Michael Lewis Doesn't Like High-Frequency Traders
'Big HFTs like Knight/Getco and Virtu trade vast volumes of stock while still taking in much less money than the traditional market makers: $688 million and $623 million in 2013 market-making revenue, respectively, for Knight and Virtu, versus $2.6 billion in equities revenue for Goldman Sachs and $4.8 billion forJ.P. Morgan. Even RBC made 594 million Canadian dollars trading equities last year. The high-frequency traders make money more consistently than the old-school traders, but they also make less of it. '
& covered again in Margin Revolution
The 25-Year-Old at the Helm of Lonely Planet
Why homeopathy is nonsense, that's put that one to bed...