In HFT, traders are privy to as much as 300 ticks in the blink of an eye. Sebi will come out with a discussion paper before finalising the changes in algorithmic trading rules.The move will affect the HFT business and stock market volumes, said brokers. Sebi is considering a few measures that could act as speed breakers to this sophisticated system that executes trades at lightning speed. MUMBAI: The capital market regulator is planning to impose some curbs in the obscure world of algorithmic trading after being blamed for giving some traders a clear advantage over others. These include artificial speed bumps, restricting tick by tick data, bunching of orders and introducing order randomisation, among others, said a senior regulatory official familiar with the development.Globally, regulators have been debating restrictions on algorithmic trading, or high-frequency trading (HFT).

Source: Economic Times June 13, 2016 20:26 UTC