Eliminating the advantage of speed

The NYT has this longish article on the story behind IEX, a ‘fair’ stack exchange explicitly designed to neutralize the advantages of high speed traders (at the core this involves the 38-mile coil of fiber optic cable in a box) depicted below. In this article an IEX employe lays out a theory of why there are so many Russians involved in high speed trading operations, which pretty much confirms my theory on the relation between high speed trading and soviet economics from 2012: Sokoloff was Russi…

Money & Speed - show me the data...

Two weeks ago the 50 minute documentary ‘Money & Speed‘ by Marije Meerman aired in the tegenlicht (backlight) series of the VPRO (a dutch public broadcaster). ‘Money & Speed’ casts a light into the world of high frequency (or rather algorithmic) trading, a subject that i have been fascinated with for a while. The documentary attempts to explain the event’s behind the 6 may 2010 ‘flash crash‘ and does so by interviewing a number of experts that are more or less involved in the (aftermath…