Online broking is a competitive business. Brokers live or die by the value and service we deliver to clients. So improving services is vital to our success.

I dragged out the soapbox not too long ago to highlight some of the hypocrisy and ignorance surrounding algorithmic trading, and particularly high frequency trading. Today, it’s time to shine the light on dark pools. While we’re at it, it seems a good time to look at the real responsibility politicians hold for economic outcomes.

Over the past year many market participants and commentators have railed against “Algorithmic Trading” (AT) and “High Frequency Trading” (HFT). Organisations using these trading methods are accused of at best, taking an unfair advantage, and in some cases, outright illegal behaviour. Unfortunately, most of these comments betray astounding ignorance, breath-taking chutzpah, or both.

If you’ve ever met someone who bought a car because they liked the way it smelled, or a house because it “felt right”, you’ve seen “economic law” defied. Have you ever entered a supermarket with a single purchase in mind, only to get to the check-out with a full basket of goods? If you have, you know that consumers do not always act rationally. Investors are the same.