Susquehanna International Group: The High-Speed Stock Trading Company at the Heart of Controversy
Susquehanna International Group is a renowned financial firm that specializes in lightning-fast stock trading to generate profits. The company operates by gaining small amounts of money each time it trades, often in milliseconds. Recently, the company’s 2% stake in a blank-check company that merged with Donald Trump’s social media company has sparked speculation about its founder, Jeff Yass, possibly funneling money to Trump. However, Susquehanna has maintained its neutral stance on the stock and owns other securities like options to offset its holdings.
The primary focus of Susquehanna is on providing bids and offers in the market rather than evaluating the value of investments. The blank-check company, Digital World, has attracted attention from algorithmic market-makers and quant funds due to its perceived connection to Trump supporters’ sentiment. Quantitative traders are drawn to retail trading since it is often driven by individual investors rather than larger economic trends.
Apart from its stock trading business, Susquehanna also operates a private-equity and venture-capital arm. The firm owns a significant stake in TikTok, which has further fueled speculation about Yass’s potential influence due to Trump’s changing stance on the social media platform. Ultimately, Susquehanna’s role in the stock market is to provide liquidity and make trades rather than making investments based solely on the underlying value of assets.
