Sasha Stoikov¶
Affiliation¶
Cornell University (Operations Research and Information Engineering). Also affiliated with industry research in high-frequency trading and market making.
Key contributions¶
- Avellaneda-Stoikov market making model (with Marco Avellaneda, 2008) — the canonical stochastic optimal control model of market making. A market maker posts bid and ask quotes dynamically to maximise expected utility, accounting for inventory risk. Widely used by practitioners.
- Order Flow Imbalance — co-invented with Cont and Kukanov; empirical validation that OFI drives short-horizon price changes (price-impact-order-book-events).
- Mid-price prediction — work on using LOB features to predict short-horizon price direction.
Notable papers (in this wiki)¶
- price-impact-order-book-events — "The Price Impact of Order Book Events" (with Cont, Kukanov, 2010)
Connections¶
- rama-cont — frequent collaborator.
- order-flow-imbalance — Stoikov co-defined and validated OFI.
- market-microstructure — Stoikov bridges microstructure theory and market-making practice.