I recently conducted a Q&A with Mark Cuban about his thoughts on computer trading for The Wall Street Journal Online. Cuban makes some very interesting observations about the current state of the markets, calling high-frequency traders the “ultimate hackers.”
More importantly, his thoughts about the role of exchanges in the economy are especially prescient given the wave of troubles we’ve seen recently, including the bungled Facebook IPO and the failed BATS Global Markets IPO. “Is the market supposed to be a platform for companies to raise money for growth and to create liquidity and opportunity for shareholders as it has been in the past?” he asks. “Or is the stock market a laissez-faire platform that evolves however it evolves? The missing link in all the discussions is: What is the purpose of the stock market?”
Good questions, and issues that are at the core of my new book Dark Pools. WSJ.com will be running a follow-up Q&A I conducted with another close observer of the fascinating subject of computer trading soon. Stay tuned.