Registered: Jun 2004
08-02-12 10:12 PM
Fallout from Knight’s technology missteps could also bring pressure to bear on similar public companies. One is Greenwich, Conn.-based Interactive Brokers Group Inc., which runs both a discount brokerage business and a market-making arm that is similar to Knight’s trading division.
“Interactive Brokers should split up their market-making and brokerage businesses,” said Justin Hughes, a portfolio manager with Philadelphia Financial, a hedge fund firm. “The market-maker is a huge potential risk, why have that associated with your brokerage?”