I work in a local hospital (Duncan, BC). We, like all hospitals, have a disaster plan. A couple of years ago we tested it: local school children play-acted a bus crash with 25 simulated victims. We handled all 25 'victims' well--the system was somwhat over-loaded but by sending many to other nearby hospitals, we were able to give good 'treatment' to all.
Now, what is clear from the exercise is that our emergency system can handle an over-load. However the size of the over-load is critical. We know that had the number of victims been 50, we could not have coped. And, the situation would have never been able to meet the victim's needs had there been an area-wide disaster such as a major earth quake. We just cannot build a big enough building, hire enough physicians, nurses, and support staff and have the system on idle for extremely infrequent events.
I recognise what you wrote about some brokers being able to handle the 'extra' volume. So what, I think. This 'extra' volume is a nothing in my opinion.
My point is that, when the big sell-off occurs--and it will, we just don't know when the coming bear market will present itself--none of the brokerage systems will be able to keep up with panic selling. There are several implications, including that if you are out prior to the panic, you'll sleep well at night. Another is that the mo mo traders may be in terrible trouble when the trading systems lock up, especially those who are leveraged.
Ciao,
David Todtman |
