Originally posted on the Greenwich Blog There is a tremendous amount of irony in the path high-frequency trading – excuse me, principal trading firms have taken from their heyday in the late 2000’s. We alluded to this a few months ago in our Top Market Structure Trends to Watch in 2017: When I first started meeting… Read More »
Below is the press release for my most recent paper examining changes in the global FX market. The bottom line: big banks will continue to play a huge role, but non-bank liquidity providers will up there game increasingly interacting directly with institutional investors. Bloomberg News also highlighted our finding that hedge fund use of execution… Read More »
First KCG and now Virtu. In 2008 no one would have guessed that in 2014 automated trading firms would be publicly traded companies – but here we are. Investors have a new way of getting in on the profits behind liquidity provision, and the market as a whole has new insight into how these firms… Read More »
The CFTC is great at sending emails out at inopportune times. In this case it was the 13 no-action letters sent between December 20th and December 31th while most of the financial world was trying to take a deep breath and enjoy some time off. Apparently Wall Street gets more vacation time than the Commission.… Read More »
The presence of principal trading groups (PTGs) in the exchange-traded derivatives market, and their absence in thecredit and rate swaps markets, are both the cause and effect of turnover frequencies. TABB Group estimates that proprietary trading (including bank proprietary trading) accounts for 55 percent of futures trading by contract volume and 41 percent of U.S.… Read More »
Here I talk with TABB Group Senior Analyst Paul Rowady about our new study looking into prop trading firms entering the swaps business. The report was also covered well by the folks over at Dow Jones – see that story here.
Principal Trading Groups (PTGs) Set to Act as Market Makers for Interest Rate and Credit Default Swaps, Says TABB Clearing Access and ‘Click-to-Trade’ Will Make or Break PTG Swaps Market Entry Following Dodd-Frank Reform Rules Implementation NEW YORK & LONDON, July 19 2011 – Financial regulatory reform efforts covering over-the-counter (OTC) derivatives are setting the… Read More »