AI presents the risk for collusion in investing in financial markets.
Episode Description
The risk of AI collusion serves as an early warning signal to both investors and regulators who want to prevent price distortions — and the broader implications of such distortions on the capital markets.
PODCAST OVERVIEW Wharton Business Daily airs Monday-Friday from 10 AM - 12 PM ET on SiriusXM Channel 132, featuring emerging trends, top business leaders & Wharton’s renowned professors.
Learn more: http://whr.tn/businessdaily
#trading #AI #financialtrading #investing ----- The Wharton School of the University of Pennsylvania is committed to sharing its intellectual capital through Knowledge at Wharton, the school’s online business analysis journal.
Launched in 1999, Knowledge at Wharton offers free access to:
- Articles, podcasts, and videos highlighting Wharton faculty research and analysis of current business trends - Interviews with book authors from Wharton School Press - In-depth series of curated content like Wharton Executive Education’s Nano Tools for Leaders - A searchable database of more than 10,000 articles covering all aspects of business - A weekly newsletter that delivers Knowledge at Wharton insights directly to your inbox
Visit the Knowledge at Wharton homepage: https://whr.tn/3qUpSBE Subscribe to the Knowledge at Wharton YouTube channel: https://whr.tn/3DEAgAU
Brief Summary
Traders sometimes collude to maximize long-term gains, affecting market efficiency.
Key points
- The Experiment on Collusion. An experiment reveals that traders may benefit from collusive behavior by delaying trades.
