23 March 2012 17:00

SEC launches high frequency trading probe

Bats Big

The U.S. Securities and Exchange Commission is investigating claims that some high frequency trading firms have used their close physical links to computerized stock exchanges to give them an unfair advantage over other investors.

The investigation is focused on the computer-driven trading platforms of exchanges, including BATS Global Markets, and will examine whether firms collude to limit competition or manipulate markets.

The SEC has sent letters to several high-frequency trading firms to request information about their trading activities, and their communications with exchanges.

However, the regulator is keen to stress that the probe is still in its early stages, and that there is no suggestion of wrongdoing on the part of exchanges or trading firms.

High-frequency trading firms rely on super-fast trade executions and short-term strategies to make lots of small profits from momentary price fluctuations.

This latest investigation is part of a larger probe into high-frequency trading that was instigated after the "flash crash" of May 2010, when stocks fell sharply and then rebounded within minutes, partly as a result of glitches in computerized trading systems.

 

Post comment

Related debate

  • 1 week
  • 1 month
  • 1 Year
15 Apr
GEN
Beklager Drama .. jeg orker simpelthen ikke dit barnlige og løgnagtige pjat. Men at starte en ny trå..
19
16 Apr
TOPO
Jeg ser et par forskellige dynamikker udspille sig:   1) Hvad er fusionspartneren, Bioalliance, reel..
14
13 Apr
OMXC20
Når man har købt en aktie vil man gerne se den stige. Helst straks. Gør den ikke det sniger tvivlen ..
14
18 Apr
VWS
Der har ikke været skrevet meget om hvad det nye MHI Vestas JV vil i Kina. Det har været nævnt kort ..
13
13 Apr
OMXCPI
Ja, risiko for borgerkrig i Ukraine. Sådan går det med stater, der mangler sammenhængskraft og hvor ..
13
14 Apr
VELO
Det er ikke en gåde. På mødet i marts fik Veloxis de obligatoriske 180 dages spørgsmål. I det sekund..
10
16 Apr
VWS
Vestas får jo ordrer på 13-14% af alle verden vindmølleprojekter, så alene derfor kan det jo ikke væ..
9
17 Apr
YHOO
Yahoo! har mildest talt levet en omtumlet tilværelse. Selskabet har slet ikke formået at udnytte sin..
8
14 Apr
 
Bølgerne har tidligere herinde gået højt om det efter nogles menings ligegyldige (worst case: ødelæg..
8
14 Apr
FING-B
Sæt Jer nu ind i sagen - både din kone + dig selv, XO / keep-it../div. nicks.   Dagens udmelding fal..
8

Tech Companies Send Criticism Along With NSA-Related Data -- Update

04/02/2014 00:06:00
By Danny Yadron Technology companies including Google Inc. and Microsoft Corp. released new figures on the amount of data requests they received from U.S. ..

U.S. Hot Stocks: Hot Stocks to Watch

03/02/2014 14:07:00
Among the companies with shares expected to actively trade in Monday's session is Herbalife Ltd. (HLF). Herbalife Ltd. (HLF) raised its fourth-quarter outl..

Pfizer Study Meets Primary Endpoints

03/02/2014 13:05:00
Pfizer Inc. (PFE) said Monday that a Phase 2 trial of its advanced breast cancer treatment met its primary endpoint. Pfizer said a study comparing the effec..

Most read news

  • 24 hours
  • 48 hours
  • 1 week
No data found.
Euroinvestor around the globe: Euroinvestor.dk | Euroinvestor.se | Euroinvestor.no | Euroinvestor.fr | Forexinvestor.com| Wisselkoersen.nl | Valuta.se | Valutaveksel.no | Divisas.es | Valute.it
Copyright Euroinvestor A/S 2014   Disclaimer and Terms of Use
Quote information is delivered by Interactive Data.
Data is delayed 15-20 minutes according to the distribution agreements set by the different exchanges.
 
20 April 2014 02:26:27
(UTC) Dublin, Edinburgh, Lisbon, London
Version: LiveBranchBuild_20140324.1 - EUROWEB7 - 2014-04-20 03:26:27 - 2014-04-20 02:26:27 - 1000 - Website: OKAY