New frontiers in financial markets: from machine learning to algorithmic trading

Fintech, Distristributed Ledgers Tecnology (DLT), blockchain, machine learning, algorithmic trading and High Frequency Trading (HFT), are among the most disruptive digital innovations that are transforming the structure of any industrial sector, including the financial industry. Together with th...

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Bibliographic Details
Main Author: Valentina Lagasio
Format: Article
Language:English
Published: AIFIRM 2019-08-01
Series:Risk Management Magazine
Subjects:
Online Access:https://www.aifirm.it/wp-content/uploads/2021/04/RMM-2019-02-Excerpt-3.pdf
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author Valentina Lagasio
author_facet Valentina Lagasio
author_sort Valentina Lagasio
collection DOAJ
description Fintech, Distristributed Ledgers Tecnology (DLT), blockchain, machine learning, algorithmic trading and High Frequency Trading (HFT), are among the most disruptive digital innovations that are transforming the structure of any industrial sector, including the financial industry. Together with the positive spillovers of the introduction of these new technologies (i.e. reducing transaction costs, reducing operating costs, improving speed and security of the transactions, …), we should be aware of the potential new risks that may involve the financial system, whose activity is guaranteed by the trust of the operators. Regulators and supervisors should therefore extend their understanding of the new technologies, both to assess their potential impact on banks' business models and to address risks arising with due caution. Similarly, banks operating within the new technological framework, must rethink their own business models and consider the upcoming challenges, which require specific knowledge and skills.
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spelling doaj.art-0216d2df3a904bb4b9e99c11564caa562022-12-21T23:27:31ZengAIFIRMRisk Management Magazine2612-36652724-21532019-08-01141810.47473/2020rmm0025New frontiers in financial markets: from machine learning to algorithmic tradingValentina Lagasio0Università La Sapienza Roma, ItalyFintech, Distristributed Ledgers Tecnology (DLT), blockchain, machine learning, algorithmic trading and High Frequency Trading (HFT), are among the most disruptive digital innovations that are transforming the structure of any industrial sector, including the financial industry. Together with the positive spillovers of the introduction of these new technologies (i.e. reducing transaction costs, reducing operating costs, improving speed and security of the transactions, …), we should be aware of the potential new risks that may involve the financial system, whose activity is guaranteed by the trust of the operators. Regulators and supervisors should therefore extend their understanding of the new technologies, both to assess their potential impact on banks' business models and to address risks arising with due caution. Similarly, banks operating within the new technological framework, must rethink their own business models and consider the upcoming challenges, which require specific knowledge and skills.https://www.aifirm.it/wp-content/uploads/2021/04/RMM-2019-02-Excerpt-3.pdfmachine learningalgorithmic trading
spellingShingle Valentina Lagasio
New frontiers in financial markets: from machine learning to algorithmic trading
Risk Management Magazine
machine learning
algorithmic trading
title New frontiers in financial markets: from machine learning to algorithmic trading
title_full New frontiers in financial markets: from machine learning to algorithmic trading
title_fullStr New frontiers in financial markets: from machine learning to algorithmic trading
title_full_unstemmed New frontiers in financial markets: from machine learning to algorithmic trading
title_short New frontiers in financial markets: from machine learning to algorithmic trading
title_sort new frontiers in financial markets from machine learning to algorithmic trading
topic machine learning
algorithmic trading
url https://www.aifirm.it/wp-content/uploads/2021/04/RMM-2019-02-Excerpt-3.pdf
work_keys_str_mv AT valentinalagasio newfrontiersinfinancialmarketsfrommachinelearningtoalgorithmictrading