The cost of entry into the markets has gone down not gone up. It is orders of magnitude cheaper to set up an electronic trading operation than it was to be on the floor.
Further, successful entry into arbitrage markets always required specialist infrastructure and skills. They used to be good old boy networks, brightly colored vests, and arcane hand signals. Now it is programming and networking.
In the previous world there was not "NASA" effect at all. Now at least the skills can be transfered to other industries.
Further, successful entry into arbitrage markets always required specialist infrastructure and skills. They used to be good old boy networks, brightly colored vests, and arcane hand signals. Now it is programming and networking.
In the previous world there was not "NASA" effect at all. Now at least the skills can be transfered to other industries.