Tue, Apr 24, 2018
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

High frequency trading rules in Germany - comments by Eurex and Simmons & Simmons

Friday, August 24, 2012
Opalesque Industry Update: "You could almost have the impression high-frequency trading has become a public enemy, not just in Germany but also in France and other European countries. As a result, in Germany and beyond the concept of “slowing down the market” has become very popular," said Dr. Randolf Roth, Head of Market Structure, Eurex, in our recent Opalesque Frankfurt Roundtable.

Skynet is a fictional, self-aware artificial intelligence system which features centrally in the Terminator films and serves as the main antagonist of Arnold Schwarzenegger. Skynet's operations are almost exclusively performed by war-machines and other computer systems, with its ultimate goal the extinction of the human race. This picture or something similar might be crossing the minds of many people hearing about high frequency or, more generally, algorithmic trading. Join us for a breakfast briefing session on German developments regarding high frequency and algorithmic trading.

Date: Tuesday 11 September 2012

Time: 08:30 – 08:45 registration  08:45 - 09:45 sessionTime:

Location: CityPoint, One Ropemaker Street, London EC2Y 9SS

The strategy behind Skynet's creation in the film was to remove the possibility of human error and slow reaction time to guarantee a fast, efficient response to enemy attack. Although the avoidance of human error and the reduction of reaction time (latency) are two of the main reasons for the surge in high frequency trading ("HFT"), this is where the similarity to the film ends. HFT traders try to make use of market inefficiencies and arbitrage opportunities and do not fight any enemies.

The fear of algorithms getting out of control and damaging legitimate markets, rather than the fear of a nuclear war, was probably the reason behind the German government's latest legislative proposal aiming to curb HFT and algorithmic trading. The draft "act for the prevention of risks and the abuse of high frequency trading", published almost to the day 15 years after Skynet's awakening, targets specific risks identified by the government in connection with HFT at German trading venues.

During this session we will discuss, together with Dr. Randolf Roth, Executive Director Market Structure, Eurex Frankfurt AG the details of this proposal, its immediate effects in and outside Germany, how the draft compares to proposed legislation at EU level and whether it will be able to de-activate the T-1000.

Your presenters will be Dr. Randolf Roth from Eurex Germany, Jochen Kindermann and Robert Koller from Simmons & Simmons.

If you have a colleague who is interested in attending please contact Nancy Evans at Simmons & Simmons.

BM

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Investing - Sequoia takes Facebook stake as shares slide in data controversy, $1.4b hedge fund sees intact fundamentals for Facebook, Jim Cramer reveals some 'suggested hedge fund trades' amid the Trump tariffs[more]

    Sequoia takes Facebook stake as shares slide in data controversy From Bloomberg.com: The $4.2 billion Sequoia Fund bought a small position in Facebook Inc. as the stock slid late in the first quarter, investment manager Ruane, Cunniff & Goldfarb told clients. "The recent controversy enab

  2. Activist Investors - Blue Sky-owned Wild Breads faces uncertain future[more]

    From AFR.com: A Blue Sky private equity investment in artisan-style baker Wild Breads enjoyed multiple valuation upgrades despite losing millions and breaching its lending covenants, accounts lodged with the regulator last week show. Wild Breads lost $2.4 million in 2017, but Blue Sky ascribed a hig

  3. Opalesque Exclusive: Barnegat to close hedge fund to outside investors on weak opportunities[more]

    Komfie Manalo, Opalesque Asia: Bob Treue's Barnegat Fund Management said it is closing its $666m fixed income relative value hedge fund to outside investors. "The negative side to gains in Fixed Income Arbitrage is that unless we find new opportunit

  4. Investing - Hedge fund makes a big bet on malls, British hedge fund manager Odey short UK government bonds on QE bet[more]

    Hedge fund makes a big bet on malls From Barrons.com: The dominant narrative on American shopping malls is that they're dead. Crushed by Amazon.com, many brick-and-mortar retail stores are destined for bankruptcy. And where is the most retail, clustered all together? Malls. From a

  5. Performance - Hedge funds suffer first back-to-back loss in two years, Netflix performance burns hedge fund short sellers, Macro hedge fund up 14.5% in first quarter sees dollar falling, Renaissance Technologies rebounds across hedge funds in March[more]

    Hedge funds suffer first back-to-back loss in two years From Bloomberg.com: Hedge Fund returns sank for a second straight month in March, the first back-to-back loss since the first two months of 2016, as trade wars, tech-sector woes and a Fed rate hike dragged down the S&P 500 from its