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I was under the impression that the vast majority of investing was automated, algorithm-based, no?
by ruminasean 6y ago
I was under the impression that the vast majority of investing was automated, algorithm-based, no?
- nabla9 6y agoNo. You are thinking trading, not investing.
- ruminasean 6y agoGotcha. Thanks.
- Traster 6y agoThe total executed volume in the market are dominated by automated trading systems, capturing small differences in relative value between correlated products. They don't determine prices because they're not actually putting anything into the market in net, they have their capital and they're just redistributing it back and forth between a handful of different products capturing small amounts of edge from the real investors.