Present academic literature on HFTs considers them as the present-day de-facto market makers. We show that under favorable market conditions, HFT market-making activity grows with their overall participation in trades. But regulatory hurdles, in terms of penalty on high OTR (order-to-trade...

We study the personal loan segment of the consumer credit market using individual loan-level data covering fintech, non-banking financial companies, and traditional banks as lenders. We show that fintech lenders dominate the small-ticket loan and provide stiff competition to non-banking...

This paper documents the liquidity-supplying behavior of High-Frequency Traders (HFT) during the abrupt and sustained market decline led by the COVID-19 outbreak. The findings suggest that these endogenous liquidity providers reduce their supply of liquidity in times of sustained market stress...

High-Frequency Traders (HFTs) are known to facilitate incorporating information into asset prices. Do they utilize aggregate market-wide information or idiosyncratic stock-specific information? In this paper, we exploit novel transaction-level data from the National Stock Exchange (India), a...

This paper documents the liquidity-supplying behavior of High-Frequency Traders (HFT) during the abrupt and sustained market decline led by the Covid-19 outbreak. The findings suggest that these endogenous liquidity providers reduce their supply of liquidity in times of sustained market stress...