HFT and big dollars

October 2, 2009

There’s more evidence today about the big profitability of computer-driven high-frequency trading.

Calling all HFT victims

September 22, 2009

Now that the SEC has rebuffed my request to gather information about investor complaints about high-frequency trading, I’m calling on you for help.

SEC’s flash in the pan

September 18, 2009

Securities regulators will often settle for the proverbial low-hanging fruit — prosecuting easy cases that don’t make a big difference in the way Wall Street operates. But it does give the appearance they’re doing something.

The flatness of being a high-frequency trader

September 16, 2009

A common claim made by the high-frequency trading crowd is that their funds end the day flat–with little overnight exposure to a given stock.

Keeping Citadel’s E*Trade Gambit a Secret

September 1, 2009

Who really knows what Ken Griffin has up his sleeve for E*Trade Financial.

Last month, Griffin indicated that his Citadel Investment Group hedge fund gradually would sell-off about 10% of of its E*Trade stock. Then yesterday, Griffin and Citadel said, “never mind.”

The Getco get

August 27, 2009

The owners of Getco, the Chicago-based high-frequency trading firm, long have been tight lipped–preferring to say little despite the firm’s outsized role in computer-driven, lightening fast trading. So I was looking forward to reading today’s Getco profile in The Wall Street Journal. But after reading the story, I came away disappointed.

The liquidity canard

August 25, 2009

It’s often said on Wall Street that the more liquidity there is in a given market, the better things are for investors trading stocks, bonds or commodities. And while there’s a lot of truth to that, there are times when too much liquidity can be just the wrong tonic.

The right response to HFT

August 24, 2009

Kudos to Sen. Edward Kaufman for asking securities regulators to take a comprehensive look at the impact of high-frequency trading and related super-fast trading strategies on the markets.

Regulators ram Citadel’s gate

August 14, 2009

The Office of Thrift Supervision isn’t known as the world’s most aggressive regulators. In fact, the Obama administration wants to merge it out of existence.

Citadel’s E*Trade Bonanza

August 14, 2009

Citadel Investment Group’s move to aggressively sell off its substantial stake in E*Trade Financial looks like hedge fund magnate Ken Griffin is throwing in the towel on his big gamble on the online broker.