9/16/2013

Ultrafast Trading Robots Hunt In Packs, Outside Of Human Control

High-frequency trading, a type of algorithmic trading, has taken over the global equity markets. These (almost) autonomous systems have also been blamed for many unusually violent swings in the stock market and for "flash freezes", computer glitches that abruptly brought stock market operations to a halt.

A recent paper, published in the journal Nature Scientific Reports, studied these glitches to understand the root cause of the problem. The study identified the emergence of an "ultrafast machine ecology" that is beyond the control of human traders!

9/14/2013

Weekend Reading - The Lehman Saga And The Financial Crisis

Tomorrow will mark five years since Lehman filed for the largest US bankruptcy.

There have been heated debates since then on the roles played by the industry, government, public, and just about everybody involved with or affected by the crisis.

We are still seeing policy debates on the most effective methods to avoid a repeat of the crisis.

In this weekend post, I will like to draw your attention to some must-read articles regarding Lehman bankruptcy that I have recently come across.

9/12/2013

Primer On Magellan, Retail Banking Platform Of Deutsche Bank

A year ago, Deutsche Bank (DB) had released "Strategy 2015+", a strategic and financial plan aimed at cutting costs, improving profits, and strengthening the business model.

The plan discussed how the Bank will address the near-term challenges and position it to seize the opportunities presented by longer-term megatrends.

It will come as no surprise to the readers that information technology was a key element in DB's strategy!

In this article, I will share with you some details of Magellan, DB's IT platform for Private & Business Clients (PBC) division.