Individual investors who begin exploring algo trading would possibly surprise who some of the most important automatic investors are. Although it’s miles difficult to know the precise variety, a few enterprise reports indicate that excessive-frequency trading firms, or HFTs, account for about 50–60% of U.S. equity buying and selling volume. I’ve compiled a listing of 15 famous HFTs, jotted down some notes approximately each, and supplied links to their web sites for in addition studies.
(1) Virtu Financial — Founded in 2008 by Vincent Viola and Doug Cifu, Virtu is one in every of the most important high-frequency marketplace makers globally with a especially massive presence in U.S. equities. Virtu has made some high-profile acquisitions of other buying and selling corporations and provider companies together with KCG Holdings and ITG.
(3) Two Sigma Securities — Like Citadel, Two Sigma is created from an asset supervisor and a marketplace maker. Two Sigma’s hedge fund over $50B beneath control, whilst it’s marketplace making entity frequently trades over three hundred million stocks in keeping with day in the U.S. inventory market.
(four) Tower Research Capital — Headquartered in New York City and based by means of Mark Gorton in 1998. Tower is energetic globally with many “siloed” teams buying and selling their very own strategies the usage of shared infrastructure and firm capital.
(5) Jump Trading — Founded in 1999 by way of former pit buyers Paul Gurinas and Bill Disomma, Chicago-primarily based Jump is a large digital trading corporation that has grown to over 500 employees globally. The company is understood to have enormous marketplace percentage in futures markets and has additionally multiplied into cryptocurrency trading.
(6) DRW — Founded in 1992 by using former floor trader Don Wilson, DRW is a proprietary buying and selling company buying and selling many financial gadgets globally. The corporation has over 800 personnel and became one of the first mounted HFTs to amplify into crypto buying and selling in 2014 via its subsidiary Cumberland Trading.
(7) Hudson River Trading — Founded in 2002 and established in NYC, Hudson River Trading (known as HRT) is a quantitative buying and selling organization responsible for about 5% of U.S. inventory marketplace volume consistent with a Wall Street Journal article. The firm received competitor Sun Trading in 2017.
(eight) Quantlab Financial — Technology-driven proprietary buying and selling company founded in 1998 by way of Ed Bosarge and Bruce Eames. With headquarters in Houston, the organization has workplaces throughout the choices U.S. and Europe. Acquired technology belongings from Teza Technologies in 2017 as a part of enterprise consolidation.
(nine) XTX Markets — Founded in 2015 by Alexander Gerko, XTX is an digital liquidity issuer with over 100 employees this is mainly lively in currency markets, in which it’s miles the choices third biggest marketplace maker by using extent with over 7% market share. It is likewise a tremendous player in European fairness markets with over eleven% market percentage. The firm is a spin-off of GSA Capital.
(10) GTS — Founded in 2006, GTS is a proprietary quantitative buying and selling firm that is the choices New York Stock Exchange’s largest Designated Market Maker (DMM), wherein it is responsible for maintaining fair and orderly markets for extra than 1,a hundred public groups. GTS debts for 3–6% of day by day coins equities quantity within the U.S. and trades over 10,000 distinctive instruments globally. The company lately agreed to collect Cantor Fitzgerald’s ETF and wholesale market making groups.
(eleven) Tradebot Systems — Founded in 1999 by Dave Cummings (who also later based the alternative buying and selling device BATS). Based in Kansas City and using round 60 humans, the corporation makes a speciality of supplying liquidity in U.S. equities.
(12) Flow Traders — Founded in 2004 and situated in Amsterdam, Flow is a publicly traded organisation this is regarded for marketplace making change traded merchandise, or ETPs. With over 300 employees, the choices organization offers liquidity on all primary markets in Europe, the Americas, and Asia. It is mainly robust in European ETF marketplace making, in which it handles about one-0.33 of all buying and selling volume.
(13) IMC Financial — Founded in 1989, IMC is a big electronic market maker in Europe, the Americas, and Asia. In the U.S., IMC is a Designated Market Maker (DMM) on the choices New York Stock Exchange. The organisation employs over 500 humans and has places of work in Amsterdam, New York City, Chicago, and Sydney.
(14) Optiver — Founded in 1986 and additionally centered in Amsterdam, Optiver is a proprietary trading firm and marketplace maker that has approximately 1,000 personnel. Active globally however like Flow and IMC is a great participant in European ETF market making.
(15) XR Trading — Founded in 2002 as a fixed profits company, XR is a Chicago-primarily based proprietary trading organization offering liquidity in a extensive variety of monetary units and asset instructions.
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News and notion management on the changing panorama of…
News and notion management on the changing panorama of computerized investing. Changing the choices marketplace one set of rules at a time.
News and idea management on the choices converting panorama of computerized making an investment. Changing the choices marketplace one set of rules at a time.