Author Topic: Flash Boys - Michael Lewis  (Read 17734 times)

50centdollars

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Flash Boys - Michael Lewis
« on: February 28, 2014, 08:54:57 AM »
Flash Boys

You can pre-order now on Amazon. Book to be released on March 31.

Cheers
« Last Edit: April 16, 2014, 10:07:16 AM by 50centdollars »
50centdollars


deepValue

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Re: Flash Boys - Michael Lewis
« Reply #1 on: February 28, 2014, 07:11:55 PM »
Wow that's an awful title. And an awful subject (assuming it's HFT).
« Last Edit: February 28, 2014, 07:13:40 PM by deepValue »

yadayada

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Re: Flash Boys - Michael Lewis
« Reply #2 on: February 28, 2014, 11:35:46 PM »
Im curious to read the reviews on this one. I have a feeling he is just trying to cash in here.

50centdollars

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Re: Flash Boys - Michael Lewis
« Reply #3 on: March 27, 2014, 10:13:06 AM »
Former RBC banker is hero of new Michael Lewis book Add to ...
Subscribers Only
NEW YORK — The Globe and Mail

Published Thursday, Mar. 27 2014, 12:40 PM EDT

Last updated Thursday, Mar. 27 2014, 12:40 PM EDT

 A former Royal Bank of Canada banker has a starring role in an upcoming book by Michael Lewis, the foremost chronicler of American finance.

Mr. Lewis – the author of numerous books including Liar’s Poker, Moneyball, and The Big Short – is about to publish a much anticipated account of the way high-speed trading has transformed markets.

Entitled Flash Boys, the book is being released on March 31 but select pages can now be viewed using a feature on Amazon.com.

In the introduction, Mr. Lewis says that a Canadian – Brad Katsuyama – stands at the centre of his narrative. Mr. Katsuyama’s “willingness to throw open a window on the American financial world, and to show people what it has become, still takes my breath away.”

The second chapter of Flash Boys is devoted to Mr. Katsuyama (he is now CEO of IEX Group Inc. in New York, a new stock-trading platform aimed at shielding investors from certain types of high-frequency traders). The book contains both zingers and compliments for Canada’s largest bank.

RBC, Mr. Katsuyama’s former employer, is described as “stable and relatively virtuous” but somewhat clueless as it attempted to push into the big leagues in New York a little over a decade ago. “It was as if the Canadians had summoned up the nerve to audition for the school play, then showed up in a carrot costume,” Mr. Lewis writes.

“The bank’s run by these Canadian guys from Canada,” the book quotes a former RBC director as saying. “They don’t have the slightest idea of the ins and outs of Wall Street.”

In its U.S. hiring, RBC had a “no-asshole” rule and instead looked for people who were “RBC nice,” the book says. It detailed the culture clash that ensued after RBC bought Carlin Financial, an electronic trading firm. The new arrivals rented out a Manhattan nightclub for the firm’s Christmas party, formerly a staid affair, and their chief liked to walk around the office brandishing a baseball bat.

Not all of the chapter’s pages are available for viewing, but what can be seen reads like a mystery story, as Mr. Katsuyama and his colleague Rob Park investigate the inner workings of the U.S. stock market.

Mr. Katsuyama noticed strange things occurring in the execution of trades, the book said, with prices shifting against him after he entered orders but before they were completed. Increasingly, he realized that he was “running a stock trading department unable to trade properly in the U.S. stock market,” Mr. Lewis writes.

The book goes on to describe how Mr. Katsuyama and his colleagues developed a tool called “Thor” to eliminate the advantages enjoyed by high-frequency traders.

Mr. Katsuyama and a spokesperson for RBC weren’t immediately available for comment.
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TorontoRaptorsFan

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Re: Flash Boys - Michael Lewis
« Reply #4 on: March 30, 2014, 02:53:33 PM »
Heads up!

Tonight's 60 Minutes lead story is an interview with Michael Lewis on this new book (Flash Boys).

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OracleofCarolina

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Re: Flash Boys - Michael Lewis
« Reply #5 on: April 08, 2014, 07:33:07 PM »
I am really enjoying the book..it's a great read so far for my simple mind :)

Liberty

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Re: Flash Boys - Michael Lewis
« Reply #6 on: April 08, 2014, 08:45:31 PM »
I am really enjoying the book..it's a great read so far for my simple mind :)

I'm enjoying it too so far. Now looking back on the media coverage of it, it's pretty obvious that none of the media people had actually an advance copy to read, they just had an intern do a quick search through the book for certain keywords and asked questions based on the paragraph surrounding whatever that was.

Well, they probably always do that...
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Liberty

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Re: Flash Boys - Michael Lewis
« Reply #7 on: April 09, 2014, 03:36:11 PM »
I thought this anecdote from the book about IEX was pretty funny.

They called their exchange Investors Exchange. They shortened it to IEX because when they registered the website, they realized there was a problem.. See for yourself:

Code: [Select]
www.investorsexchange.com
 ;D
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Grenville

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Re: Flash Boys - Michael Lewis
« Reply #8 on: April 09, 2014, 03:46:12 PM »
I thought this anecdote from the book about IEX was pretty funny.

They called their exchange Investors Exchange. They shortened it to IEX because when they registered the website, they realized there was a problem.. See for yourself:

Code: [Select]
www.investorsexchange.com
 ;D

That is funny. Looking forward to reading the book.

Liberty

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Re: Flash Boys - Michael Lewis
« Reply #9 on: April 09, 2014, 04:13:13 PM »
I thought this anecdote from the book about IEX was pretty funny.

They called their exchange Investors Exchange. They shortened it to IEX because when they registered the website, they realized there was a problem.. See for yourself:

Code: [Select]
www.investorsexchange.com
 ;D

That is funny. Looking forward to reading the book.

It is worth it. By about 2/3 through it, it becomes very clear what the problem with HFT is, where they describe the HFT strategies but also how exchanges works behind the scenes, will all kinds of hidden staircases and trapdoors that most people don't know exist (brokers selling their own customers' info to HFT firms so they can be front-run; 150 different order types, some described by 20 pages of inscrutable legalese, with no obvious purpose except to allow a HFTer to not do the trade that he publicly appears to want to do or to get a kickback without providing the liquidity that the kickback is supposed to incentivize? yeah, that's just random luck that all that stuff is there and that the exchanges make most of their profit from HFT..).
« Last Edit: April 09, 2014, 04:21:17 PM by Liberty »
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