Traders use powerful computers and special software to trade at great speed. This makes it possible to get ultra efficiency in pricing when buying and selling securities.
Advantages accrue to those who use the system, which can indirectly include small investors who have accounts with institutions such as mutual funds and pension funds.
Politicians often complain that such trading hurts small investors. Some traders complain about its effects on their conventional trading.
What high-frequency trading does is help competition among existing stock exchanges, some of whom may not have yet fully installed their versions of faster trading and computer software.
That is the extent of all the noise you hear, other than populist ignorance by politicians.
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