To Avoid Latency Arbitrage, Trade Multilaterally

Don Ross On April 10, Matt Clarke published a superb overview and analysis of anti-latency arbitrage (ALA) mechanisms here in Tabb FORUM, making a strong case for incorporating them (“Speed Bumps: Anti-Latency Arbitrage Mechanisms Make Markets Better”).  I share his view that the high (and rising) cost of shaving nanoseconds in the race to take... Read more

Posted on: June 19, 2019

Why On-Demand Auctions Aren’t Just a Nice Idea

  When I left the world of high-speed market-making back in 2014, friends were flummoxed.  Auctions?  Really?  Nice for openings, nice for closings, but all-day long?  What are you thinking? To be sure, I still have great regard for speed.  As a trader, it served me well for ten years.  But I could also see... Read more

Posted on: April 03, 2019

Instead Of Protection And Price Controls, Let’s Try Competition

The only thing actually disciplining exchange transaction and market data fees is SEC price-capping – not competition, argues PDQ CEO Donald Ross. But, he says, the industry doesn’t need lower price caps; it needs real competition. And we will only get that when the Order Protection Rule is repealed and exchanges are forced to compete... Read more

Posted on: October 26, 2018

If Stock Auctions Are So Great (and They Are), Let’s Do Them All Day Long

Stock auctions are front-page news – for good reason, says PDQ CEO Don Ross: Computerized auctions have the potential to improve the efficiency and integrity of global stock markets. Stock auctions are front-page news – the feature piece in the March 15 edition of the Wall Street Journal, to be exact. My firm being a... Read more

Posted on: March 26, 2018