Scott Sutherland’s Post

Have you seen Roaring Kitty recently? Citadel Securities is still winning though... Not as much as Jane Street but more than Virtu... Revs at Citadel Securities for 2023 are likely to be circa $6bn and -20% yoy versus $10.7bn at Jane Street and flat yoy but it's much better than Virtu's halving of revenues over the last 3 years. Why? Citadel is more exposed to equities and less to booming fixed income ETFs than Jane Street. Nevertheless, it is holding its market leading position in cash equities and equity options. It is benefiting from the boom in zero-day options. And it is expanding fast in fixed-income markets. Our full IFR piece on Citadel Securities and peer group trends versus Jane Street, Virtu, XTX Markets and Optiver in the comments below 👇 #markets #trading #tech

Congratulations to Citadel, and Citadel Securities which posted Record Revenues and Citadel’s winning streak continued in 2022, with Kenneth Griffin’s hedge-fund and electronic-trading businesses both posting record revenues even as markets swooned,. Operating under tight risk controls that leave Citadel with little directional exposure to markets, the firm’s 1,000-plus traders make bets across asset classes in markets around the world. Citadel Securities is a global market-making operation that handles more than 20% of the shares that change hands in U.S. stock markets each day. The business, which also trades futures, options, Treasurys and currencies, benefits from increased volumes and volatility, allowing it to prosper even when markets fall. In 2022, it added new institutional clients and improved its technology and analytics. At KX, we are proud to partner with Citadel and their world class quant teams in investment research. https://lnkd.in/eW_kFi_a I get asked all the time, what do quants do? Below link by Citadel provides a great explaination of quants do and the results speak for themselves. https://lnkd.in/eF9EhCzg #citadel #quants #kxinside https://lnkd.in/eyMfmCEN

A.I. Gold Artificial Intelligence told me “Buy Gold!” In a nanosecond I was utterly sold “We’ll bundle it into an ETF SPAC And lickety-split - a hot Reddit hack” So I’m off to Wall Street with my fat pitch book To get investment bankers on the hook Long as they can cream lots off the top Neither Powell nor the SEC can put a stop But there’s nothing artificial at all about gold So it could be hard work to get it sold Maybe I would be better off to dangle The Virtual or Augmented Reality angle Opportunity is ripe, I’d be a fool to pass it Just stuff my vaults with the lustrous hard asset When the Wall Street Machine gears up and hocks We’ll probably have to go and raid Fort Knox Soon to be ‘Investment Product of the Year’ (If the Greed factor dies out we can always play Fear) It sure beats the company of a Treasury Bond! I’d rather hang out with the ‘Goldfinger’ Bond Miss Moneypenny would have the hots for me The profits would keep us in prime company And once A.I. Gold gains some traction Pussy Galore too would want in on the action Oh Glory be to the fatted calf We’d all be better off by half! Oh why didn’t I think of this much sooner By now I’d own three yachts and a schooner! All aboard my friends we’re going to the moon! Get in on the IPO! Over-subscribed by noon Your customized A.I. Gold ETF SPAC Going sky-high! There’ll be no looking back! Padraic Slater Bard from Kitsilano #ai #artificialintelligence #crypto #gold #etf #spac #treasuries #federalreserve #yellen #powell #wallstreet #investmentbanking #ipo #virtualreality #augmentedreality #hardassets #prime #goldfinger #moneypenny #oversubscribed #investment #assetallocation #diversification #sec

Ken Griffin Says SEC Scrutiny of Basis Trade ‘Utterly Beyond Me’ https://lnkd.in/dn7TCixV #basistrade #futures #leverage #SEC #regulation #repo. As a former SEC Enforcement Market Expert in Asset Management ( that's what my door said) I agree with Ken G. There is an exit strategy for every long cash Treasury in the delivery basket vs futures. Presumably these are being put on a slim margin above repo funding costs. There is a way out. Deliver into the expiring futures contract. Of course you have to be able to hold the trade. There are some examples from commodity markets that highlight this risk. Presumably the repo market can continue to function smoothly. The Fed has in the past stepped in and their are programs for this available. This is what the Fed should be doing. If bonds become more volatile and hedge funds need to liquidate recall their is still an exit for the Prime broker who has access to Fund its portfolio at the Fed. All the big players became banks. This is a benefit. So yes, hedge funds can lose money, prime brokers can lose money lending to hedge funds but this is not collateralized structures, mortgages or any other similar innovation. Every 3 months an exit arises, a rarity.

Indians need to cool down on options trading. You can not compete with firms like Jane Street and Citadel. They have armies of math PhDs from MIT and unlimited budget to squeeze every advantage possible. Don't lose your hard earned money which is the only likely outcome. #options #trading #wallstreet #dalalstreet

Does anyone know who Ken Griffin is? Citadel, anyone? Ok, so here’s the deal: the public exchanges for all intents and purposes are no longer significant except as a route to or from Griffen’s Citadel firm. The remaining public exchanges are just routes to Griffen’s operation to take the other side of effectively every trade through these exchanges. And make money on virtually every transaction. And now… huh?

In a bold move, BlackRock and Citadel are supporting the new Texas stock market, challenging the dominance of the NYSE. This shift could introduce more competition, potentially leading to lower costs and a more business-friendly environment for companies and investors alike. How do you think this will impact the Lone Star State? #BlackRock #Citadel #TexasStockMarket #NYSE #FinancialMarkets #Investment #StockExchange #MarketCompetition #BusinessNews #Finance #WallStreet #TexasFinance #EconomicShift

𝘽𝙞𝙡𝙡 𝘼𝙘𝙠𝙢𝙖𝙣 𝙨𝙖𝙮𝙨 𝙝𝙚’𝙨 𝙨𝙝𝙤𝙧𝙩𝙞𝙣𝙜 30-𝙮𝙚𝙖𝙧 𝙏𝙧𝙚𝙖𝙨𝙪𝙧𝙮 𝙗𝙞𝙡𝙡𝙨, 𝙖𝙣𝙙 𝙮𝙞𝙚𝙡𝙙𝙨 𝙘𝙤𝙪𝙡𝙙 𝙝𝙞𝙩 5.5% ‘𝙨𝙤𝙤𝙣’ Bill Ackman, the founder of Pershing Square Capital Management, said he is “short in size” on the 30-year U.S. Treasurys. The hedge fund manager argues his bearish call is a good standalone bet and a hedge against the impact of long-term rates on stocks. Ackman is expecting inflation rates to stay persistently around 3% and says 30-year Treasury yields could hit 5.5% “soon.” #investment #stockmarket #stockbroker #makemoney #exchange #ipo #join_ipo_deals_and_make_money #atranicapital

Finance titans BlackRock and Citadel Securities are teaming up with investors to raise $120 million to open the Texas Stock Exchange in Dallas. The group still has some regulatory hurdles to clear before opening, but it plans to start listing stocks for sale as early as 2026. Despite the dominance of NYSE and Nasdaq, TXSE seeks to provide stable listing standards and predictable costs, addressing regulatory and compliance requirements. The involvement of BlackRock and Citadel could enhance liquidity and market efficiency. The Texas Stock Exchange aims to attract listings of exchange-traded products and challenge increasing compliance costs at major U.S. indexes, as well as newer rules including setting targets for board diversity at the Nasdaq, according to a report in the Wall Street Journal. #BlackRock #TXSE #citadel #NYSE