3 ms·
I agree. Regarding prop trading, prop trading itself is the betting of the firm's own money for profit. I equated it to gambling because that's what it is. On
by JDiculous 10y ago
I agree.
Regarding prop trading, prop trading itself is the betting of the firm's own money for profit. I equated it to gambling because that's what it is. On a net basis, this doesn't really benefit society because it's essentially a zero sum game.
Market making on the other hand does benefit society by providing/ensuring liquidity.
- consz 10y agoMost market makers are prop trading firms, though -- I think it's incorrect to act like these classifications aren't highly correlated.