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Nainder Sarao sits in jail because he cannot raise the £5M bail that is required for his release. He has apparently made millions while living in his parents' basement, but doesn't have access to the money because his accounts have been frozen. What is claimed by US authorities is that "... Mr Sarao placed "spoof" trades in E-Mini S&P derivatives in a bid to push the market in his favour. The orders would be placed and withdrawn in rapid succession using a customised computer programme, they allege", which sounds a lot like high-frequency trading. Perhaps his real crime was to copy the techniques of wealthy high-speed traders?
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UK Citizen in Jail for Causing "Flash-Crash", or Just High-Frequency Trading?
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Your boyfriend takes chocolate from strangers.
(Score: 1, Interesting) by Anonymous Coward on Sunday May 24 2015, @04:55PM
The primary and secondary stock markets are completely different things anymore. This is doubly so when dealing with public corporations. No body thinks they are buying shareholder voting rights (due to the shear expense of getting that much stock) or dissolution assets (as companies either live forever or bankrupt) anymore and dividends are the exception, not the rule. It is gambling, plain and simple except the major players make the rules.