TY - JOUR T1 - A Practical Real Options Approach to Valuing<br/>High-Frequency Trading System R&amp;D Projects JF - The Journal of Trading SP - 40 LP - 48 DO - 10.3905/jot.2013.8.3.040 VL - 8 IS - 3 AU - Andrew Kumiega AU - Ben Van Vliet Y1 - 2013/06/30 UR - https://pm-research.com/content/8/3/40.abstract N2 - In the age of automation, trading and market making is about estimating the fair price of automated trading system research and development projects. This requires a new methodology to arrive at such a fair price. A natural choice is a real options framework. In this article, we review a methodology for automated trading system R&amp;D, as well as a practical real option model for valuing such projects so as to enable rapid strategy cycling.TOPICS: Quantitative methods, options ER -