Top Quotes of the Week
What a week! Europe double dips, hedge fund managers have big egos, MF Global pleads the Fifth, and everybody is leaving Goldman Sachs. Advanced Trading gathered up the funniest and the most revealing quotes from the capital markets thought leaders. There's a lot of bad news out there, but there are some bright spots. Enjoy.
Institutions Failing Commodity Investors
offering commodity investments during this once-in-a-generation
demand boom are failing on two levels: they are not attracting
the money they should and they haven't realised that Asia is the
Hedge Fund Trading Desks Are Just Window Dressing
Thanks to algorithms, quants and high-frequency trading there's no need to have a fleet of trading desks. Having traders stare at screens all day is just for pumping up the ego of the hedge fund owner, says George Michaels of G2 Systems.
Meet the Next-Generation Trader
Thanks to electronic markets, high-speed trading and intelligent algorithms, today's buy-side trader must evolve to survive.
Are the Buy-Side Trader's Days Numbered?
As the rise of black-box trading has transformed the industry, buy-side traders have had a tough time reinventing themselves. But even in the Age of Algos, there is still plenty of value for the buy-side trader to add.
New Leaders for Goldman Sachs?
Senior executives within Goldman Sachs have talked about splitting the roles of chief executive officer and chairman, two sources said, although pressure for any imminent move appears to have eased after a deal with a labor union pension fund.
BATS IPO Business Still Open
After a humiliating meltdown when its own initial public offering had to be withdrawn, the exchange operator will continues with its IPO listing business nevertheless.
Hedge Funds See Profits After Hot Q1
Hedge funds are cashing in some of their chips after enjoying a bumper first quarter, wary that a sudden change in market sentiment could see them take the sort of losses suffered in last year's volatile markets.
Algo Trading, HFT Wreaking Havoc on Commodities
Recent research showing a big jump in correlation between commodity and equity markets and among commodities themselves, over short periods from a second to an hour, has unleashed fresh bad tempered debate about whether "speculators" - especially high-frequency traders - are distorting commodity prices.
Does Every Buy-Side Trader Need To Be a Quant?
The buy-side trader has come a long way since the days of order forms and fax machines. How has their role changed in this age of algorithmic trading and speedy networks? Advanced Trading interviewed Tim Grant, managing director of fixed income technology provider Benchmark Solutions for his two cents.
Ask a Quant Headhunter
After placing traders in investment firms for 25 years, Lou Ricci has seen booms and busts. As partner and co-founder of The Hagan-Ricci Group, a trading headhunting firm with offices in Armonk, NY, Ricci shares his insight on today's job market, the skills traders need these days and if quants are drooling over Google and not Goldman Sachs.
Volcker Backs Contentious Auditor Rotation Idea
Former Federal Reserve Chairman Paul Volcker supports a controversial term-limit proposal for audit firms, a rule aimed at preventing them from becoming complacent over time and less willing to question senior management.
The Attraction of OTC Clearing
Despite all the noise and hoopla, market participants seem to be huddled together at the top of the diving board waiting for someone else to take the plunge first.
Jefferies Q1 Profit Drops
Jefferies Group reported lower first-quarter earnings on Tuesday due to higher costs and a loss in its managed funds business.
Bloomberg Visits Tarnished Goldman Sachs
You know it's been a bad week when the mayor of New York City and the man whose name appears on their market data terminals has to stop by the office to cheer everyone up.
Q&A: Beware a Tax On Cancelled HFT Orders
As the SEC ponders how to slow down the furious pace of high frequency trading, different ideas have come to light. Advanced Trading spoke with Michael Jenkins, partner in the financial services and strategy practices of A.T. Kearney. Portions of this interview appeared in our March 2012 cover story Slow Down, Algo Trader.
Lose-Lose for Pension Funds as Deficit Grows
This year's surge in
equities and other risky assets has been a relief for investors
under pressure to boost returns after a dire 2011, but pension
funds seem trapped in a low-yield world, aggravating their
battle with demographic trends.
The New Trader: Adapt or Die
As algos and high-speed networks do the heavy lifting during the trading day, what does the Buy Side Trader do all day? While interviewing sources for the April 2012 cover story Meet the New Trader -- to be posted shortly -- Megan Costello, director of North America Client Services of Fidessa, shared her thoughts.
Dodd Frank Confusion Reigns on Buy Side — Study
While sell side firms are investing heavily due to Dodd Frank, a new study finds that buy side firms are confused about clearing deadlines and favor Bloomberg as the execution venue of choice.
A Former SEC Enforcer On Slowing Down HFT
After years of trading near the speed of light can regulators realistically place a speed limit on high frequency trading? Mark Fickes, a former attorney for the SEC enforcement division and currently with BraunHegey & Borden of San Francisco, weighs in.