Financialization includes automated high-frequency trading where computers execute most exchanges

Evidence

Financialization in this sense refers to the increased mobility of transnational capital flows, as well as to the way those flows are accelerating and becoming more and more chaotic thanks to increasingly sophisticated forms of securitization and automated high-frequency trading, a system in which computers are, by some accounts, executing the majority of exchanges (Tiessen 2012). It also refers to the way financial markets are increasingly shaped by almost sublime formulae and technologies for managing risk, for creating new, overlapping, interconnected derivative products whose scale and complexity defy the human imagination (Holmes 2010; Stark 2009). — Max Haiven, Cultures of Financialization, 71

Categorization

• DEFINE: Defines the technical core of financialization: capital mobility, securitization, and high-frequency automated trading.
• XREF: Grounds the definition for bridging toward deWaard’s cultural argument — the technical architecture that cultural financialization mirrors. — connects to: A pricing model runs inside the exchange’s automated trading machinery. — Donald MacKenzie & Yuval Millo, Constructing a Market, Performing Theory, 135; Financialization shifts markets from calculation to speculation, destroying predictability — Wendy Brown, Undoing the Demos: Neoliberalism’s…, 742; Machine-readable price data transformed finance research from hand compilation to analysis — Donald MacKenzie, An Engine, Not a Camera: How Financial…, 309 (+3 more)

Broader Connections

• Dark pools and algorithmic trading remain opaque even to most traders #expands (0.80) — Aris Komporozos-Athanasiou, Speculative Communities, 92
• Financialization shifts markets from calculation to speculation, destroying predictability #expands (0.75) — Wendy Brown, Undoing the Demos, 742
• Machine-readable price data transformed finance research from hand compilation to analysis #expands (0.72) — Donald MacKenzie, An Engine, Not a Camera, 309