YouSaid · the spoken record

Keith Ross

lines on the record

103

first

2016-04-08

most recent

2016-04-08

sittings or episodes

1

sources

podcast

Every line below is reproduced as it was said and linked to the record it came from. Nothing here is summarised or generated. Directory · Search · Corrections

1. “Well, they're going to be the scapegoat because, like the specialist in the old days, they're the ones that everyone believes are the operators in the market and have that opportunity to either make the market or not. Both cases, the macro environment was very, very bearish And so the question becomes, you know, what is the responsibility of the participants? They took time off in 1987 and withdrew dramatically. The beautiful part about the flash crash to me is the following flash dash. After a five-second pause in the e-mini futures, the whole market was able to recalibrate, reassess. And it was a hard event during the day, but it was over in an hour.”

   2016-04-08 · Masters in Business · Interview With Keith Ross: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source

2. “So I want to respond to that and say it's actually a myth. Because a couple of folks were out loud about backing away from the market. The guys who knew what they were doing did not. And my understanding is they had very good days. So there's actually an incentive for them to stay in the market with all that volatility and chaos. There's a lot of opportunity. And those that are not as concerned about that would argue in 1987 and at other times in market chaos, market makers specialists then pick up the phone. That's the same problem. So you couldn't get to your broker. Maybe you thought you wanted to do something, but you couldn't find anyone to take the other side.”

   2016-04-08 · Masters in Business · Interview With Keith Ross: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source

3. “Precisely. And it turns out I believe it's a wonderful efficiency for our markets, trading costs and commissions have come down dramatically over the years. I know there's a lot of concern about the robots taking over the world, but. The vast majority of high frequency traders are passive liquidity providers, so they are in the market virtually all the time, and we can talk about that in a little bit. But their goal is to capture spread the way market makers have done for centuries and provide liquidity.”

   2016-04-08 · Masters in Business · Interview With Keith Ross: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source