Thursday, May 22, 2014, 7:30 p.m. | Sunday, May 25, 2014, 7:30 a.m.
Michael Lewis’s new book, “Flash Boys,” delves into the world of high-frequency trading. Blamed for the May 2010 stock market “flash crash,” this type of trading – which relies on using fast computers to make quick trades – has changed the playing field for traders.
In this edition of Smith Business Close-Up with the University of Maryland’s Robert H. Smith School of Business, Professor Albert “Pete” Kyle discusses high-frequency trading and Lewis’ new book.
Kyle is the Charles E. Smith Chair Professor of Finance. His main area of research and expertise is “market microstructure,” which studies issues like high frequency trading. He defines high-frequency trading as trading strategies for which fast execution (low latency based on fast hardware) is the key to the strategy’s profitability. His current research shows that low frequency traders have natural incentives to shred orders into many small pieces and submit them continuously.
Where to Watch
Smith Business Close-Up can be seen bi-weekly on Maryland Public Television's Your Business and Money. The program airs at 7:30 p.m. on Thursdays and is repeated the following Sunday at 7:30 a.m. on public television stations throughout Maryland and the Washington, D.C., metropolitan region, including:
- WMPB-TV (Ch. 67), Baltimore
- WMPT-TV (Ch. 22), DC metro/Annapolis
- WCPB-TV (Ch. 28), Salisbury
- WFPT-TV (Ch. 62), Frederick
- WWPB-TV (Ch. 31), Hagerstown
- WGPT-TV (Ch. 36), Oakland
Media Contact
Greg Muraski
Media Relations Manager
301-405-5283
301-892-0973 Mobile
gmuraski@umd.edu
About the University of Maryland's Robert H. Smith School of Business
The Robert H. Smith School of Business is an internationally recognized leader in management education and research. One of 12 colleges and schools at the University of Maryland, College Park, the Smith School offers undergraduate, full-time and flex MBA, executive MBA, online MBA, business master’s, PhD and executive education programs, as well as outreach services to the corporate community. The school offers its degree, custom and certification programs in learning locations in North America and Asia.