According to Politico, three members of the House Financial Services Committee, Rep.Hensarling (R-TX), Rep. Huizenga (R-MI) and Rep. Hultgren (R-IL), have asked the SEC to delay the Consolidated Audit Trail (CAT). We are not surprised to hear this since industry insiders have been setting this up for the past few weeks.  When the industry decides to go after something, they usually leave Sasquatch-sized footprints for everyone to see like yesterday’s WSJ op-ed titled “The SEC Plans to Collect Too Much Information” .  The piece was co-written by Harvard’s Hal Scott who has also been very busy defending HFT over the past few (more…)

  At last week’s STA Market Structure Conference, the topic of market data costs was brought up repeatedly.  Even though most folks at the conference believe that market data costs are too high, the stock exchanges seem to believe that they add a lot of value here which is why they charge such high rates for market data. This made us think about the question: who owns the market data? We thought we would walk through a few investment scenarios and then ask that question about each scenario. Scenario #1 – Institutional Investor Portfolio manager decides to buy a stock after spending hours (more…)


Aug, 2017