Modern Electronic Market Making

Quite a bit different... larger size, harder to hedge, decimalization in hfft requires automation.

 

Thanks a lot. Looks like an interesting paper to read.

 

There are so many prop groups doing it currently as it is - personally I don't think there is any worthwhile edge in it for an independent. The margins are so small and the execution requirements so expensive to do it correctly ( without getting picked off yourself ). In fact, I have seen many professional prop traders getting squeezed out of this as it is.

 

Hi Bone,

I am not planning to get into this business for the reasons you stated. I need to understand the exact mechanics.

Regards,
redduke