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Aris Capital Executive Argues Against Over-Regulation of Quantitative Trading in China

Seth Huang, head of Aris Capital and an associate adjunct professor of finance at the Hong Kong University of Science and Technology, stated in the South China Morning Post that Beijing should avoid overly strict regulation of quantitative trading because the sector holds an important role in the financial market.

Abstract illustration of complex financial data networks contrasting with a solid block, symbolizing quantitative trading versus regulation.
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According to the South China Morning Post, Seth Huang, who serves as the head of Aris Capital, asserted that it would be a mistake for Beijing to impose excessively tight regulations on quantitative trading, given the significant role the sector plays within the financial market. Huang noted that quantitative funds possess a distinct advantage over retail investors in China's capital markets, describing the current situation as resembling a conflict where some participants are equipped with machine guns while others are using butcher knives. Furthermore, Huang, who is also an associate adjunct professor of finance at the Hong Kong University of Science and Technology, indicated that the growth of this sector is largely attributable to the strong performance demonstrated by these funds.

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