Knight Capital CEO: "It Ain't Good" When We Lose Four Times Our Annual Profit In A Matter Of Minutes

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Knight Capital has “all hands on deck” and is in close contact with clients and counterparties as it tries to weather trading errors that cost it $440 million, Chief Executive Officer Thomas Joyce said. Joyce said it’s “hard to comment” on discussions with creditors as Knight stock extended a two-day plunge to 70 percent and the firm explored strategic and financial alternatives following a loss almost four times its annual profit. The problems were triggered by what Joyce called “a bug, but a large bug” in software as the company, one of the largest U.S. market makers, prepared to trade with a New York Stock Exchange program catering to individual investors. “Technology breaks,” Joyce said in an interview on Bloomberg Television’s “Market Makers” program with Erik Schatzker and Stephanie Ruhle today. “It ain’t good. We don’t look forward to it.” [Bloomberg]

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Until It Lost Four Times Its Annual Earnings In A Matter Of Minutes, Knight Capital Was Very Profitable, And Guess What, The Company Doesn't Need Your Charity Regardless

...says former CEO who may or may not be authorized to speak for the place. The co-founder and former chief executive officer of battered market-maker Knight Capital Group gave a bullish assessment of the company's future, telling CNBC that Knight can "definitely survive," even without the help of a financial savior. If Knight should go under, "you'd have a hole in the marketplace," said Kenneth Pasternak who retired from Knight in 2002. The market-maker "needs to restore the confidence of the community at large, but its a very important player and frankly, was a very profitable player until three days ago." [CNBC]