Investment banks, hedge funds and institutional investors are high-frequency trading as a way to automate things by the power of fast computers, usually to allow for transactions of a large amount of orders at a record pace. Investors can use the power of high frequency trading platform trigger millions of orders during the analysis of various markets and trade in milliseconds, provided that the major advantage of the open market. Some financial institutions are trying to fast movement of money to lay in stocks of raw materials. Their hunt for signals higher interest rates in the form, which information can be provided information on trends in the market in the short term.

HFT systems employ the use of algorithms in advance of a market and can point to possible trends in milliseconds to identify. HFT trading system that’s capable of sending hundreds of packages in stock in the financial center bid-ask spreads that are important to investors. The trading system with a high frequency allows the investor to fight and market developments, generating a return on investment to predict.

We see that financial institutions lobbying for the nearest location for data centers in real-time exchange, NYSE Euronext (NYX) constructed a 400,000 square foot data center in Mahwah, New Jersey. Although no marked change in stock traders and investors is an important moment for the growing needs of high-frequency traders.

High frequency Trading has a central position in the market following the introduction of incentives through exchange for companies to increase market liquidity. The incentives are offered to the market makers has helped to get the foreign exchange risk, if necessary, of firms that bid in cash is also an increase in sales to the position seen. Companies have a positive difference but also incentives and loopholes, to a fraction of 1% per transaction. A large profit is made at the end of the day when you take into account the large number of transactions per day.

In London Pearson, we’re able to provide better performance for our retail investors in our high frequency trading system and an effective reduction of the gap between the offer prices to use the screen to reduce liquidity. Our high frequency trading strategies in London Pearson was an index of the growth in trade of high-speed computer and catalyzed by the changes we saw in the legislation over the past two decades. We’ve noted the establishment of centers in new markets, such as ECN and an increase in competition between the new centers and replace the area due to regulatory changes.