EBS (a division of ICAP, the UK-listed interdealer broker) is considering plans batch together incoming orders every few milliseconds and having them dealt with in a random order. This to remove the speed advantages of high frequency traders.
Larry Harris, a former chief economist of the Securities and Exchange Commission and now professor of finance at the USC Marshall School of Business, who has been arguing for a similar speed limit in the equity market, said he hoped that its adoption in foreign exchange would spur regulators to act.
The article is in the Financial Times (gated): High-frequency traders face speed limits