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> 80% of the stock market is controlled by automated trading machines Who programmed the incentives of these machines? Humans. What do they base their actions
by mikkelam 6y ago
> 80% of the stock market is controlled by automated trading machines
Who programmed the incentives of these machines? Humans.
What do they base their actions on? Other robots sure, but also humans
- bhupy 6y agoThe incentives are based on the very metrics that the GP commenter alleged are NOT used to value stocks (P/E, revenue, growth). It’s one thing to argue that the stock market is purely driven by emotion and irrationality. It’s another thing entirely to argue that automation based on P/E, revenue, growth are tantamount to emotion and irrationality.