[chollida1]

I have a fair bit of insight into this world as I work in it and this quote seems abit off.

> Now, 5% of asset managers are algorithmic traders. In a decade, 50% to 70% of asset managers will use trading algorithms.”

It may be true that if you include all mutual and pension funds that only 5% have their own algos, and even that seems very low, its important to note that these funds trade through other brokers like Goldman and Knight capital.

I'd guess that vast majority( > 90%) of trade that they do are done algorithmically whether on a simple VWAP or a more complex "work it" style algos.

Maybe the author meant alpha seeking algos rather than basic order allocation algos?