The way that trading algorithms currently operate makes it exceptionally difficult to find instances of impropriety. To combat this and make sure that everyone is operating cleanly, we must empower the CFTC to investigate any trades that consistently make money regardless of market movements. We must also enlist a network of veteran traders to police the market, offering them “bounties” on finding illegal activity.
Investing in the market with computer-generated algorithms has become a game of identifying tiny market inefficiencies and wringing them of value at the expense of other investors and the public. There is no real value being generated and it increases the costs for retirees, pension funds and businesses trying to manage their risks. We need to start enforcing trading rules in a technologically sophisticated way.
Problems to be Solved
- Algorithmic trading is allowing financial crime at an unprecedented and technologically-advanced level.
- Clean up the trading markets from improper algorithms
As President, I will…
- Provide the CTFC with enough funding to properly investigate any suspicious trades/algorithms.
- Create a new team to find financial crime and bring the perpetrators to justice.