Mon, Sep 26, 2016
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. North America - Acela fight splits hedge fund Connecticut and old money enclaves[more]

    From Bloomberg.com: Connecticut’s residential coastline is two worlds, the one of newcomer millionaires and one whose wealth and New England roots span generations. Now, their differences over a rail route threaten to gum up plans for the U.S. Northeast’s fastest-ever trains. About 30 miles from Man

  2. Activist News - Caesars offers creditors another $1.6bn, would spell end of hedge fund ownership, Activist investors double chance of CEO exits[more]

    Caesars offers creditors another $1.6bn, would spell end of hedge fund ownership From Calvinayre.com: Casino operator Caesars Entertainment has improved its offer to junior creditors to over $5b, but the offer is only good until Friday. On Wednesday, Caesars added an extra $1.6b to the $

  3. Nobel Sustainability Trust, Prince Albert II of Monaco help launch major new initiative to drive sustainable technologies[more]

    Matthias Knab, Opalesque: The Nobel Sustainability® Trust ("NST") is leading a major new initiative to finance, incubate and accelerate the development of clean technologies. The initiative will start with the formation of the Nobel Sustainability Fund® ("NSF"). NSF will drive faster access t

  4. Hedge funds saw four consecutive months of outflows in August, but assets still up by $17.6bn YTD[more]

    Komfie Manalo, Opalesque Asia: Hedge funds witnessed four consecutive months of outflows with investor redemptions totaling $23.8bn as of end of August, data provider Eurekahedge said in its monthly report. But total hedge fund assets grew by

  5. Trend reversals lead to losses as managed futures drops 1.52% in August[more]

    Komfie Manalo, Opalesque Asia: Trend reversals in August have led managed futures traders to lose 1.52% last month according to the Barclay CTA Index compiled by BarclayHedge. The Index is up 0.62% year to dat