Trading and Exchanges: Market Microstructure for Practitioners
by Larry Harris · 2 Jan 2003 · 1,164pp · 309,327 words
expose to find these traders. * * * ▶ Order Exposure in Crossing Networks Electronic crossing networks, such as POSIT, allow large traders to avoid exposing their orders. These computerized trading systems take electronically transmitted orders and match them at prices determined elsewhere. The systems are completely confidential. They reveal only the aggregate sizes of the
…
ensure that all traders would receive a minimum quality of service regardless of where they are in the world. The issue is particularly important in computerized trading systems that allow their users to submit computer-generated orders. Computerized traders who can act most quickly on new information take advantage of market opportunities
…
first. When two computerized trading systems employ the same trading strategies, the first to submit its orders will be the more profitable system. Since the difference in their submission times
The Glass Cage: Automation and Us
by Nicholas Carr · 28 Sep 2014 · 308pp · 84,713 words
can be subtle, but they have real consequences, particularly in fields where analytical errors have far-reaching repercussions. Miscalculations of risk, exacerbated by high-speed computerized trading programs, played a major role in the near meltdown of the world’s financial system in 2008. As Tufts University management professor Amar Bhidé has
Market Wizards: Interviews With Top Traders
by Jack D. Schwager · 7 Feb 2012 · 499pp · 148,160 words
the best traders of our time. In the early 1970s, Seykota was hired by a major brokerage firm. He conceived and developed the first commercial computerized trading system for managing clients’ money in the futures markets. His system proved quite profitable, but interference and second-guessing by management significantly impeded its performance
…
, I figured there wouldn’t be very much of a bureaucracy to interfere with my use of the computer. What became of your work on computerized trading systems? Eventually, management got interested in using my research results for managing money. I developed the first large-scale commercial
…
computerized trading system. What do you mean by large scale? The program was marketed by several hundred agents of the firm, and the equity under management was
The Quants
by Scott Patterson · 2 Feb 2010 · 374pp · 114,600 words
added more automation to the system, linking the desk to the New York Stock Exchange’s Super Designated Order Turnaround System, or SuperDOT, which facilitated computerized trades. APT was soon trading so much that at times it accounted for 5 percent of the daily trading volume on the NYSE. The stat arb
…
Money Grid. Innovators such as Ed Thorp, Fischer Black, Robert Merton, Barr Rosenberg, and many others had been early architects of the Money Grid, designing computerized trading strategies that could make money in markets around the world, from Baghdad to Bombay, Shanghai to Singapore. Michael Bloomberg, a former stock trader at Salomon
…
to crack the market’s code. In 1993, he paid a visit to a little-known group of physicists and scientists running a cutting-edge computerized trading outfit from a small building in Santa Fe, New Mexico. They called themselves Prediction Company, and they were reaching out to Wall Street firms, including
…
cool, be confident. When his turn came, he flatly admitted that PDT hadn’t succeeded yet. But it was on the edge of great things. Computerized trading was the future. He just needed more time. As he stopped speaking, he looked at Mack, who gave him a confident nod back. Mack had
…
trading reached unfathomable speeds, danger lurked. Many of these computer-driven funds were gravitating to a new breed of stock exchange called “dark pools”—secretive, computerized trading networks that match buy and sell orders for blocks of stocks in the frictionless ether of cyberspace. Normally, stocks are traded on public exchanges such
…
devising new methods to operate in the shadows. Just look: exotic leveraged vehicles marketed to the masses worldwide, hedge funds gaming their returns, lightning-fast computerized trading robots, predatory ninja algorithms hunting liquidity in dark pools … Here come the quants. Notes 1 ALL IN Simons had pocketed $1.5 billion: Alpha, May
Dark Pools: The Rise of the Machine Traders and the Rigging of the U.S. Stock Market
by Scott Patterson · 11 Jun 2012 · 356pp · 105,533 words
Plumber, an architect not of trading strategies or moneymaking schemes but of the pipes connecting the various pieces of the market and forming a massive computerized trading grid. Plumbers such as Mathisson had become incredibly powerful in recent years. Knowledge of the blueprints behind the market’s plumbing had become extremely valuable
…
world. The size of two football fields at one hundred thousand square feet, it sported fourteen hundred seats and five thousand monitors. It was a computerized trading machine of vast proportions, juggling more than a trillion in assets a day. Bodek’s mandate was to build an options-trading desk that could
…
themselves in this era of electronic trading is to use so-called limit orders” that safeguard against “short-term disruptions that might be caused by computerized trading.” But a representative for a U.S. exchange had just told Bodek not to use limit orders, which were getting picked off by high-speed
…
Levine came across an approach to the markets from an abstract, theoretical basis. The only problem: He disagreed with just about everything Schwartz wrote. On computerized trading, Schwartz wrote that while its advantage is “the rapidity with which orders can be electronically transmitted and executed,” the drawback is that “speed may also
…
, the established market makers were already dropping out in droves as their profits evaporated. For Nasdaq, it was kill or be killed. Its solution: a computerized trading network that came to be known as the ECN Killer. They called it SuperMontage (the market’s book of buy and sell orders was often
…
the Senate. Over the next year, the gangly, cerebral senator would become the most unlikely critic of high-frequency trading imaginable. Kaufman’s interest in computerized trading evolved out of his investigation into the SEC’s move in July 2007 to abolish the “uptick” rule. The rule, which had been in place
A Hacker's Mind: How the Powerful Bend Society's Rules, and How to Bend Them Back
by Bruce Schneier · 7 Feb 2023 · 306pp · 82,909 words
the market does—another unfair advantage. Taking advantage of typos is yet another market hack that operates at computer speeds. Typos are not uncommon in computerized trading systems. The large failures make the news, like the time that a Japanese company, Mizuho Securities Co., lost $225 million on a stock trade when
The New Trading for a Living: Psychology, Discipline, Trading Tools and Systems, Risk Control, Trade Management
by Alexander Elder · 28 Sep 2014 · 464pp · 117,495 words
out his credit card to buy access to “trading secrets.” He may send money to a charlatan for a $3,000 “can't miss,” backtested, computerized trading system. When that system self-destructs, he'll pull out his almost-maxed-out credit card again for a “scientific manual” that explains how he
Flash Boys: Not So Fast: An Insider's Perspective on High-Frequency Trading
by Peter Kovac · 10 Dec 2014 · 200pp · 54,897 words
absolutely no hard evidence to help us figure it out – instead we’re stuck with a handful of theories about computerized trading, proposed by a group of outsiders who have never done computerized trading. For a book about the dangers of speed in finance, the book itself seems rushed into print. It’s therefore
…
and when we placed our orders. But they expected that they were different. They expected that their personal Bloomberg terminals and their bank’s custom computerized trading platform not only delivered stock prices to them faster than individual investors, but that it somehow guaranteed that the prices on their screens would remain
…
investment dollars. If you can shrink the spread, your investments earn a lot more. So, how much has the spread shrunk? Lewis tells us that computerized trading has reduced spreads from a “sixteenth of a percentage point” to “one-hundredth of 1 percent.” There are few better techniques to obscure an argument
…
’s largest mutual fund manager writes that when you retire, your investment would be 25% smaller without the benefit of the decreased costs wrought by computerized trading. This is incredibly important. Lewis does admit that, “spreads in the market had narrowed – that much was true.” He dismisses the role of high-frequency
The Man Who Solved the Market: How Jim Simons Launched the Quant Revolution
by Gregory Zuckerman · 5 Nov 2019 · 407pp · 104,622 words
and father of modern portfolio theory, was searching for anomalies in securities prices, as was mathematician Edward Thorp. Thorp would attempt an early form of computerized trading, gaining a head start on Simons. (Stay tuned for more, dear reader.) Simons was part of this vanguard. He and his colleagues were arguing that
…
were aware when it made and lost money, but Simons and Baum weren’t sure why the model was making its trading decisions. Maybe a computerized trading model wasn’t the way to go, after all, they decided. In 1980, Hullender quit to go back to school. Leaving college prematurely weighed on
…
him, and he was ashamed he couldn’t help Simons make more progress on his computerized trading system. Hullender couldn’t understand the math Simons and Baum were using, and he was lonely and miserable. Weeks earlier, he had revealed to colleagues
…
, as gold shot even higher, he phoned again: “It went up more, Elwyn!” Berlekamp was baffled. It was Simons who had pushed to develop a computerized trading system free of human involvement, and it was Simons who wanted to rely on the scientific method, testing overlooked anomalies rather than using crude charts
…
wanted to expand the team, purchase additional satellite dishes for the roof, and spend on other infrastructure that would allow them to upgrade Medallion’s computerized trading system. He asked Berlekamp to chip in to pay for the new expenses. The pressures wore on Berlekamp. He had remained a part-time professor
…
of stocks momentarily lost nearly all their value. Investors pointed the finger at computer-programmed trading firms and said the collapse highlighted the destabilizing role computerized trading can play, but the market quickly rebounded. Prosecutors later charged a trader operating out of his West London home for manipulating a stock-market-index
…
may become less predictable and maybe even less stable, since human nature is roughly constant while the nature of this kind of computerized trading can change rapidly. The dangers of computerized trading are generally overstated, however. There are so many varieties of quant investing that it is impossible to generalize about the subject. Some
…
Zuckerman, Rachel Levy, Nick Timiraos, and Gunjan Banerji, “Behind the Market Swoon: The Herdlike Behavior of Computerized Trading,” Wall Street Journal, December 25, 2018, https://www.wsj.com/articles/behind-the-market-swoon-the-herdlike-behavior-of-computerized-trading-11545785641. Chapter One 1. D. T. Max, “Jim Simons, the Numbers King,” New Yorker, December
Electronic and Algorithmic Trading Technology: The Complete Guide
by Kendall Kim · 31 May 2007 · 224pp · 13,238 words
the introduction of programs, direct market 1 2 Electronic and Algorithmic Trading Technology access, and algorithmic trading. Although automated trade flow can carry connotations of computerized trading taking over without human supervision, the actual decisions to buy and sell are made by people, not computers. Humans make the final trading decisions and
The Rise of the Network Society
by Manuel Castells · 31 Aug 1996 · 843pp · 223,858 words
More Money Than God: Hedge Funds and the Making of a New Elite
by Sebastian Mallaby · 9 Jun 2010 · 584pp · 187,436 words
New Market Wizards: Conversations With America's Top Traders
by Jack D. Schwager · 28 Jan 1994 · 512pp · 162,977 words
A First-Class Catastrophe: The Road to Black Monday, the Worst Day in Wall Street History
by Diana B. Henriques · 18 Sep 2017 · 526pp · 144,019 words
Bernie Madoff, the Wizard of Lies: Inside the Infamous $65 Billion Swindle
by Diana B. Henriques · 1 Aug 2011 · 598pp · 169,194 words
The Impulse Society: America in the Age of Instant Gratification
by Paul Roberts · 1 Sep 2014 · 324pp · 92,805 words
Broken Markets: How High Frequency Trading and Predatory Practices on Wall Street Are Destroying Investor Confidence and Your Portfolio
by Sal Arnuk and Joseph Saluzzi · 21 May 2012 · 318pp · 87,570 words
Crapshoot Investing: How Tech-Savvy Traders and Clueless Regulators Turned the Stock Market Into a Casino
by Jim McTague · 1 Mar 2011 · 280pp · 73,420 words
Stocks for the Long Run 5/E: the Definitive Guide to Financial Market Returns & Long-Term Investment Strategies
by Jeremy Siegel · 7 Jan 2014 · 517pp · 139,477 words
Smart Money: How High-Stakes Financial Innovation Is Reshaping Our WorldÑFor the Better
by Andrew Palmer · 13 Apr 2015 · 280pp · 79,029 words
Making Sense of Chaos: A Better Economics for a Better World
by J. Doyne Farmer · 24 Apr 2024 · 406pp · 114,438 words
Trend Following: How Great Traders Make Millions in Up or Down Markets
by Michael W. Covel · 19 Mar 2007 · 467pp · 154,960 words
Evidence-Based Technical Analysis: Applying the Scientific Method and Statistical Inference to Trading Signals
by David Aronson · 1 Nov 2006
High-Frequency Trading: A Practical Guide to Algorithmic Strategies and Trading Systems
by Irene Aldridge · 1 Dec 2009 · 354pp · 26,550 words
Unknown Market Wizards: The Best Traders You've Never Heard Of
by Jack D. Schwager · 2 Nov 2020
Wait: The Art and Science of Delay
by Frank Partnoy · 15 Jan 2012 · 342pp · 94,762 words
Why Aren't They Shouting?: A Banker’s Tale of Change, Computers and Perpetual Crisis
by Kevin Rodgers · 13 Jul 2016 · 318pp · 99,524 words
Wall Street: How It Works And for Whom
by Doug Henwood · 30 Aug 1998 · 586pp · 159,901 words
Market Sense and Nonsense
by Jack D. Schwager · 5 Oct 2012 · 297pp · 91,141 words
Hedge Fund Market Wizards
by Jack D. Schwager · 24 Apr 2012 · 272pp · 19,172 words
Seventeen Contradictions and the End of Capitalism
by David Harvey · 3 Apr 2014 · 464pp · 116,945 words
Adaptive Markets: Financial Evolution at the Speed of Thought
by Andrew W. Lo · 3 Apr 2017 · 733pp · 179,391 words
The Truth Machine: The Blockchain and the Future of Everything
by Paul Vigna and Michael J. Casey · 27 Feb 2018 · 348pp · 97,277 words
Transaction Man: The Rise of the Deal and the Decline of the American Dream
by Nicholas Lemann · 9 Sep 2019 · 354pp · 118,970 words
Buffett
by Roger Lowenstein · 24 Jul 2013 · 612pp · 179,328 words
The Asylum: The Renegades Who Hijacked the World's Oil Market
by Leah McGrath Goodman · 15 Feb 2011 · 553pp · 168,111 words
The End of Growth: Adapting to Our New Economic Reality
by Richard Heinberg · 1 Jun 2011 · 372pp · 107,587 words
Conspiracy of Fools: A True Story
by Kurt Eichenwald · 14 Mar 2005 · 992pp · 292,389 words
The Enigma of Capital: And the Crises of Capitalism
by David Harvey · 1 Jan 2010 · 369pp · 94,588 words
Makers and Takers: The Rise of Finance and the Fall of American Business
by Rana Foroohar · 16 May 2016 · 515pp · 132,295 words
Toward Rational Exuberance: The Evolution of the Modern Stock Market
by B. Mark Smith · 1 Jan 2001 · 403pp · 119,206 words
Principles of Corporate Finance
by Richard A. Brealey, Stewart C. Myers and Franklin Allen · 15 Feb 2014
Narrative Economics: How Stories Go Viral and Drive Major Economic Events
by Robert J. Shiller · 14 Oct 2019 · 611pp · 130,419 words
Average Is Over: Powering America Beyond the Age of the Great Stagnation
by Tyler Cowen · 11 Sep 2013 · 291pp · 81,703 words
The Alpha Masters: Unlocking the Genius of the World's Top Hedge Funds
by Maneet Ahuja, Myron Scholes and Mohamed El-Erian · 29 May 2012 · 302pp · 86,614 words
High-Frequency Trading
by David Easley, Marcos López de Prado and Maureen O'Hara · 28 Sep 2013
The Snowball: Warren Buffett and the Business of Life
by Alice Schroeder · 1 Sep 2008 · 1,336pp · 415,037 words
Capital Ideas Evolving
by Peter L. Bernstein · 3 May 2007
Risk Management in Trading
by Davis Edwards · 10 Jul 2014
Traders, Guns & Money: Knowns and Unknowns in the Dazzling World of Derivatives
by Satyajit Das · 15 Nov 2006 · 349pp · 134,041 words
To Pixar and Beyond
by Lawrence Levy
Tailspin: The People and Forces Behind America's Fifty-Year Fall--And Those Fighting to Reverse It
by Steven Brill · 28 May 2018 · 519pp · 155,332 words
Making It Happen: Fred Goodwin, RBS and the Men Who Blew Up the British Economy
by Iain Martin · 11 Sep 2013 · 387pp · 119,244 words
What They Do With Your Money: How the Financial System Fails Us, and How to Fix It
by Stephen Davis, Jon Lukomnik and David Pitt-Watson · 30 Apr 2016 · 304pp · 80,965 words
The City on the Thames
by Simon Jenkins · 31 Aug 2020
Other People's Money: Masters of the Universe or Servants of the People?
by John Kay · 2 Sep 2015 · 478pp · 126,416 words
A Demon of Our Own Design: Markets, Hedge Funds, and the Perils of Financial Innovation
by Richard Bookstaber · 5 Apr 2007 · 289pp · 113,211 words
Topics in Market Microstructure
by Ilija I. Zovko · 1 Nov 2008 · 119pp · 10,356 words
Treasure Islands: Uncovering the Damage of Offshore Banking and Tax Havens
by Nicholas Shaxson · 11 Apr 2011 · 429pp · 120,332 words
Against the Gods: The Remarkable Story of Risk
by Peter L. Bernstein · 23 Aug 1996 · 415pp · 125,089 words
The Spider Network: The Wild Story of a Math Genius, a Gang of Backstabbing Bankers, and One of the Greatest Scams in Financial History
by David Enrich · 21 Mar 2017 · 513pp · 141,153 words
The Future of Capitalism: Facing the New Anxieties
by Paul Collier · 4 Dec 2018 · 310pp · 85,995 words
The Oil and the Glory: The Pursuit of Empire and Fortune on the Caspian Sea
by Steve Levine · 23 Oct 2007 · 568pp · 162,366 words
Living in a Material World: The Commodity Connection
by Kevin Morrison · 15 Jul 2008 · 311pp · 17,232 words
With Liberty and Dividends for All: How to Save Our Middle Class When Jobs Don't Pay Enough
by Peter Barnes · 31 Jul 2014 · 151pp · 38,153 words
Griftopia: Bubble Machines, Vampire Squids, and the Long Con That Is Breaking America
by Matt Taibbi · 15 Feb 2010 · 291pp · 91,783 words
The Accidental Theorist: And Other Dispatches From the Dismal Science
by Paul Krugman · 18 Feb 2010 · 162pp · 51,473 words
A World Without Work: Technology, Automation, and How We Should Respond
by Daniel Susskind · 14 Jan 2020 · 419pp · 109,241 words