, contemporary stock market designs are prone to latency arbitrage. In turn, we propose a new order type, which allows traders to …-frequency traders, even if they operate at the speed of light, can no-longer engage in latency arbitrage. …

other HFTs that engage in latency arbitrage upon public information. The impact of the two different sources of risk depends …

other HFTs that engage in latency arbitrage upon public information. The impact of the two different sources of risk depends …

limit order book data you cannot see the losers, so you cannot directly see the races. We find that latency-arbitrage races …), that latency arbitrage imposes a roughly 0.5 basis point tax on trading, that market designs that eliminate latency …We use stock exchange message data to quantify the negative aspect of high-frequency trading, known as "latency …