Iâm going to split âalgorithmic tradingâ into two distinct categories. HFT and âother algos.â HFT is simply market front-running, that is, attempting to make money by virtue of the fact that their bare-metal servers are sitting literally within feet of the market servers and therefore getting market information many milliseconds ahead of literally, âeveryone elseâ - except for other HFT servers. A millisecond is one-one-thousandth of a second, and these servers are processing thousands of times faster than that. According to at least one Youtube video, their rate of profitability is about 58%, or only slightly more than simply guessing. Enough, apparently, to be quite profitable. Then thereâs the âotherâ type of algo processing that parses news stories, calculates arbitrage between like companies within an industry, and lord knows that else. Are t profitable? Some, obviously, are, or no one would bother to put them up in the first place. is that illegal? No. T are using the same data available to everyone else even thought that data might cost them plenty, but, it is still public data. There is no law against that, nor should there be. The playing field is about as level as it can be. The SEC is always watching for cheating, but utilizing public data faster or more creatively than âsomeone else,â perhaps you? No. T have more important things to do. Think of it like this. would you be in favor of a law that handicapped people with an IQ over 125 making them put delays in their data line solely for the purpose of âmaking them as slow as someone with an IQ of 115?â Probably not. Life is inherently not fair. You either adapt to that reality or you spend your life worrying about people smarter than you, more beautiful than you, richer than you, more educated than you, and so on. Seriously? Find your own niche; exploit that.
Would have to have a trusted asset to hold. Now how do we find this asset? Well I'll tell you. If we assume a 98% chance that would be caught dead with your hand in the cookie jar. In all likelihood you will be on trial for tax evasion. If you arenâÔÃƒÆ'AOT on trial for it, you canâÔÃƒÆ'Ãƒônâ¼ÃƒÆ have an algorithm find you tax code. How? Well, theyâÔÃƒÆ'Adore already trying to find tax havens like the Cayman Islands, Ireland and Panama, because itâÔÃƒÆ'Amos illegal to have such a tax code. Your lawyers will know about this. You canâÔÃƒÆ'Ãƒôfinallyâ¼ÃƒÆ get yourself out of jail because youâÔÃƒÆ'Mohave a secure system which would lock you in when you entered it. Now youâÔÃƒÆ'Ãƒôsayâ¼ÃƒÆ ââ1⁄4Äô€€€€ÄÄa. ÝÖµôÜ” “Criminal activity is a crime” Now for a couple of reasons. One, you don't want the cops on your trail. Two, because you'd.