If I have understood the attached article correctly (and I'm sure someone on ET will be quick to point out if I have not!), isn't this going to make matters more difficult for HFT? http://www.bloomberg.com/news/2010-...-permitting-unsupervised-exchange-trades.html To maximize their low latency advantage, I assume HFTs bypass broker "risk/credit engines" to trade direct in the markets as quickly as they can. Forcing them to go first through a broker's risk/credit asessment checker will turn nanoseconds into milliseconds (or at least into microseconds). Is this correct? The key success factor will become how fast your broker is, rather than how fast your own infrastructure is.... [Personally I am not that worried about extra regulations related to naked automated trading ... when I autotrade, I always wear at a minimum my underpants]