SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : The *NEW* Frank Coluccio Technology Forum
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Frank A. Coluccio who wrote (31563)10/4/2009 4:19:54 PM
From: axial  Read Replies (2) of 46821
 
Frank, WRT denial, it's not uniform. There have been those from various strata within the financial/trading industry that concede (or admit) the advantage gained. Please don't make me dig them up. In the larger picture, the industry has denied any advantageous (or "unfair") position.

But perhaps my point was poorly explained. Let's take this to an extreme, merely to illustrate. Imagine the trader in an isolated community, hooked up to a 56k modem. He finds out that A has placed an offer to buy out B, and that B will appreciate significantly. He places an order for shares of B.

The point:

[A] He will get the information later than positionally-advantaged players

[B] By the time he acts, advantaged players will already have bid the price up.

[C] There is no way to he can match this performance: positionally-advantaged players will always be ahead of him. Not only will they be ahead of him but also every second- and third-tier player in the global market.

We can say "It's always been that way."

But not so. Even 10 years ago, one could hope to "catch the wave" on news at roughly the same time as everyone else. Now that can't happen. No matter what the "far" player does, his efforts will be anticipated by "near" players, who will profit not only from the news itself, but by the remote player's subsequent action. They will increase the cost of his buy, to their profit.

Jim
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News