Trading

Why Jump’s retail move to pull in the likes of the Reddit army could be a hit

The move to execute retail investor trades represents a further blurring of the line between the trading services offered to professional and retail clients

The Jump Trading Group is launching a new business unit to execute stock orders on behalf of retail investors 
The Jump Trading Group is launching a new business unit to execute stock orders on behalf of retail investors  Photo: Daniel Acker/Getty Images

The move by Jump Trading Group to launch a new business unit to execute stock orders on behalf of retail investors represents a further blurring of the line between the trading services offered to large, professional investors and the growing army of online retail traders, market experts say.

Chicago-based Jump — one of the world's largest high-frequency trading firms, caused a stir last week when it said last week it would set up a retail wholesaler business. Jump's timing coincides with frenzied retail investor activity in the US, with online brokers such as Robinhood reaping the benefits from the so-called meme stock mania which has been fuelled by online investor forums such as Reddit.

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