Letter: Program Trading Magnifies Black Swan Disturbances

Written by: Daniel Schlaepfer | Published on: 03/26/2020 | In: Letters

One of the most important inputs in the preset algorithms used to make computerized trades is volatility itself. This means that when true volatility hits the market, the computers exacerbate problems.

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U.S. Should Avoid EU-Style Financial Regulations

Written by: Daniel Schlaepfer | Published on: 11/11/2019 | In: Letters

The SEC’s recent reprieve to Wall Street from European regulations is simply kicking the can down the road. We need wholesale regulatory reform.

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The U.S.’s MiFID II Dilemma

Written by: Daniel Schlaepfer | Published on: 08/29/2019 | In: Letters

SAs Congress orders a study into the possible effects of MiFID II-style policies in the US, the SEC would be better off building bridges with their European counterparts to achieve equivalence than following the EU’s lead, argues Daniel Schlaepfer.

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AI can play poker, but it can’t play the markets yet

Written by: Hugo Kruyne | Published on: 08/08/2019 | In: Letters

Worldwide spending on AI systems will grow to nearly $35.8 bn in 2019 – a 44% increase on 2018. It’s expected to more than double to $79.2 billion by 2022. In my own sector of international capital markets, the chorus of voices proclaiming the dominance of machine-learning is growing by the day.

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Mifid II is driving smaller firms to the wall

Written by: Daniel Schlaepfer | Published on: 08/30/2018 | In: Letters

The cost of complying with the European Union’s (EU's) gargantuan Markets in Financial Instruments Directive II (Mifid II) is not just forcing smaller independent financial advisory firms to revise their charging models, as IFA research group Platforum recently reported.

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The Unspoken Cost of Regulation

Written by: Daniel Schlaepfer | Published on: 06/25/2018 | In: Letters

A direct consequence of regulation aimed at dismantling the cult of "Too Big to Fail" has been the struggle of younger firms who are increasingly "Too Small to Comply".

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