We experimentally investigate whether and how the potential presence of algorithmic trading (AT) in human-only asset markets can influence humans’ price forecasts, trading activities and price dynamics. Two trading strategies commonly employed by high-frequency traders, spoofing (SP) – associated with market manipulation – and market making (MM) – seen as liquidity provision – are considered. These experiments reveal that, first, the mere expectation of SP traders can, at first, impair price convergence towards fundamentals. Second, the expected presence of AT, especially MM traders, induce larger initial price forecasts deviations from fundamentals. Third, despite the absence of AT in our experiments, the information about the presence of AT, employing MM strategy, is sufficient to alter subjects trading behavior over time and the impact of past realized prices on subjects’ order prices.
02:38
Forte de plus de dix ans d’expertise, la FNEGE a réalisé plus de 110 études d’impact pour des universités et grandes écoles. Ces travaux montrent que l’impact réel des institutions académiques est souvent ignoré ou largement sous-estimé par les parties prenantes. La FNEGE défend une approche multidimensionnelle de l’impact, structurée autour de sept dimensions allant bien au-delà du seul impact financier. Les études d’impact visent ainsi à objectiver ces contributions et à formuler des recommandations pour renforcer l’impact global des institutions.
- Tendances
- Enseignement supérieur de Management, Management public, Management Stratégique