Tag Archives: Pairs Trading Software

Unpacking 432 Trades — How Exactly Did Our Stat Arb Engine Deliver +17.4%?

September 27, 2025 4:33 pm |

Since January 2025, our PTF USA Equities Stat Arb Engine has quietly executed a fully automated, rules-based strategy across 136 US equity pairs using our Interactive Brokers’ paper trading facility. We have discussed previously the headline performance (+17.4% net return, –3.6% max drawdown, Sortino ~3.8). Now let’s dive into the trade-by-trade statistics that underscore why this is not just luck.

Trade-Level Performance: Precision in Execution

The strategy employs a mean-reversion framework, targeting temporary pricing dislocations. We curate a universe of highly correlated and cointegrated US equity pairs in the same or similar industry sub-sector.

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Our PTF USA Equities Statistical‑Arbitrage* Research Account – An Inside Look. +17.4% Return, Max DD -3.6%, Sortino 3.8. 431 closed trades in 7.4 months

September 18, 2025 6:07 pm |

Since the start of 2025, the PTF USA Equities Statistical‑Arbitrage* Research Account has been quietly building a disciplined, data‑driven edge in the crowded world of U.S. equities. Leveraging the proprietary PairTrade Finder® Ultimate Alpha 3 engine, the fund monitors ≈ 136 liquid U.S. equity pairs on a real‑time basis, automatically generating and executing trade signals without human discretion. The result is a pure statistical‑arbitrage strategy that isolates relative‑value mispricings, captures mean‑reversion dynamics, and does so with tight risk controls.

Core Pair Selection Methodology & Backtest Filters

Our selection criteria mirror the parameters disclosed on the public PairTrade Finder® autoload page (www.pairtradefinder.com/autoload.html).

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Unlocking Alpha with Our Stock Pair Trading Software! +13.4% YTD vs. +6.8% S&P 500

August 3, 2025 1:33 pm |

At PairTrade Finder® we’ve developed a powerful, systematic approach to stock pair trading that’s delivering exceptional results. Today we provide an update on our stock pair trading software’s PTF Beta Portfolio, up to 1 August 2025:

PairTrade Finder®’s GH Beta Portfolio: Alpha Found!

Since January 1, 2025, our PTF Beta Portfolio, powered by the PTF Ultimate Alpha 3 system, has posted a remarkable +13.4% return . This performance easily outpaces the S&P 500 ETF (SPY) at +6.8%, the largest Long/Short ETF (FTLS) at +1.0%,

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From Backtest to Profit: Meet the Top Stock Pairs Delivering 45% ROI in 9 Months

January 20, 2025 12:04 pm |

Boom! We’re bringing you the most profitable, battle-tested top stock pairs of 2024 — ready to jump-start your trading in 2025.

Introducing our TOP 50 “OUT-OF-SAMPLE” PAIR STARS – January ’25 Vintage. These pairs have been rigorously tested and carefully curated from 9 months of real-world performance.

What makes them out-of-sample? It means we’ve already put them to the test in live market conditions, and they’ve passed with flying colors.

Back in April 2024, we launched a comprehensive research project, paper trading a set of 132 pairs based on parameters set through exhaustive backtesting and filtering at that time. 

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How to Avoid Poverty In Retirement

July 22, 2024 9:36 am |

The human population has been a young one for most of its history: high fertility rates and short lifespans mean children have accounted for a large share of the population. But the world is ageing: there are now more people older than 64 than younger than 5 years old. This marks a historic demographic change.”

Source:https://ourworldindata.org/population-aged-65-outnumber-children

The above thought-provoking article reveals that, as of 2018, the population of human beings who are 65 and older has now surpassed those under 5 for the first time ever.

How the Earth’s Population Is Forecast to Age  … Read More →

Is Pair Trading Viable in 2024?

July 17, 2024 10:52 am |
In the fast-paced world of quantitative trading, the viability of stock pair trading remains a hot topic. While some classic pairs trading strategies have seen diminishing returns, recent research highlights new opportunities, particularly among ETFs. … Read More →

How to Handle Trading Losses: Trading Psychology Vol. 1

June 12, 2024 3:02 pm |
All trading, and by necessary extension pair trading, is challenging and not for the faint-hearted. Large losses or a string of losses, especially if trading at excessive size, can devastate your capital, and with it you confidence and ability to continue.

 
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Understanding Pair Trading Risk Management: Stop Losses, Sectors, News & Fundamentals

June 5, 2024 9:45 am |
Pair trading is a sophisticated investment strategy that requires meticulous risk management to succeed. This blog post delves into key aspects of pair trading risk management, focusing on stop losses, sector considerations, news impact, and fundamental analysis. Watch our short video here, extracted from our acclaimed four-hour Video Training Course titled How to Successfully Pair Trade Stocks

 
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Pair Trading Risk Management: Position-Sizing

May 24, 2024 11:39 am |
Stock pair trading is a sophisticated investment strategy that involves matching a long position with a short position in two stocks with high historical returns correlation, cointegration, and fundamental similarity. Effective risk management is crucial to success, particularly in the area of position-sizing.

 
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SCALING-IN to Pair Trades Using Layers in PairTrade Finder®

April 24, 2024 11:06 am |
Listen up Pair Traders. Are you tired of entering a great looking pair trade only to have the Ratio diverge even further the next day or few days? As this then drags the moving average of the Ratio down with it, not only are you nursing a big loss, but even profits from a recovery may be small or non-existent. If only there was a way to time your entry over a few days by scaling-in to pair trades?

 
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