More regulations more rules more control more monitoring, blah blah where does it end?
Don't they realize that their socialist regulations, monetary and fiscal policies cause crashes?
Traders do not cause crashes.
http://www.reuters.com/article/idUSN1318449520100813
Global body urges tough rules for high-speed trade
* Direct access to markets needs better oversight - IOSCO
* Suggestions mirror U.S. proposals
* High-frequency trading in the spotlight
NEW YORK, Aug 13 (Reuters) - A global body of securities regulators proposed tough new guidelines to monitor high-speed trading firms that enjoy direct access to electronic exchanges.
The hedge funds, proprietary firms and others that have "direct electronic access" (DEA) to securities markets should be monitored for risky practices both before and after their trades are made, the International Organization of Securities Commissions (IOSCO) said in a report.
It also said brokerages that permit DEA are ultimately responsible for the impact DEA orders have on the marketplace, echoing muscular U.S. rules proposed early this year and meant to safeguard markets from trading errors or abuse. [ID:nN13155676]
In direct access -- also called "sponsored" or "naked" access -- brokers approved to trade on an exchange rent their access badges to outside traders, who are then able to shave milliseconds off the time it takes to access markets.
The practice has spread from North America and Europe over the past decade as markets increasingly went electronic, and as algorithmic high-frequency trading played a more central role.
IOSCO suggested that brokers ensure their DEA clients meet minimum financial standards; that they identify the firms to regulators to bolster surveillance; and that markets that accept DEA be able to effectively limit trading if necessary.
The eight principles set forth in the IOSCO report are guidelines for its member regulators. Direct access is now monitored by a patchwork of rules globally. (Reporting by Liana B. Baker and Jonathan Spicer; editing by John Wallace)
Don't they realize that their socialist regulations, monetary and fiscal policies cause crashes?
Traders do not cause crashes.
http://www.reuters.com/article/idUSN1318449520100813
Global body urges tough rules for high-speed trade
* Direct access to markets needs better oversight - IOSCO
* Suggestions mirror U.S. proposals
* High-frequency trading in the spotlight
NEW YORK, Aug 13 (Reuters) - A global body of securities regulators proposed tough new guidelines to monitor high-speed trading firms that enjoy direct access to electronic exchanges.
The hedge funds, proprietary firms and others that have "direct electronic access" (DEA) to securities markets should be monitored for risky practices both before and after their trades are made, the International Organization of Securities Commissions (IOSCO) said in a report.
It also said brokerages that permit DEA are ultimately responsible for the impact DEA orders have on the marketplace, echoing muscular U.S. rules proposed early this year and meant to safeguard markets from trading errors or abuse. [ID:nN13155676]
In direct access -- also called "sponsored" or "naked" access -- brokers approved to trade on an exchange rent their access badges to outside traders, who are then able to shave milliseconds off the time it takes to access markets.
The practice has spread from North America and Europe over the past decade as markets increasingly went electronic, and as algorithmic high-frequency trading played a more central role.
IOSCO suggested that brokers ensure their DEA clients meet minimum financial standards; that they identify the firms to regulators to bolster surveillance; and that markets that accept DEA be able to effectively limit trading if necessary.
The eight principles set forth in the IOSCO report are guidelines for its member regulators. Direct access is now monitored by a patchwork of rules globally. (Reporting by Liana B. Baker and Jonathan Spicer; editing by John Wallace)
