love it

[@chrstfer2452]

Read the linear book ages before i decided to be a quant, and watched all the lectures. *HIGHLY* recommended.

[@airgin3000]

Which book are you talking about again? Linear book?

[@teenspirit1]

Python for data analysis is so hardcore, it starts off with time zones. The first thing you need to know about programming if you are trading a global set of futures.

[@gamingandgunpla]

You know what makes your channel attractive to me? The lack of sensationalism. You're very cut and dry with what you're conveying. Anytime a youtuber uses sensationalism I am automatically skeptical. Sometimes it may just be their personality but with all these "Day Traders" selling their courses it's hard to not be suspicious.

[@master1dead2]

Yeap 🫶🏼

[@WhatsNextFam]

Such a back handed compliment , you’re pretty much saying you like him cause he’s boring 🤣

[@tonnyli5834]

Day Traders are the biggest f*****g scams bro

[@khazaddim]

I agree. I like him for similar reasons.

[@gamingandgunpla]

@@WhatsNextFam You should be critical of those who use sensationalism to sell you anything.

[@wajdanali1354]

I noted these "Option Volatility and Pricing" by Sheldon Natenberg "Dynamic Hedging: Managing Vanilla and Exotic Options" by Nassim Nicholas Taleb "Frequently Asked Questions in Quantitative Finance" by Paul Wilmott "Python for Data Analysis" by Wes McKinney "Python for Finance" by Yves Hilpisch "Linear Algebra" by Gilbert Strang "Linear Algebra Done Right" by Sheldon Axler

[@thegreatbambino3358]

Gilbert Strang's linear algebra course on open course ware is a must

[@jsha129]

Love Linear algebra by Strang. Probably one of the best books on applied linear algebra..much better than linear algebra by Anton. Linear algebra done right is good but it focuses on too much pure mathematics instead of applications.

[@christopherlucas1475]

Strang also has (bit older) course on MIT OCW that uses his book. I love Gilbert Strangs' approach. Got me through my undergrad LA course

[@locallyringedspace3190]

Linear algrebra and learning from data is another more recent (2019) book by Strang that I think is incredible. It has a much more colloquial tone and is an excellent read for a 2nd or 3rd pass of the subject.

[@ganeshshetty625]

Thank You for the recommendations Coding Jesus!

[@DustinChambers-x1j]

Awesome Vid, Colin Bennett - Trading Volatility is a life and time saver and deserves credit. thx

[@sonuga]

This should have a thousand likes...lol. Indeed a time saver. ✅✅

[@inconnuxtd]

bruh this channel is pure gold, i found it by chance

[@yochonon4728]

Just discovered your channel, will be buying all these books, hope you keep posting.

[@realMuslimTopG]

I'm trying read these books and work on the skills they are trying to teach their readers before I get into college

[@jgfunk]

I read that first book like it was one of the books of A Song of Ice and Fire. Plowed right through it. Loved it.

[@bruvhellnah]

What prerequisite one must have before reading that book? I'm a recent computer science graduate.

[@jgfunk]

@@bruvhellnah basic math and analytical skills.

[@juan3551]

I love all the information you give us and the peace you emanate through your videos ❤

[@pegion89]

I coded technical indicators to get into trades and its been good so far.. Been 6 months.. I am only taking swing trades .. Will read through these for sure

[@nikolaiknight3606]

What language did you code these indicators in?

[@pegion89]

@@nikolaiknight3606 python

[@pilotgfx]

​@@nikolaiknight3606 yes

[@conorlynch6711]

You are awesome man, such good content for individuals looking to break into the field. Keep up the great work.

[@PhrontDoor]

Strang just retired. Got to see his send-off in person. He rocks.

[@ericmotocross]

You go to MIT?

[@PhrontDoor]

@@ericmotocross Went.. long ago. Got an invite to Strang's send-off and couldn't bear to miss it.

[@avgb2115]

The video and information i was searching for weeks...I just can't thank you enough...👌👌👌

[@avgb2115]

@condingjesus1...me...written

[@reflective-thinker7817]

No one can predict what will the stock market behave tomorrow and quant analysis is a very sophisticated way of speculating (advanced linear algebra with stochastic calculus can’t predict the future guys 😮😮😮)

[@omarespino964]

Thank you for your INSIGHTFUL advice!

[@AB608052]

I got it now, I've been managing a online account now, for maybe 6 months. High frequency trading, it already sounded like a cheaters way. In the book about ADT, yeah, the guy says he came up with high frequency trading when he was high.. or he felt he confirmed the idea when he was stoned.. so I said, this must not be the method of a confident man! Right, so, you can sit at the bottom of the order book, doing 1 share at a time.. the regular speed algorithms everyone else is using will keep the order book nice and neat, and you can acquire or unwind at the same price as a small time trader. I was going to buy a book about it, I probably still will

[@ryanhuang6318]

If the whole purpose of studying and understanding quant trading is to enjoy an exponential growth of your wealth, then why not trade for yourself at home instead of looking for a job trading for a firm? Since jobs offer you salaries which is linear growth, wouldn't it defeat the whole purpose of learning about quant in the first place?

[@mrnoble3896]

What about quant analyst?

[@strategy_gal]

Thanks for the recommendations! These are good ones!

[@tylascraig9306]

I already had Natenberg's book on the hit list because I've loved options for 2 decades now. I went ahead and added all of them to my Amazon book wish list except for Technical Analysis is BS. I just discovered your page, and I have doubts about you buddy. I did like the vid though.

[@optimizedpran1247]

Question for CJ: at quite a few firms, it's reported that junior Quant-Devs have a much higher base than junior quant traders. Could you talk about this? I've heard that depending on the firm culture and strategies, sometimes it's the devs who are valued more whereas the traders are simply sitting in a chair staring at risk charts on software built by the devs.

[@CodingJesus]

You are right. Traders have lower base but higher bonus since their employment is a lot more contingent on performance.

[@123-f6j8h]

@@CodingJesus How do quant firms make most of their money? Is it arbitrage or just capturing the bid ask spread?

[@gabrielrodriguez8187]

@@123-f6j8h depends on the firm and desk, I know that JS does some of this but that isn’t their main thing as they aren’t a HFT firm

[@123-f6j8h]

@@gabrielrodriguez8187 Interesting! I think what CJ does at Akuna will probably be vol arb the difference between implied and realised vol.

[@MLAlgoTrader]

Wilmott book is the best!

[@richardwalcott6373]

Good vid. My favorite is dynamic hedging. I first got introduced to nassims work after follow from reading Mandelbrot’s work. Very good book man. I would also suggest Mathematical Modeling And Computation In Finance by Oosterlee and Grzelak. I recently finished that i its pretty comprehensive. And the math is more applied than theoretical. Keep up the good work !!

[@sidddddddddddddd]

And the best part about the second book is that he has two playlists of video lectures based on part 1 and part 2 of his book.

[@markstewart6069]

Thanks just got a interview at jump and sig

[@AB608052]

I.e. black scholes. Setting prices with historical volatility makes some sense, but if the prices have a obvious trajectory would you still do it? So then the volatility is "implied".. ok? But then really a good strategy in options is to sell contracts and buy them back.

[@kaushal.mp4]

*@**1:28** min, You Really Cleared Off My Biggest Doubt Man! It was Huge Thought Relief Jesus!*

[@duyou2276]

Hey, Thanks your the content. Can you please make the same kind of video for Quant researcher.

[@riankashyap1996]

This is beautiful. Thanks for being the light amongst the darkness @CJ.

[@raywhyms8441]

He is the darkness.

[@mikeygifford]

Nice! I’ll look into pandas instead of using lists and dicts. Maybe I can calculate probabilities easier that way

[@pietroghsvf]

Even you read the books and know everything, how would you get them to actually read your CV or to consider you if you're not already in the field either academically at university or professionally?

[@AndresSanchez-mm7rf]

Been trading for 9 years, been able to live off of it but I came to the conclusion that most of Tech Analysis is Bulshit. I haven’t used a MA, EMA, MACD or RSI or none of that bulshit in years. I’ve always said, at the end of the day it’s always 50/50. I do believe a lot in market structure and low to high price volatility impulses but fuck I’ve been wonder how the Quants do it and the last book you recommended gives me a lot of confidence that this is something I should be investigating further- Thank you!

[@Residencyplus]

Data. They use Support and Resistance. And get Data of weakness or strength of buys and sells , then act on it

[@jyotishkochatterjee6837]

00:00 Top five books to read if you want to break into quantitative trading 02:18 Learn the basics of finance and advanced concepts with this reference book 04:36 Frequently Asked Questions in Quantitative Finance is a useful interview prep and refresher book 06:55 A refresher book for financial concepts is pocket-sized and helpful for quantitative trading positions. 08:57 Learn the fundamentals of Python, including pandas and numpy, time-series analysis, and data aggregation. 11:02 Read these four books to break into quantitative trading 13:09 Advances in Portfolio Management is a collection of essays for those interested in quantitative finance and portfolio management. 15:14 Top 5 books for quantitative trading

[@kilocesar]

great content man!

[@jjcoronado02]

Thank you Coding Jesus! I'll recommend your vids to my friends.

[@user-wr4yl7tx3w]

what is the best book in 2023 on algorithmic trading?

[@lovepreetsingh8498]

whats the difference between quantitative trading and day trading? Coming from the video you talk about why not to be a day trader.

[@NutsAboutData]

With all your blessings I shall prosper on this!

[@peppercorn4196]

marke menervini was a highschool drop out yet he became a quant trader on his trading career

[@BreezeTalk]

This is awesome dude, thank you so much

[@vaibhavsalokhe7603]

The market variables in quant trading just seem really intimidating

[@flippantfishtaco3132]

I think you should consider adding The Black Book of Financial Hacking by Johann Christian Lotter. I finished this one recently and it has made it much easier for me to approach some of these extremely technical issues that are in these books you're recommending. Also, it's written for those of us who want to build our own trading systems for trading our own money, and some of these books you recommend probably don't have that audience in mind.

[@scamperooniespanker8736]

lol the pic at 10:28 looks like the optiver office in the prudential building

[@Poizn0]

hey, thanks for this, are you a quant yourself?

[@p-air6697]

Is there an updated version of this video?

[@mshparber]

I remember I read Hull, it was sooo interesting, but I lacked the math basis

[@wifeybaby4001]

Is this to learn about the stock market? I’m new to trading & stocks?

[@AB608052]

I have to be honest, I have a book I'm reading right now about quant trading . It's incredibly dense with symbols and it might actually be a book for quants to review, but the thing is, I'm honestly skeptical that quants make money, that's the actual truth.

[@carolbricker4434]

Thank you. Love your videos

[@EXMUSLIM4264]

lol.. Technical Analysis + Wave Analysis + Psychology management + Stop Loss rules + entry rules = 27 millions in my account..

[@pseudosupprimer8016]

2700 billions to my part

[@gauravgawade8499]

Hey what should I do to become a quant trader

[@pseudosupprimer8016]

@@gauravgawade8499 good question.

[@inducement]

ahahah, 20 trillion in mine

[@MrGlujaN]

Thank you I was looking for that books for a while 🤠

[@eyerocmedia5253]

whats the success rate of a quantitative trader in the market ?

[@zubrenostumbi8887]

can i be a Quant trader after master's in Quantitative Finance?

[@edgarusg6239]

this is the video i was waiting for, thank you jesus!

[@melantheoszimurri9981]

Do these books apply for forex traders

[@coleyoutubechannel]

Thank you thank you thank you!!!!!!! Your videos are super helpful I really appreciate it

[@LeviThunderstorm]

@codingJesus pls it's not clear to me. Is Quant trading same as high frequency trading?

[@upstateNYfinest]

Hey coding Jesus, I'm about to complete the CFA. Do you have any hot takes on it?

[@gmmkeshav]

Can you please tell the names 1:30 please I like reading complicated stuff Thank you

[@Softdattel]

Is there a non distributed, secret edition of "Quantitative Trading for Dummies"?

[@Leo-xv8uq]

Any1 have some books for quant dev or are they much the same?

[@MrAman47]

it's not "Iotas" it's "Ito-os". It's even got the long sound sign over it >

[@patrickdurdenman7221]

Ridiculous my Friend, need to obtain all of those since it's exactly my goal to break into this field :-)

[@jigmet70000]

THANKS! a lot for sharing 👍

[@erikanderson1402]

“How to use computers to put unnecessary strain on our credit structure!” Brilliant

[@Alpha-kv3ou]

Can an absolute novice to quant trading start reading this? I'm a trader but not a quant

[@unclek7175]

Thank you, Coding Jesus!

[@CodingJesus]

I was thinking of Iota the cryptocurrency when I said “Itos Lemma” 😂

[@kyuss0x1]

Iota is soooo last year, try an other buzz work fake quant Jesus lol

[@Mehdi-ep1zh]

Was looking for a comment about your pronunciation of Itô's lemma lol

[@SuperReddevil23]

I read Monte Carlo Methods of Financial Engineering by Glasserman, for my quant interview

[@ΦοιβοςΒασαλιος]

I used to study mathematics(i have bachelor/master) what to study in advance level for quant trading

[@RuneCutter456]

What math prerequisites do I need to start reading option volatility and pricing strategies (currently in my final year of engineering)?

[@Qliphirot]

Arithmetics and Algebra

[@julianbeatty2909]

Calculus 3, intermediate statistics, some linear algebra.

[@umarahmed3113]

Where are the best places to learn about programming through videos?

[@smitpatel1436]

can you make a separate video about top books to read for Quantitative research field

[@CodingJesus]

Yes, I’ll get to that.

[@SantoshLLC]

Ask an ACTUAL quant researcher

[@wajdanali1354]

What about the math books for stochastic calculus ?

[@martinsl1979]

Hahahaha. No, I repeat...No serious daytrader says they have a 90 % win rate. Maybe a scalper in a single session. Having a 50 % win rate is very normal for good daytraders. RR just needs to be 1:2 or higher.

[@Brain.00005]

Can you talk about the work life balance for a quant??

[@CitsVariants]

Do they pay not enough to afford barber?

[@ericpezone7478]

@CodingJesus what do you think of the book 'Machine Learning for Algorithmic Trading' by Stefan Jansen?

[@ropirito]

Hey Coding Jesus, thank you for all of this info in a straight forward way! Are there any certifications you would recommend we should get that would help get interviews in the quant space?

[@koduruharikrishna520]

What is the qualification background required to became a trader

[@Pkmafffy]

TL;DR I have the correct back round but have been working as a data scientist for 3 years. Do you think I can become a quant still? I has a first class masters in mathematical modelling from a UK top 10 uni which focused on fluid mechanics with one quant finance course which I got 81% in. I finished this 3 years ago and have been working as a data scientist ever since. I am coming to the end of being 26 years old and have been learning c++, been working through 'Hands on Machine learning for Algo trading' by Stefan Jansen, and am going to start reading the first book you mentioned and the book by Paul Wilmott. Do you think I still have a chance to get a job as a quant analyst or trader in the next 18months? Also, you content has really helped me so good job!

[@anthonyhall7449]

Yes! Go for it!

[@seigemain]

Any updates ?

[@evanchua7614]

Hi CJ for option volatility & pricing , there is a new edition should i read the new one or the edition you recommend?

[@ariston111]

Where'd you get that shirt?

[@vipulkumar-hi5gp]

Is it applicable on Indian stock market

[@anrelins]

humble quantitative developer, what is point saying 45+ years old ppl couldn't become a developer/trader?

[@Rohith_S_Siddeshwara]

As someone who is not american and does not live in america how hard is it to get this job in US

[@Harsh-bq8gt]

I am just going to start college can I read these books

[@rajtanwar5650]

Please make a review on the book Kelly criterion and fortune's formula. These are also underrated concepts in trading.

[@gabrielrodriguez8187]

Hey coding Jesus would you happen to have a good recommendation for a probability and statistics book?

[@CodingJesus]

Books on probability and statistics beyond your first year statistics course are more suited for quantitative researchers. That’s why I didn’t feature one here. It’ll be the topic for another video.

[@SantoshLLC]

@@ishaananand4779 Ask an ACTUAL quant analyst