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Jane Street’s Rs 4.3 crore job offer to IIT student sheds light on options trading inequities

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[hfe_template id='11223'] [ad_1] Global trading powerhouse Jane Street’s recently made Rs 4.3 crore job offer to an IIT Madras student, reflecting the immense profitability of high-frequency trading firms operating in global financial markets. Meanwhile, this lucrative world contrasts sharply with the reality faced by retail traders, who continue to suffer heavy losses in the cutthroat game of options trading. Often touted as a lucrative opportunity for quick gains, options trading operates as a zero-sum game—profits for some come directly at the expense of others. This dynamic often leaves small retail investors, who are drawn in by the high-risk, high-reward proposition, at a disadvantage. Recent data from the Securities and Exchange Board of India (Sebi) revealed the dire consequences for retail investors venturing into this arena. Sebi’s study revealed that 93% of retail traders in options markets incurred losses between FY22 and FY24, amounting to a staggering Rs 1....

Jane Street’s India profits complicate fight with Millennium

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[hfe_template id='11223'] [ad_1] Jane Street Group’s soaring profits have emerged as a focal point in its legal battle with two ex-traders and Millennium Management over their alleged theft of a secret billion-dollar India options trading strategy. In April, Jane Street accused Millennium and former traders Doug Schadewald and Daniel Spottiswood of stealing the “immensely valuable” strategy, causing it significant losses. But lawyers for the defendants said in a previously sealed motion released Monday in redacted form that Jane Street’s India options team actually posted record results in the months after the traders left to join Izzy Englander’s hedge fund group. US District Judge Paul Engelmayer in New York on Wednesday ordered Jane Street to set out in detail by Oct. 29 how it plans to calculate its claim of lost profit damages. Millennium and the two ex-traders had argued that Jane Street should be forced to reveal how it calculates its profit and loss, including id...