2. True HFT Cost?
In contrast to the academic consensus view that high-frequency trading is benign, our research shows that there's a significant cost to the liquidity that they're providing.
— David Mechner, chief executive of Pragma, a research and trading firm, on his firm's study that estimates the total cost of HFT to long-term investors could be $2.5 billion a year
Greg MacSweeney is editorial director of InformationWeek Financial Services, whose brands include Wall Street & Technology, Bank Systems & Technology, Advanced Trading, and Insurance & Technology. View Full Bio