Financial Times (August 23)
2010/ 08/ 26 by jd in Global News
High-frequency traders are being scrutinized by the Financial Industry Regulatory Association (FINRA). Broker-dealers that provided clients with direct market access may be fined if they did not implement required risk-management controls. The Financial Times thinks this is a good thing. During the May 6 “flash crash” U.S. stocks dropped almost 1,000 points, yet “officials still do not fully understand what happened.” Regulators need to “catch up.” Technical fixes and new rules can help “ensure markets serve the non-professional users who access them.”
Tags: Broker dealers, FINRA, Flash crash
