Key Concepts

Options involve risk and are not suitable for all investors. Please read Characteristics and Risks of Standardized Options before deciding to invest in options.

High Frequency Trading

High frequency trading is a new function of the modern market where programmed trading platforms exploit inefficiencies in market pricing. Powerful computers execute a large volume of orders based on current market conditions and make a large impact to our overall market liquidity. Many outside firms consider high frequency trading to be a nuisance to the modern trading world, but we disagree.

We believe that the retail investor benefits profoundly from high frequency trading. We reap the benefits of low transaction fees, penny wide markets, price improvement, liquidity, free data, and top of the line software. Without high frequency trading, we would move generations back in time in terms of efficiency and technology used for trading.

High frequency trading has commoditized transaction fees and exchanged products, and sets a high standard for the retail investor. Removing this aspect of the trading world would not only hinder our liquidity, but our overall trading experience as well.

High Frequency Trading Videos