Welcome to DU!
The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards.
Join the community:
Create a free account
Support DU (and get rid of ads!):
Become a Star Member
Latest Breaking News
General Discussion
The DU Lounge
All Forums
Issue Forums
Culture Forums
Alliance Forums
Region Forums
Support Forums
Help & Search
SEC chief is open to curbs on high-speed traders
The head of the Securities and Exchange Commission called Thursday for new rules governing the structure of financial markets, acknowledging that high-speed trading and the largely unregulated trading areas called "dark pools" may be working against ordinary investors.
Speaking at a New York conference, SEC Commissioner Mary Jo White couched her suggested changes as "enhancing" the structure of stock markets. But White made it clear that the rules governing financial exchanges are outdated.
Much of the focus was on computer-driven trading, which White said had generally been positive by lowering costs for all investors. But as algorithms now drive stock-market trading, "not all segments of the equity markets have equally shared the benefits from the positive market trends," she said, "and that disparity may have increased in recent years."
White's remarks come amid the controversy raised in the best-selling book "Flash Boys," by noted financial author Michael Lewis. In the book, Lewis said companies engaged in high-frequency trading fleece ordinary investors by driving up the price a fraction in a matter of milliseconds.
Speaking at a New York conference, SEC Commissioner Mary Jo White couched her suggested changes as "enhancing" the structure of stock markets. But White made it clear that the rules governing financial exchanges are outdated.
Much of the focus was on computer-driven trading, which White said had generally been positive by lowering costs for all investors. But as algorithms now drive stock-market trading, "not all segments of the equity markets have equally shared the benefits from the positive market trends," she said, "and that disparity may have increased in recent years."
White's remarks come amid the controversy raised in the best-selling book "Flash Boys," by noted financial author Michael Lewis. In the book, Lewis said companies engaged in high-frequency trading fleece ordinary investors by driving up the price a fraction in a matter of milliseconds.
MORE HERE: http://wonkynewsnerd.com/sec-chief-open-curbs-high-speed-traders/
1 replies
= new reply since forum marked as read
= new reply since forum marked as read
