Bridge over ocean
23 April 2012 Multimedia

High Frequency Trading, Algorithmic Buy-Side Execution, and Linguistic Syntax

  1. Dan DiBartolomeo

Dan diBartolomeo explains his thoughts behind the idea that huge trading gains made by “high frequency traders” are at the expense of buy-side portfolio managers. As a remedy, he presents a set of quantitative measures such as short-term alpha expectations, alpha decay, and risk aversion that can be inferred from a trade list and the composition of the underlying portfolio in order to improve communication between the portfolio manager and trader.

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