Monday, March 31, 2014
Michael Lewis, the author of Liar's Poker and The Big Short, has just released a new book, Flash Boys: A Wall Street Revolt. He argues that high-speed trading results in “rigged” securities markets. I don't always agree with Lewis's positions, but he writes well and it should be an interesting book.
Here are two other interesting takes on the effect of high speed trading on securities markets:
- Yesha Yadav, Beyond Efficiency in Securities Regulation. An academic article arguing that the rise of algorithmic trading “profoundly challenges” notions of market efficiency.
- Scott Patterson, Dark Pools: The Rise of the Machine Traders and the Rigging of the U.S. Stock Market. A very interesting look at the rise of high-speed, computerized trading and its effect on the market.