The World's Best Book Summaries
What is prop trading? How do firms and banks use prop trading to trade against their customers? Proprietary trading (also known as “prop trading”) is used by banks or financial firms to trade for themselves, not their customers. However, doing so means that they’re competing against their own customers, and they have more power to win. Continue to learn what is prop trading and how it works as a scheme.
What are dark pools? How does Michael Lewis, author of Flash Boys, think dark pools are being used in the stock market? In Flash Boys, Lewis says that sending a stock order to a dark pool is a sneaky way for investors to profit off private orders. High-frequency (HF) traders have also found a way to use dark pools to their advantage. In this article, we’ll go into more detail on what dark pools are and why HF traders are so interested in them.
How can relying on the sale of natural resources harm a country? Shouldn’t having an abundance of natural resources make an economy thrive? The natural resource curse is a paradox because countries that rely on selling expensive natural resources tend to have poorer economies. It’s often the governments that thrive off these resources—to the detriment of their people. Here’s everything you need to know about the natural resource curse.
What is ego consciousness? How is our collective ego destroying the planet? According to Eckhart Tolle, collectively humanity is caught up in the mindless ego consciousness. Because the ego always wants more and better, it drives consumerism, which depletes the planet’s resources at an unsustainable rate. In his book A New Earth, he argues that we must evolve out of this state if we are to preserve our species and the planet, and the critical point is now. Here’s how the ego is destroying the planet and why the time to act is now.
In what ways can poor governance affect a country? Why is it so difficult to reform these countries? The effects of poor governance can be seen on many fronts—corruption and poverty being the most prominent. The obvious solution would be to reform the governments of these countries, but it’s not that easy. Here’s why poor governance can be detrimental to a nation.
What are the top high-frequency trading strategies? Why are they unethical to practice when buying and selling stocks? If you have an interest in trading stocks, the first thing you should know is how to do it ethically and responsibly. That being said, Michael Lewis in his book Flash Boys details high-frequency trading strategies that disrupt the market’s level playing field. Below we’ll explore the six high-frequency trading strategies that you shouldn’t practice if you’re looking into investing in the stock market.
Does humanitarian military intervention actually work? Should the West be intervening in foreign military affairs? Military aid is a dicey topic. Some believe it works, while others are strictly against it. Economist Paul Collier, the author of The Bottom Billion, believes that it’s necessary for restoring order, keeping the peace, and protecting against coups. Here’s why Collier thinks military intervention is crucial in helping developing nations grow.
What is latency arbitrage? How is it used against slower trading investors in the stock market? According to Michael Lewis, the author of Flash Boys, latency arbitrage is one of the many tactics that high-frequency traders (HF) use to get an unfair advantage over average traders in the market. By using different latency speeds, HF traders can buy a stock and then sell it for a much higher price in a matter of seconds. Let’s look at why Lewis believes latency arbitrage is a problem in stock trading, and why others disagree with him.
How can foreign trade policies help poor countries develop? How can fair trade practices backfire? Economist Paul Collier says in his book The Bottom Billion that trade can help poverty, but it can also make things worse. He outlines practices the West can use that will actually help poor nations grow rather than trapping them in poverty. Here’s how trade fights poverty.
Do you want to know how to help poor countries? How can laws and charters improve the lives of the bottom billion? Paul Collier, a British economist, believes that one of the most cost-effective ways to help the poorest countries is to change their laws. It sounds harsh, but by creating a more ethical system, the economy can start to grow. Here’s Collier’s method for helping the bottom billion.