It was reported recently that high frequency trading (HFT) on the SGX for equities is virtually non-existent but HFT makes up 30% of the derivatives volume. However, SGX is trying very hard to woo global traders by setting up hubs as reported byStraits Times. Algorithmic and high frequency trading have become more and more important in the global financial markets. Investors must realize that it is likely they are trading with robots instead of another human. I found this video to be quite useful in understanding the trend in algorithmic trading and why Asia is trying to catch up with the rest of the developed world. The video also mentioned about what SGX is doing to get involved in algorithmic trading. In this video, Giorgio Valente discusses recent trends in algorithmic and high frequency trading and related developments in the Asia Pacific region:
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