Author Topic: Flash Boys - Michael Lewis  (Read 17726 times)

Liberty

  • Lifetime Member
  • Hero Member
  • *****
  • Posts: 9042
  • twitter.com/libertyRPF
    • twitter.com/libertyRPF
Re: Flash Boys - Michael Lewis
« Reply #40 on: April 22, 2015, 01:18:14 PM »
Listened. A character-driven view with mostly one side of the story. Could've been without the recurring "so much money stolen" rants. And I would've liked some finance-characters to complete the tech rebels viewpoint. We'll can't get it all...I liked it overall.

When the book came out and there was a huge media ruckus, we got the other side of the story. Everyone attacked Lewis, and their arguments basically amounted to nothing. Either they tried to act like Lewis was against all electronic, high-speed trading, and he isn't ("the spreads are smaller now!" yeah, but not because of front-runners and people sniffing your orders). Or they talked about liquidity and such, which is BS for the kind of HFT that Lewis went after (they actually mostly provide fake liquidity that disappears when someone needs it).

So sometimes when you don't get the other side, it's because they don't have anything to say that would make them look good. They do it for the money, that's it. The best they can hope for is to confuse the public and muddy the waters and hope that the money tap isn't turned off too soon. There's no hidden positive reason for that specific kind of HFT to exist (or if there is, I haven't found it yet).
« Last Edit: April 22, 2015, 01:20:37 PM by Liberty »
"Most haystacks don't even have a needle." |  I'm on Twitter  | Watch this, please


NewbieD

  • Full Member
  • ***
  • Posts: 146
Re: Flash Boys - Michael Lewis
« Reply #41 on: April 24, 2015, 10:31:32 AM »
So sometimes when you don't get the other side, it's because they don't have anything to say that would make them look good. They do it for the money, that's it. The best they can hope for is to confuse the public and muddy the waters and hope that the money tap isn't turned off too soon. There's no hidden positive reason for that specific kind of HFT to exist (or if there is, I haven't found it yet).

Agreed, it doesn't add much value. IEX seems to be doing pretty good since the book came out. Record market share a couple of days ago: http://www.iextrading.com/insight/stats/

Btw, this book taught me that microwave communication can be faster than fiber optics. Particularly affects my shares in Effnet.com which does header compression and has some tower manufacturers as customers.

Liberty

  • Lifetime Member
  • Hero Member
  • *****
  • Posts: 9042
  • twitter.com/libertyRPF
    • twitter.com/libertyRPF
Re: Flash Boys - Michael Lewis
« Reply #42 on: July 06, 2015, 01:49:40 PM »
"Most haystacks don't even have a needle." |  I'm on Twitter  | Watch this, please

Liberty

  • Lifetime Member
  • Hero Member
  • *****
  • Posts: 9042
  • twitter.com/libertyRPF
    • twitter.com/libertyRPF
Re: Flash Boys - Michael Lewis
« Reply #43 on: August 02, 2015, 10:27:33 AM »
Wanted to point out for those who want a broker that doesn't sell your orders to HFT firms and doesn't route you first through their own dark pools even if that's not the best execution for you; Interactive Brokers has a policy of not selling order flow to 'internalizers' and other third parties. They also connect with the IEX exchange (you can use their smart routing algo and let it find the best execution, or you can specify that you want to go to IEX directly).

I know most here are probably not big enough for that to make a big difference, but if on principle you don't want to support brokers who are complicit with the worst kind of HFT practices, going with Interactive Brokers might be a way (along with the low cost benefits).
"Most haystacks don't even have a needle." |  I'm on Twitter  | Watch this, please

Liberty

  • Lifetime Member
  • Hero Member
  • *****
  • Posts: 9042
  • twitter.com/libertyRPF
    • twitter.com/libertyRPF
"Most haystacks don't even have a needle." |  I'm on Twitter  | Watch this, please

stahleyp

  • Lifetime Member
  • Hero Member
  • *****
  • Posts: 2445
Re: Flash Boys - Michael Lewis
« Reply #45 on: August 21, 2016, 05:55:57 AM »
The folks at TFS Capital use IEX I believe (Gates was featured in Flash Boys). They have a couple mutual funds too.
Paul

fareastwarriors

  • Hero Member
  • *****
  • Posts: 3382
Re: Flash Boys - Michael Lewis
« Reply #46 on: October 12, 2016, 08:45:09 AM »
Brad Katsuyama Q&A: ‘I Don’t Think We Would Have Survived If It Was Just Hype’

https://www.bloomberg.com/features/2016-brad-katsuyama-interview/

Liberty

  • Lifetime Member
  • Hero Member
  • *****
  • Posts: 9042
  • twitter.com/libertyRPF
    • twitter.com/libertyRPF
Re: Flash Boys - Michael Lewis
« Reply #47 on: October 31, 2017, 10:06:44 AM »
Good podcast interview with Brad Katsuyama of IEX:

http://investorfieldguide.com/katsuyama/

IEX market share keeps going up steadily:

« Last Edit: October 31, 2017, 10:14:36 AM by Liberty »
"Most haystacks don't even have a needle." |  I'm on Twitter  | Watch this, please