Countries Around the World Moving to Curb High Frequency Trading

[bjl584]

Beyond Wall St., Curbs on High-Speed Trades Proceed - US Business News - CNBC

[elessar78]

Beyond Wall St., Curbs on High-Speed Trades Proceed - US Business News - CNBC

I was having this discussion with my brother in law recently and we're both in agreement that this needs to be curbed. We love Capitalism but think this is a perversion of the system. Theoretically we believe that it's fair game because one should be allowed to make money off the system that isn't illegal or immoral.

To me, the whole point of buying stock is to own a part of a company. But if the underlying value is being toyed with by high frequency trading then it debases the whole system. The algorithms, who knows what data set those are based on, then determine the value of companies and not "real" things that, say, warren buffet would care about.

[GrimJack]

There was an article a few weeks ago about one of the high-speed trading companies built a super-sensitive 'key-logger' near Federal offices that release 'official' numbers so that they could get a 1/1000th of a second advantage in trading.