Compliance

08:45 AM
Greg MacSweeney
Greg MacSweeney
Slideshows
Connect Directly
LinkedIn
Twitter
Facebook
Google+
RSS
E-Mail
50%
50%

The True Cost of HFT, Sandy Weill's About Face, Death Star of Finance, and more

Sandy Weill, the former Citigroup chief executive and shatterer of Glass-Steagall says the industry needs a return to the separation of commercial and investment banks, while a recent study on HFT reveals that the practice costs long-term investors $2.5 billion per year.
Previous
2 of 7
Next


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

Source: The Wall Street Journal: Study: High-Speed Trading Hurts Long-Term Investors

 

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

Previous
2 of 7
Next
Comment  | 
Print  | 
More Insights
Register for Wall Street & Technology Newsletters
White Papers
Current Issue
Wall Street & Technology - Elite 8, October 2014
The in-depth profiles of this year's Elite 8 honorees focus on leadership, talent recruitment, big data, analytics, mobile, and more.
Video
Stressed Out by Compliance, Reputational Damage & Fines?
Stressed Out by Compliance, Reputational Damage & Fines?
Financial services executives are living in a "regulatory pressure cooker." Here's how executives are preparing for the new compliance requirements.