So then, the industry is in for a huge shaking. Life will not be more of the same. With commission rates falling towards zero, old-style brokers will be unable to make a living. They will only survive as financial advisers. But most small to medium investors will object to handing back every penny they have saved in commissions.
Job losses are inevitable.
The process is well under way. Communities of financial expertise will continue to be found in places like London, even if a regional or global server is based elsewhere, because quality people often need more than money to relocate and big national exchanges have attracted relatively immobile but highly skilled labour forces. However, it is questionable how long that geographical bias will last. In virtual world any traders anywhere in the world with the rights skills can be welded into a global investment team. Stock Exchanges such as London, New York and Tokyo need to wake up, move fast and try to take the lead.