GOOD: Capital markets are working
BAD: Facebook IPO and now Knigh Capital impacted by tech issues
UGLY: Knight, which lost $440 million after a software glitch flooded the stock market with errant trades on Wednesday.
BOTTOMLINE: Who knew tech issues could be such as big issue in stock market. Little investor just need to know you risk could equal ending up with zero USD in market!
One private equity investor said he suspects that eventually Knight will get broken up. “Knight has many more businesses than just the equity market making business. Some are good and some are not,” he said. “I’m not sure who would want them all.”
Happy Investing and Networking,