High-Frequency Trading
Master the algorithms and infrastructure behind microsecond trading
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Market Microstructure
The Speed Frontier
High-frequency trading (HFT) represents the extreme edge of modern finance. These firms execute millions of trades per day, holding positions for milliseconds, operating on microsecond advantages. They've transformed markets, sparked controversy, and generate billions in profits from strategies invisible to human traders.
What is HFT?
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Ultra-Low Latency
Execute trades in microseconds—faster than human perception
🤖
Algorithmic Trading
No human intervention—algorithms analyze, decide, execute automatically
📊
High Volume
Thousands to millions of trades daily, tiny profits per trade
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Brief Holding Periods
Positions held seconds to milliseconds—no overnight risk
By the Numbers
50-70%
US equity volume
<1ms
Typical trade time
$5B+
Top firm revenue
100μs
Speed advantage
💡
Why It Matters
HFT shapes how markets function. It determines who gets what price, affects liquidity and volatility, and raises questions about fairness. Understanding HFT means understanding modern market mechanics—and why speed equals profit.