Recent evidence suggests that the fastest algorithmic traders in financial markets profit at the expense of slower traders. One solution gaining traction is a 'speed-bump', which introduces a delay between the time in which an order is submitted, and when it is processed. We analyse the speed...

We collect data on 75 million GBP of tennis bets over a 6 year period to analyse whether participants in high-stakes environments recognise simple framing differences. The structure of this market means that we can place the same bet at the same time in two different ways. These two isomorphic...

Prices play a key informational role in markets by revealing the private information of a diverse set of participants. But can professional traders accurately decipher these price signals? Can these professionals separate out the signal (the information on fundamentals) from the noise (erroneous...

Betting exchanges allow punters to bet on a horse to lose a race. This, many argue, has opened up the sport to a new form of corruption, where races will be deliberately lost in order to profit from betting. We examine whether anecdotal evidence of the fixing of horses to lose - of which there...

Women are under-represented in many top jobs. We investigate whether biased beliefs about female ability – a form of ‘mistake-based discrimination’ – are partially responsible for this under-representation. We use more than 10 years of data on the performance of female jockeys in U.K....

Recent evidence suggests that the fastest algorithmic traders in financial markets profit at the expense of slower traders. One solution gaining traction is a `speed-bump', which introduces a delay between the time in which an order is submitted, and when it is processed. We conduct an impact...

Prediction markets have proved excellent tools for forecasting, outperforming experts and polls in many settings. But do larger markets, with wider participation, perform better than smaller markets? In this paper we analyse a series of repeated natural experiments in sports betting. The Queen's...

A common finding in laboratory studies is that subjects anchor on irrelevant initial cues when valuing assets. We run a field experiment to examine whether this heuristic can be exploited to manipulate prices in real markets. We provide early quotes in a series of horse race betting markets, and...

Asset prices tend to cluster at round numbers. We examine betting exchange data on U.K. horse races to establish whether limited cognition is partially responsible for this clustering. The key tool in this study is the stark increase in cognitive load faced by traders during races compared to...

Does speculative trade reduce mispricing - and help create efficient markets - or drive prices further from fundamentals? We analyse betting exchange trading, on 9,562 U.K. horse races in 2013 and 2014, to find out. Crucially, as each race is run, the fundamental value of bets is unambiguously...