High-frequency firm fined for trading malfunctions

Discussion in 'Wall St. News' started by Banjo, Nov 26, 2011.

  1. so what does cme do with all the money from the fine?
    where does that firm get the money to pay the fine?

    is a fine that large on one hft firm good or bad? clearly, it won't stop hft
     
    #11     Nov 28, 2011
  2. The fine should've been much bigger with a warning that further activity such as this would result in a suspension.

    They've shrugged off the $1m crude loss,they will shrug this off too no doubt,it's a slapped wrist,nothing more.

    Always the way when HFT is in the news - shitty stories that highlight the wrongdoing they persist in.
     
    #12     Nov 28, 2011
  3. can you please qualify your statement: "shitty stories that highlight the wrongdoing they persist in"
     
    #13     Nov 28, 2011
  4. As if the market losses weren't enough to teach Infinium a lesson and the CME stepping in here helped in any manner against future events like this from occurring.

    Firms and their agents sacrificing due diligence in exchange for speedy development get what their actions deserve. Any firm not implementing proper risk management along all points of the strategy production curve will be punished by the market.
     
    #14     Nov 28, 2011
  5. He/she got HFT-fired? :confused:
     
    #15     Nov 28, 2011
  6. CME found that Infinium errantly sold 6,958 December-dated e-mini Nasdaq 100 Index futures over seven seconds early on October 28....

    Errantly? Hardly to believe. This was an "intentional" live test, IMHO...
     
    #16     Nov 28, 2011
  7. Easily - read the story this thread is based around,if you don't think it's another shitty HFT frim being investigated/fined story, get someone else to read it and explain it to you.
     
    #17     Nov 28, 2011
  8. well, let's see, as far as plot goes, i guess the story is shitty. but what are their wrongdoings? complaining about hft is like being one step away from being a welfare queen.
    someone has an advantage over you? let's see, you can complain and get some third party involved in your favor, OR you can adapt.

    do you think the market is a safe place to play? clearly, it's cutthroat. a lot of people want to say stuff like "90% of traders lose." but think about everything! does everyone win all the time? 90% of traders complain loudly.
     
    #18     Nov 28, 2011
  9. nkhoi

    nkhoi

    they sign a new contract stipulates at least 3 hrs of backtesting.
     
    #19     Nov 28, 2011
  10. #20     Nov 28, 2011