Lawsuit: Incompetent SEC Struggles To Rein In High-Speed Trading Fraud

Having the Securities and Exchange Commission police high-speed trading is like pitting Barney Fife against Michael Corleone: The odds are not in its favor.

You might think it unfair to compare the SEC to the bumbling deputy sheriff of Mayberry, who couldn't be trusted to carry a loaded gun. But the Andy Griffith Show wiki reminds us that Fife was not totally us...: There were occasions, like that time he stood up to those farmers, when he showed backbone. 

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Illegal Conduct Is Critical to the Survival of the Securities Industry

It was a typical week on Wall Street.

Peregrine Financial Group collapsed and filed for bankruptcy. Regulators are searching for $200 million in unaccounted for customer assets. The founder of Peregrine, apparently attempted suicide and is recovering in an Iowa hospital.

Ex-Wall Street trader Michael Marin died in a Phoenix courtroom after apparently taking pills laced with cyanide. Mr. Marin was a banker, art collector and former millionaire. He made his money working in finance and as a Yale educated lawyer. He was allegedly broke and unable to pay the mortgage. Mr. Marin had been convicted of arson for setting his $3.5 million mansion on fire. He was facing seven to 21 years in prison.

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High-Frequency Trading Machines Favored Over Humans by CME Group, Lawsuit Claims

A small band of humans is fighting what it warns is the rise of the machines in financial markets.

A group of two dozen brokers and traders has sued CME Group, the owner of major commodities exchanges in New York and Chicago, arguing that a new rule that took effect on Monday would benefit high-frequency traders, favoring machines over people and putting hundreds of jobs at risk at futures and options exchange the Chicago Board of Trade.

“A lot of people are going to lose their jobs,” said George Sang, the lead attorney for the plaintiffs in the suit. “High- frequency traders, computer programs will be displacing people out of their livelihoods.”

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With Particle Accelerators, Wall Street May Literally Trade at Light Speed

Stock trading at the speed of light. What could possibly go wrong?

That question is not asked in a Forbes piece on Monday by Bruce Dorminey, entitled "Neutrinos to Give High-Frequency Traders the Millisecond Edge."

In this story, serious people seriously contemplate giving Wall Street traders particle accelerators -- yes, I said "particle accelerators" -- to create neutrinos, sub-atomic particles that move roughly at the speed of light and can pass through solid objects with nary a shrug, expressly for the purpose of high-speed trading.

Goldman Sachs CEO Lloyd Blankfein only thought he was doing God's work before. Wait until he gets the ability to create sub-atomic particles.

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I think that, because machines are definitely making stunning advances in the world today, and replacing man in hundreds and thousands of numbers all over the world.  The replacements in some instances seems to be adequate and cost beneficial for some yet, hurtful and unfair for some others.  I think for the other employed working citizens this can be an opportunity for victory,  in the future.  Only if they prepare for it.  Because, change is inevitable and one should not be in denial to that fact, it is sure to come. Maybe looking pass the moment and taking advantage of every available mean be it age, money, education, skill, training etc.  Investing in yourself at this moment seems to be what's best.  The returns maybe GREAT!

The rise of the machines is something we cannot stop. We can only prepare for change. Those that get hurt as a result of these changes is unfortunate. But this happens all the time in evolution.

The computers geeks are taking over the market. It is clear the power is shifting. Who would of thought the geeks and not the Gordon Gechos of the world would end up with the crown. 

I keep tellinig you all the machines are taking over. It is a natural evolution of how thing go. Those Guys at EMM are a bunch of softies. To think they are spending time worrying about what the other guy is doing and not doing something do get his game to another level is a discrace. May be or maybe not Quantlab is doing something wrong. If you are not a cop on the beat that is not really your problem. The way i see it those EMM guys need to be figuring out a way to make money for their clients. That should be what they are thinking about not what the next guy may or may not be doing wrong. Those EMM guys are pathetic. Get to work guys! If Quantlab does get busted does that now make your fight in the market any easier?  It will not.



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