We know the backtesting process with our historical screener takes a bit of work. Thus automating the process is a question we get asked a all the time and something we have given a lot of thought.

 

We've backtested a lot of investment strategies and always come back to the same two points.

1. There is no such thing as a perfect investment strategy and
2. You can't back test yourself rich.


Back tests stop working

I can't tell you how many investors (and fund managers) we have seen that back tested a great strategy, started implementing it and it underperformed right from the start.


Data mining is dangerous

What they were most likely doing is data mining. This means trying to find criteria that would have given them the best returns and thought that that strategy would work going forward.

Investing just doesn't work that way.

 

Rather find a great investment strategy

What we recommend is to find a great investment strategy that fits your nature and that's worked over long periods in up and down markets.

Only if it fits your nature will you be able to stick with it. It of course has to be a good strategy otherwise it won't give them great returns over the long term.

Here is an article that can help you: How to find your best investment strategy – not the one you expect

 

For these reasons we are very careful of making the process to automated.

 

Keywords: API Access, Rest API, Automate, Back test, Backtest, Backtester