Big Data’s Impact on Trading and Technology

Abstract

Big data has become a common buzz phrase in the trading industry, and the implications for market professionals—from the individual trader to large firms and trading desks—are real and significant. The article addresses several questions: How do we tackle collection and distribution? How do we take data soup and manage it in such a way that it is informative and offers cues for action? When profitable opportunities rely on market inefficiencies, and when these inefficiencies may appear only for moments, how do we equip ourselves to manage these processes fast enough to seize them? Big data no longer rings hollow as a buzz phrase, and it presents a solid challenge that needs to be addressed.

TOPICS: Big data/machine learning, exchanges/markets/clearinghouses