Design and development of a trading simulation platform

• Main Author: Rehmat Singh
• Other Authors: Er Meng Joo
• Format: Final Year Project
• Language: English
• Published: 2009
• Subjects: DRNTU::Business::Finance::Stock exchanges; DRNTU::Engineering::Computer science and engineering::Software::Software engineering
• Online Access: http://hdl.handle.net/10356/18004
• Institution: Nanyang Technological University

The following report discusses the design and development of an agent-based artificial model of a stock-market. The project was initiated to cater to the requirements of a hedge-fund, to provide a platform for the trial and simulation of automated traders, using strategies based on artificial intelligence techniques. The computer simulation represents an order-driven market structure, where the orders originate from heterogeneous agents, and is designed to imitate closely the behaviour of a stock in a real market. Different types of traders act as the agents for this model, and new types of traders can be easily added to the existing code for analyzing and measuring performance. All essential details and quantities displayed by a market are maintained for use by traders in making decisions. Every trader’s (agent) profit/loss calculation, list of orders and other relevant information are recorded, which can easily be extended to the new trader coded into the program.