Algo Trading News Headlines 9/17/2018

The who, how and why of high-frequency crypto trading

(www.bravenewcoin.com)

According to the Financial Times, several leading high-frequency trading houses, including DRW, Jump Trading, DV Trading, and Hehmeyer Trading have entered the crypto asset markets last year. Several newly-launched crypto hedge funds are also using algorithmic trading strategies to generate a return on investment for their investors.

Dutch high-frequency trading house, Flow Traders BV, also recently made a move into the crypto markets, according to Bloomberg. The Amsterdam-based company is making markets in exchange-traded notes linked to bitcoin and ether due to strong investor demand for crypto investments.

Photo by  Marc Szeglat  on  Unsplash

JP Morgan Says Severe Crisis to Arrive in 2020

(www.nasdaq.com)

The consensus is that there will be a major “liquidity crisis” with huge selloffs in major asset classes, and no one to step in to buy. The losses will be exacerbated by the shift to passive management and the rise of algorithmic trading. JP Morgan says that the Fed and other central banks may even need to directly buy stocks, and there could even be negative income taxes. The bank thinks the crisis will hit sometime after the first half of 2019, most likely in 2020.

Billionaire who once built robots to trade goes to war with them

(www.economictimes.com)

Thomas Peterffy helped launch the electronic-trading revolution that transformed the US stock market. And while the billionaire hasn’t soured on automation, he’s taking a lead role fighting back against the speediest traders. 

Interactive Brokers Group Inc. announced Wednesday that it will list its shares on an exchange run by IEXNSE 0.06 %Group Inc., which was made famous by Michael Lewis in “Flash Boys.” The 2014 book documented the market’s efforts to use a 350-microsecond speed bump to eliminate advantages IEX believed the fastest traders had in US stocks. When shares of Interactive Brokers move over from Nasdaq Inc., it will be IEX’s first win in its delayed plan to list corporations.

Quant Strategy in Emerging-Market FX Posts Best Run in Six Years

(www.bloomberg.com)

A Nomura index that mimics a trend-following strategy by chasing momentum in 10 EM currencies against the dollar has outperformed the JPMorgan Emerging Market Index by nearly 20 percentage points so far this year.

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Algo Trading News Headlines 6/5/2018

Commissions Slump as Mifid II, Algo Trading Take Bites Out of Brokers

(www.waterstechnology.com)

The commissions that brokers take from trade executions dropped sharply in the first quarter after the enactment of new European rules on research unbundling, increasing downward pressure on an area that has already felt the effects of moves away from high-touch strategies.

Photo by  Markus Spiske  on  Unsplas

Photo by Markus Spiske on Unsplas

Welch: A super cycle has arrived

(www.agrinews-pubs.com)

“The reemergence of the algo boys and the HFT (high frequency trading) funds has sparked the largest rally with commodities in eight months. After declining for a record five years in a row, it seems the odds are high that hard assets in general will post a year-over-year gain. For agricultural producers that is great news because selling into a rising market is far more profitable than selling into a declining market.”

Ex-Goldman Sachs Programmer Seeks to Overturn Code Theft Conviction

(www.bankerandtradesman.com)

Former Goldman Sachs Group Inc. programmer Sergey Aleynikov on Monday filed a new challenge to his criminal conviction of stealing computer code from the investment bank when he left for another job. Aleynikov, whose case partly inspired Michael Lewis’ bestselling book “Flash Boys” on high-frequency trading in the U.S. equity market, previously had his conviction overturned by the judge who oversaw his 2015 trial in Manhattan Supreme Court.

Making sense of quants

(www.asiaasset.com)

Finally, is quant the magic panacea and answer to the kind of cross-asset correlation that we saw during the global financial crisis? I doubt it. A black swan event, by definition, comes from where you don’t expect. If quant has helped iron out cross-asset correlation, then different forces will probably come into play to bring on the next crisis — or it wouldn’t be a crisis. And as more and more quant funds start playing on particular risk factors, their behaviour is bound to influence the market, which always reacts on itself. Quants may start to influence the very terms of the equations they seek to rely on. That is one way that crises tend to develop.

New Report: Algorithmic Trading Market — drivers, challenges, key trends, standardization, deployment models, Sales Market Comparison and strategies

(businessinvestor24.com)

The report represents a thorough review of the entire growth trajectory of the worldwide Algorithmic Trading market over the span of the forecast period. Different sections have been taken into consideration to give the readers an all-round perspective of the entire market scenario.

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