Do you understand that every year a UK company has to file its corporation tax to HMRC and file an annual report to Companies House? And do you really think a multi-millionnaire trader like him would get involved in an accounting arrangement if it wasn't watertight? You should have said "Although I am not an accountant, I still think he's in huge trouble with the UK taxing authorities, let alone the CFTC" - and all would have been clear.
Deutsche Bank are to pay a record $2.5 billion fine to settle Libor http://rt.com/business/252389-deutsche-bank-libor-fine/ "The authorities have ordered seven managers suspected of involvement in the rigging to be fired. They are reportedly among more than two dozen employees believed to have taken part. Most have already left the bank." what a fricken slap on the wrist for these traders
It 's possible he is not in trouble legally for his tax avoidance scheme(That's what I meant... In my country "tax evasion" means tax avoidance not tax fraud ...), but it is not working in his favor...And telling a regulator about having his biggest day while sleeping neither...I am just commenting his behaviour outside trading, he is probably an incredible trader...
http://www.wsj.com/articles/trading...s-shifted-1429881318?KEYWORDS=trading+arcades WSJ claims 200 trading arcades in UK 10 years ago.
That remains to be seen....he had a distinct advantage with his spoofing algo and his co-lo arrangement. Let's take them away and see how he does then.
I believe they connect into the LD4 data centre which is on the slough trading estate. HFT microwave into there.
Equinex LD4 in Slough. Do you think Nav had an edge because he was in hounslow as the Daily Mail claims?
Many people tried the spoofing game and really few did well...The biggest( Rotter, Igor, Sadao ) did well...Those who manipulate the most makes the most...The only problem I have ( apart from the manipulation itself ) is that it is too short-gamma. Imagine he is flashing 2600 lots on a surprise rate cut or a 9/11 like event and the ES spikes instantly 50 handles, that's a year worth of profits gone in one second...
I know that, and Nav's brilliance shows in the design of the Algo...the layering and large-bet placement...and timing. Everything had to be orchestrated together to make it work. Well at one point he was trading $ 9 billion notional....so that was massive manipulation. Do you think for a minute he would ever consider trading near events like that ? No question, an atomic bomb could go off, but what are the chances ? Also, I am sure that he had some logic in there to immediately close all positions based on the tick rate or price movement or some other metric or condition. One second is like a lifetime in Nav's world.