Geography 3422A/B Study Guide - Commodity Futures Trading Commission, Ben Bernanke, Algorithmic Trading
11 Mar 2013
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Superfast traders feel heat as bourses act3/11/2013 10:48:00 am. Hft algorithms (which make up the bulk of activity in futures and equities) could cause big market swings (like what happened in 20 minutes of trading in the flash crash of. Hfts use sophisticated programs to interpret or anticipate market signals. The computers trade in fractions of seconds and earn profits by exploiting tiny price differences thousands of times a day. Kay review a uk government-sponsored study into uk equity markets found that a majority of asset managers, corporate treasurers and others were critical of hft. Commodity futures trading commission, the us regulator, said it would begin a review of hft and algorithmic trading: that follows a move by the securities and exchange. Commission to require brokers to have proper risk controls in place before allowing their hft clients to piggyback on their systems to access exchanges: the sec has also instigated a limited system of single stock.
