High Frequency Trading is being scrutinised by the Securities and Exchange Commission

The lightning fast world of high-frequency equity trading is being scrutinised by the Securities and Exchange Commission, amid concerns that this computer-dominated scene is placing less tech-savvy investors at a disadvantage.
High-frequency trading strategies are generally geared towards extracting fractions of profit from trading small numbers of shares in companies, between different trading platforms at hyper-fast speeds. This pace of trading is known as "latency" and requires constant upgrading of computer systems to stay ahead of the pack.
"High-frequency traders are the de facto market makers now,"
Posted by: 3dc 2009-07-29 |