Many Wall Street watchers believe that the low-cost electronic trading of securities will destroy market making and brokerage. But this doom-and-gloom prognosis results from a fundamental misunderstanding of the way technology is changing the business. Companies that use the technology right can greatly increase the volume of the trades they process–and boost margins as well.
Authors: Charlotte M. Hogg, Jonathan A. Davidson, Léo M. Grépin
Source: McKinsey Quarterly
Industry: Finance / Banking