Infinium Capital Management Faces Civil Charges for Algorithmic Oil Trading Mayhem

Discussion in 'Automated Trading' started by heech, Aug 25, 2010.

  1. heech

    heech

    I admit it, stuff like this keeps me up at nights.

    http://wallstreetandtech.com/asset-management/showArticle.jhtml?articleID=227001067&pgno=1

    [​IMG]
     
  2. rwk

    rwk

    This statement from the article is obviously untrue. The party most associated with the error is Infinium CEO and co-founder Charles Whitman. It's a blatant cover-up that engineers and developers quit or were fired. Infinium had inadequate controls in place, and that is always management's fault.
     
  3. agreed.

    it's amazing, the size of the shop, without a basic trade frequency check.
     
  4. Putting in a trap to detect sustained abnormally high freq order generation (which is indicative of an app locked in a loop) is really reeeeeeeally basic stuff.

    I am staggered...