The New York Times: Don’t Ban the Trades; Regulate Them in Real Time
In my latest piece in The New York Times, I argue that wrongdoing existed long before the advent of high-frequency trading, and it will always be a part of markets. High-frequency trading is simply a tool; it can be positive or negative for investors and markets. To maximize the benefit and minimize the downsides, regulators need to catch up with the technology.
High-frequency trading has been under a microscope since the infamous “flash crash” in 2010. Let’s remember, though: The market rebounded that day almost as fast as it fell, and regulators ultimately determined that the crash was initiated by human error. But many in the financial sector and in government were uncomfortable at the thought that high-frequency trading programs could vaporize huge amounts of equity in a matter of minutes.
Read Full Post | Make a Comment ( None so far )High-Frequency Trading World’s Capital Moving to China with The Speed Traders Workshop 2012 Shanghai and Hong Kong
2012国际高频交易高峰研讨会・上海
The high-frequency trading world’s capital is moving to China this August with Mr. Edgar Perez, author of The Speed Traders, and former McKinsey & Co. consultant and New York University Adjunct Professor, presenting The Speed Traders Workshop 2012: How Algorithmic and High Frequency Traders Leverage Profitable Strategies to Find Alpha in Equities, Options, Futures and FX, in Shanghai and Hong Kong.
Top securities firms and traders from China, Hong Kong and Singapore trading at Zhengzhou Commodity Exchange (ZCE), Shanghai Stock Exchange (SSE), Dalian Commodity Exchange (DCE), Shanghai Futures Exchange (SHFE), Hong Kong Stock Exchange (HKEx), and Singapore Stock Exchange (SGX), are joining these enlightening workshops, which display an agenda full of information and insights, as can be seen through the following sessions:
1. Understanding High Frequency Trading in Equities and other Asset Classes
- The need for speed and sophisticated computer programs in generating, routing, and executing orders
- Co-location and individual data feeds to minimize latency
- Time-frames for establishing and closing highly-liquid positions
- Review of the most important strategies: market making, trend following, value arbitrage and others
2. Key Enablers for High Frequency Trading
- Technological innovation: computing power, complex event processing, and low-latency bandwidth
- Shift to electronic trading and the rise of alternative trading systems
- In-depth look at strategies high frequency traders leverage to find alpha in equities, options, futures and FX
- The profitability of typical high frequency trading strategies and its evolution
3. Global Regulatory Overview: from the U.S. and Europe to China and Brazil
- Regulations in place before the “flash crash”
- Proposed regulatory initiatives after the “flash crash” in the U.S. and Europe, circuit breakers, limit up limit down and consolidated audit trail
- High frequency trading in Asia, from Japan, Singapore and India to Hong Kong and China
- Regulating speed trading to samba beats: Brazil and Mexico
4. The Future of High Frequency Trading
- Enhancing profitability: from equities to FX to cross-asset trading
- High frequency trading in the world: from the U.S. and Europe to China and Brazil
- Adding ammunition to the high frequency trader toolkit, FPGA, GPUs and enhanced technologies
- Turning the tables on high frequency trading: the transparency challenge for the buy-side
Mr. Perez has been interviewed on CNBC Cash Flow, CNBC Squawk Box, BNN Business Day, CCTV China, Bankier.pl, TheStreet.com, Leaderonomics, GPW Media, Channel NewsAsia Business Tonight and Cents & Sensibilities. In addition, Mr. Perez has been featured on Caixin, Futures Daily, Xinhua, CBN Newswire, Chinese Financial News, ifeng.com, International Finance News, hexun.com, Finance.QQ.com, Finance.Sina.com, The Korea Times, The Korea Herald, The Star, BMF 89.9, iMoney Hong Kong, CNBC, Bloomberg Hedge Fund Brief, The Wall Street Journal, The New York Times, Dallas Morning News, Valor Econômico, FIXGlobal Trading, TODAY Online, Oriental Daily News and Business Times.
Read Full Post | Make a Comment ( None so far )
