"high frequency traders are "parasites", page-2

more brokers are seeing they will be out of business within a few years as investors leave the markets in droves.

"High-frequency trading (HFT) makes the public uncertain of the integrity of the Australian Securities Exchange. Professional stockbrokers such as myself have reduced confidence in the ASX as a result of observing HFT.

If an operator manually entered HFT-type trades, we would be penalised for manipulative trading. There should not be one rule for man and another for machines programmed by man. The liquidity benefit from HFT is offset by the additional costs of split trades and other costs imposed on market participants. A starting point is to introduce a minimum parcel size of $500. More complex is banning algorithms designed to push prices in one direction or the other."

Chris Burrell Managing director Burrell Stockbroking Brisbane Qld

The Australian Financial Review