Although the industry enjoyed double-digit revenue growth on the back of investor uncertainty in the mid-2000s, the enactment of the Dodd-Frank Act in 2010 placed a blanket of scrutiny and uncertainty over the industry. Due in part to the new regulation, and in part to industry saturation, the industry will remain restrained in the coming years. Firms remaining in the industry will have to shift their focus to strategy development (and away from speed, an issue that is mostly under control) in order to thrive over the next five years.
The High Frequency Trading industry comprises financial securities trading firms and individual broker-dealers that utilize high speed market data and sophisticated analytics software to identify temporal supply and demand trading opportunities. They are typically self-capitalized and hold positions for short periods of time. They are either organized as proprietary trading firms, as trading desks at multiservice broker-dealers or as hedge funds.
The report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecast, growth rates and an analysis of the industry key players and their market shares.