>Predatory traders break this information advantage. Instead of Goldman, David Einhorn or other informed traders gaining the full benefit of their information,

>Predatory traders break this information advantage. Instead of Goldman, David Einhorn or other informed traders gaining the full benefit of their information, predatory traders detect that information and split the profits with the counterparties (taking a cut in the process). Predatory traders improve market efficiency by turning information about market demand into price movements. They are simply criticized because the price movement happens before the whale actually wanted it to. This is the exact same defense used against insider trading and front running in general. There is nothing special about HFT in this respect, other than the fact that it is currently still legal. Edit: downvoting without responding. classy.