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A comment on Zillow lost money because they weren't willing to lose money. Parent comment

Re:Zillow lost money because they weren't willing to lose money by JumpCrisscross on Saturday November 27, 2021 @07:56PM (#29365192)
> You can't garauntee your (bid/ask) resting orders are executed against in the same epsilonic time window, nor would you want to

Of course you can. This is the entire thesis with which HFT beat out old-school market makers in securities.

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Re:Zillow lost money because they weren't willing to lose money by hhmc on Saturday November 27, 2021 @08:20PM (#29365336)
I think you maybe have some misunderstandings around the practicalities limit orders and market microstructure (not withstand some theoretical model of risk free market-making, which has broadly been superseded, if you care about the theory at all).
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Re:Zillow lost money because they weren't willing to lose money by JumpCrisscross on Saturday November 27, 2021 @11:00PM (#29366064)
> you maybe have some misunderstandings around the practicalities limit orders and market microstructure

Perhaps. I haven’t been on a market-making desk for close to a decade now.

But to correct one misconception in your comment, market makers don’t commonly use limit orders. (You’d submit a quote and try to hit rebates.)

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Re:Zillow lost money because they weren't willing to lose money by kgwgk on Sunday November 28, 2021 @04:34AM (#29367520)
How are quotes different from limit orders? [Edit: apart from the originator, I mean.]
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Re:Zillow lost money because they weren't willing to lose money by hhmc on Tuesday November 30, 2021 @07:03AM (#29391232)
> But to correct one misconception in your comment, market makers don’t commonly use limit orders. (You’d submit a quote and try to hit rebates.)

They do in the asset classes I work with, YMMV

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