At 12:04 PM -0400 6/16/03, which was before lunch, James M. Ray wrote: >At 3:46 PM +0000 6/16/03, SnowDog wrote: >... >>Problems with the NYSE-style markets?? > >(Dernit, now I have to go googling,
Heh. Lazy me! <snip>... >At the moment, because I don't even know the right terminology, the >story is escaping me, but it happened this year and involved higher- >ups in the NYSE and member firms, whose owners apparently feel >they have a royal right to profit off of US stock markets. ... Thanks, SnowDog, for making me think (which I obviously do better with a sandwich in me!). It's somewhat instructive that all my Googlings on recent NYSE market-maker-criminality *didn't* turn up this term-of- criminal-art before, as it has been too-little-covered in the media, even though this SHOULD be of earth-shattering importance, on the levels of the other giant frauds like Enron/Worldcom/Global-Crossing/Freddie- Fannie and whatever-scandals I'm forgetting! Also, it's certainly vastly more-important than Martha Stewart's alleged "crimes," since this impacts ANY trust one 'should' have in Wall Street itself. A similar scandal (just the front-running that's happened this year, not all the other criminality I mentioned!) would/should shut "DBourse" down immediately, IMNSHO, and the NYSE is merely creaking on due to momentum and lack-until-now of a viable competitor! Front running cases tend to get settled in order to be quickly-hushed-up, IMO, so all of the pointless-Martha-noise of late has been useful to these folks. Front Running stems from the fact that there "must" be trusted market makers to maintain an "orderly" market -- especially in thinly-traded stuff. It is defined as "(a) practice of taking a position in a security to take advantage of an otherwise unknown big upcoming transaction of which the trader is aware." IOW, when these "trusted" NYSE third parties get/got a huge order (buy or sell, doesn't matter!) they will trade in their(!) accounts, AHEAD of your order. This means they'll get a guaranteed profit on every trade -- my kind of "gambling" if it were legal, but it's fraud because of contracts they've signed to get the sweet-deal of being a market-maker and thus being trusted to control execution and take a small, contracted-for "scrape" off of the top of every single trade that's made. DBourse eliminates this kind of cheating, by eliminating the very possibility of it (plus, who cares if markets are "orderly" anyway?)! All that's a long way of saying why I think it's an incredibly-cool advance! DBourse could be to stock exchanges what e-gold is to all the nasty, old-fashioned ways of storing & using gold! I wonder what outfit programmed it??! Anyone out there want to take credit? JMR Stories mentioning Front Running follow. http://makeashorterlink.com/?Y184421F4 which is also http://www.thestar.com/NASApp/cs/ContentServer?pagename=thestar/Layout/Article_Type1&c=Article&cid=1052251614195&call_pageid=968350072197&col=969048863851 http://makeashorterlink.com/?W5C3321F4 which is also http://www.sltrib.com/2003/Jun/06072003/nation_w/63909.asp http://makeashorterlink.com/?Y163141F4 which is also http://www.forbes.com/columnists/free_forbes/2003/0609/160.html http://makeashorterlink.com/?C233421F4 which is also http://www.techcentralstation.com/1051/techwrapper.jsp?PID=1051-250&CID=1051-052003E --- You are currently subscribed to e-gold-list as: [EMAIL PROTECTED] To unsubscribe send a blank email to [EMAIL PROTECTED] Use e-gold's Secure Randomized Keyboard (SRK) when accessing your e-gold account(s) via the web and shopping cart interfaces to help thwart keystroke loggers and common viruses.
