Jane Street、Citadel等强势崛起，华尔街已经变了

Core Insights - A new force is reshaping the lucrative trading business landscape on Wall Street, with high-frequency trading firms like Hudson River Trading and Citadel reporting significant revenue growth [1] - The trading income of Hudson River Trading doubled to $2.6 billion, while Citadel achieved record revenues of $5.8 billion in the first half of the year [1] - Jane Street's net trading income reached $10.1 billion in Q2, surpassing all major Wall Street banks [1] - The three major market makers collectively earned nearly $30 billion in trading income, benefiting from market volatility following the Trump tariff wars [1] Technology-Driven Trading Revolution - Electronic market makers leverage cutting-edge technology to quote prices for a wide range of assets, executing trades at high speed and with minimal spreads [2] - Although this model reduces profit margins per trade, the high trading volumes compensate for this, ultimately creating economies of scale [2] Expansion of Trading Giants - The business scope of these trading giants has expanded beyond their initial focus, with increased electronic trading opportunities in fixed income markets [3] - Citadel, once known for its dominance in the U.S. equity market, has now incorporated corporate bond trading into its fixed income business and is also involved in government bond trading in the U.S., U.K., and Europe [3] - Jane Street, initially focused on trading American Depositary Receipts (ADRs), has expanded into ETF trading on U.S. exchanges and now holds a dominant position in that asset class [3] Traditional Banks Retreat - While non-bank market makers thrive, traditional banks are retreating in trading operations due to post-financial crisis regulatory constraints that increase the cost of proprietary trading [4] - Morgan Stanley closed its electronic market-making division for U.S. stock options earlier this year, which was subsequently acquired by Citadel, providing Citadel with a substantial portfolio of stock option positions [4] - As banks lose competitiveness in trading, clients are likely to turn to institutions that can offer them the best prices directly [4] Banks' Remaining Advantages - Despite the challenges, banks still possess advantages due to their large balance sheets, which are crucial for clients needing significant capital [5]