chronic74939

> > Most HFT strategies are not only blatantly dishonest but also clearly illegal.

> What specific strategies are you referring to? Genuinely curious.

Any strategy that outperforms his 10-20% passive index fund VTI/QQQ ETF.

HFT is pulling 50-100% annual returns for decades.

HFT is capacity constrained, yes. But anyone would take 100% return every year on “only” $100 million on deployed capital.

> Didn't HFT compete itself out of outsized profitability years ago?

No

> So now we get instant super liquidity for pennies?

Not pennies yet. Still dime and quarter range.

> And providing fake proprioceptive, vestibular and tactile feedback? That would be quite some tech.

Yes, he’s saying metaverse will take off once humans achieve transcendence.

Only then will Meta recoup their AR/VR investment.

> since house always wins.

House doesn’t always share with outside investors

> Hope they have ample backup power

Texas has more reliable electricity than California

considering the California electricity provider PG&E shuts off the electricity multiple times a year when it gets windy outside, to prevent power lines falling (due to lazy maintenance) and starting a wildfire

I wonder where the California’s additional 13% tax on capital gains is being spent? SF parking ticket enforcement?

> The CME is currently building a “backup” private Google Cloud datacenter in Dallas.

This has been “in progress” for over 5 years now.

> Does this actually mean something specific?

Probably:

Trade matching algorithms (prorata, FIFO, TOP) and rules (capital requirements, market impact definitions) will align with the interests of the most profitable customers.

Citadel Securities, with their HFT-level returns of 50-100% per year will not venture into a losing business.

Note, CitSec is different from Citadel (hedge fund), and the hedge fund is also crazy with 40% annual return before fees (past 20 years) and 19% after fees to the outside passive investor.

> had spent their entire little farming family's fortune back in some austere rice farming village.

Depends on tier of university.

At Harvard, MIT, Stanford, the asian international students are moderately rich (US$10 million+ net worth) from tech or manufacturing businesses.

> All those students, along with their talent and money and connections went _somewhere_ so that’s a shame for USA.

Money? Yes.

Talent and connections? Not necessarily.

Top PhD students are still coming to America.

It’s the money-grabbing 12-month masters programs that are the problem.

Come buy a F-1 student visa for $200k! It’s the Trump silver card.