Global Electronic Trading Company
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| Company type | Subsidiary |
|---|---|
| Industry | High-frequency trading, Market making |
| Founded | 1999 |
| Headquarters | Chicago, Illinois, United States |
Key people | Stephen Schuler, Co-founder Daniel Tierney, Co-founder Daniel Coleman, CEO |
Number of employees | 400+ (2013) |
| Parent | KCG Holdings |
| Website | www.getcollc.com |
The Global Electronic Trading Company (commonly known as GETCO or Getco LLC) is a proprietary American firm specializing in algorithmic trading and electronic market making, headquartered in Chicago, Illinois. In July 2013, GETCO completed its acquisition of Knight Capital Group—an agreement reached in December 2012—resulting in the creation of the combined entity KCG Holdings.
Description
Established in 1999 by former Chicago floor traders Stephen Schuler and Daniel Tierney, GETCO rapidly evolved into one of the world’s most active trading enterprises. The company’s primary focus was electronic market making, supported by sophisticated execution algorithms and a dark pool platform known as GETCO Execution Services.
Prior to its integration into KCG, GETCO participated in over fifty markets spanning North and South America, Europe, and Asia. It consistently ranked among the top five firms by trading volume on prominent venues such as the CME, Eurex, NYSE Arca, BATS, Nasdaq, Chi-X, BrokerTec, and eSpeed. The firm maintained offices in Chicago, New York City, London, and Singapore while holding investments in exchanges including BATS Exchange, Chi-X, NYSE Liffe U.S., Eris, and ELX.
A profile published by the Wall Street Journal in 2009 recognized GETCO as one of the largest market makers within the U.S. equity markets. From 2010 until its merger, the company served as one of six Designated Market Makers (DMMs) on the NYSE. In his 2012 book, author Scott Patterson referred to GETCO as "the largest and most powerful high-frequency trading firm."
Following a significant $460 million loss caused by a technical glitch at Knight Capital in August 2012, GETCO was among six investors that provided financial support to stabilize Knight. With backing from lead investor General Atlantic, GETCO outbid rival Virtu Financial by proposing $3.75 per share to Knight’s shareholders, valuing the transaction at approximately $1.4 billion.