High Frequency Trading Readiness in Central Europe

This paper addresses the microstructure of Central European public financial markets. The aim of the paper is to justify the development and potential of high frequency trading (HFT) on transition economies regulated markets. The regression analysis is applied over neighborhood economies. The data consists of 642 firmyear observation over years 2010-2012. The evidences show that there is lack of responsiveness of the return on equity towards the stock exchanges co-location.