While a pilot program focused on the most liquid stocks is not a bad idea, guest commentator David Weisberger said the notion of price controls as a singular solution, is.
ICAP Plc, the worlds largest interdealer broker, is considering spinning off EBS-BrokerTec, a move that would separate its electronic trading operations from a lackluster unit that handles trades over the phone, according to people familiar with the matter.
The U.S. Securities and Exchange Commission took its first shot last Wednesday at boosting regulation of high- speed traders. The industry says it dodged a blow.
High-frequency traders treat the latest economic reports like predators stalking their prey, pouncing in tiny fractions of a second to buy or sell according to whether it was good news or bad. Despite this, one study suggests they are not raking in the bucks.
Commissioner Scott O'Malia of the Commodity Futures Trading Commission (CFTC) is on a mission. He says the process of writing new over-the-counter derivative contract rules needs more transparency. Over the past year he has repeatedly called for more roundtables and public comment on how rules are written. Why is this important? Because these rules, among other things, will determine which OTC derivative contracts must go through a clearing process and which ones can continue to use the old bilateral, dealer-to-dealer model.
Fresh-faced yet experienced graduates are entering investment firms in strong numbers. Traders looks at this crop of bright young things and the new skills and placing new demands on the buyside.
Some unintended consequences from the credit crisis of 2008 and the regulations that followed have come to light. Also, buyside firms are gathering their traders to rate the research and execution services from the sellside in relentlessly thorough scoring sessions.
High-frequency traders and supporters claim that HFT is helpful to the equity market. The data presents a starkly different story.
Once the fight for new regulations settled down, an unintended victor has emerged: the data and data systems used by today's traders.
Over the past year, the liquidity in emerging currencies grew in fits and starts quarter to quarter. Traders asked FX veterans for their outlook on the next 12 months.