Dr Krzysztof Ozimek

04/05/2026

Algorithmic Trading Models: Conceptual Foundations and Methodological Frameworks. This PDF Textbook provides a comprehensive conceptual and methodological foundation for understanding, designing, and analyzing algorithmic trading models. It reframes systematic (algorithmic) trading not as a coding exercise or a matter of merely deploying trading models, but as an intellectual process rooted in financial investment theory and practice, data foundations, cross-task model logics, and inferential performance analysis.

29/08/2025

🎬 Title:
Kelly Allocation Explained – Optimal Portfolio Growth with Volatility vs Return
https://youtu.be/ERjyA4KTTJg

📝 Description:
In this video, we explain the Kelly allocation to a single risky security.
You’ll learn how expected return and volatility determine the optimal portfolio fraction under the Kelly rule.
Example: even when volatility (32%) is twice the expected return (16%), the Kelly criterion prescribes full investment plus modest leverage to maximize long-term portfolio growth.
📖 Reference: Paleologo, G. A. (2025). *The Elements of Quantitative Investing*. Wiley Finance.
👉 For more on quantitative investing, trading strategies, and event-driven methods, visit:
https://www.drkrzysztofozimek.com
For educational purposes only. Not financial advice.

📝 Description:In this video, we explain the Kelly allocation to a single risky security. You’ll learn how expected return and volatility determine the optim...

21/07/2025

You thought you won… but FX said no.
That foreign profit looked locked in — until your home currency had something to say.
📉 When your domestic currency weakens, your returns grow, even if the foreign asset stood still.
📈 When it strengthens, your gains shrink.
That’s the twist.
In this video, we break down how exchange rates impact investment performance, using the classic FX twist:
Foreign gain, local pain. Foreign loss, domestic gloss.
🎓 Learn how currency moves can silently make or break your strategy.

04/07/2025

Probability: A Trader’s Hidden Signal 🔍📊
Most people think probability is just dry school math—but in trading, it's your secret weapon.
In this short video, we reveal how low-probability setups can signal moments when the market is out of sync—and why that’s exactly when smart traders pay attention.

29/06/2025

Standard Deviation ≠ Real Risk
📝 Description:
Standard deviation isn’t the full story on risk.
It measures how much returns move — but not which way. Big gains and big losses get treated the same.
For long investors, upside is the goal — not the danger. Misusing volatility as a proxy for downside “risk” might actually limit your growth.
Understand your position. Understand your true risk.
📊 Follow for more clear takes on investing metrics and smart finance.

19/06/2025

Is Your Trading Edge Real? Power Analysis Exposes the Truth
📄 Description:
You're backtesting like a boss… but is your edge real or just random?
An Information Ratio of 0.6 feels like alpha, but with too little data, it could be noise in disguise.
In this video, we break down how power analysis helps you separate skill from luck. With just 26 paired daily returns, you can be 90% sure your edge is actually positive. No more fooling yourself with flimsy backtests.
Whether you're coding in R or Python, the math doesn’t lie. Learn how to validate your strategy the smart way — before you risk real money.
💡 Power shows when things are true.
⚠️ Alpha warns when you're being tricked.
👉 Run the numbers. Know your edge.
📌 Hashtags:

📖 Read the full post:
Development of Investment or Trading Strategies with G*Power-like Functionalities

28/04/2025

https://youtu.be/vHde2y0loZE

"Crash Course: Copulas – Theory & Hands-On Project with R" offers a comprehensive introduction to the fascinating puzzle world of copulas. This course delves...