RT Journal Article SR Electronic T1 Algos Gone Wild: Risk in the World of Automated Trading Strategies JF The Journal of Trading FD Institutional Investor Journals SP 31 OP 34 DO 10.3905/JOT.2010.5.2.031 VO 5 IS 2 A1 Bernard S. Donefer YR 2010 UL https://pm-research.com/content/5/2/31.abstract AB There are risks in automated trading strategies that can and have impacted the financial markets. Algo and high-frequency trading have taken two-thirds or more of our equity market's volumes and are expanding into other asset classes and beyond our borders. As a result, we are exposed to potentially significant errors resulting in market contagion far beyond just the initiator of the transaction. This article describes some recent examples and suggests some steps regulators can take to mitigate these risks.TOPICS: Risk management, statistical methods, exchanges/markets/clearinghouses