From: pmetzger@shearson.com (Perry E. Metzger)
Date: Tue, 9 Feb 93 11:39:59 PST
To: cypherpunks@toad.com
Subject: Re: Compressed/Encrypted Voice using Modems
Message-ID: <9302091839.AA09736@maggie.shearson.com>
MIME-Version: 1.0
Content-Type: text/plain


> From: Eric Hughes <hughes@soda.berkeley.edu>
> 
> >By the way, just to bring this back to crypto, everyone should be aware
> >that not only did Claude Shannon establish modern information theory,
> >he also wrote a seminal paper that established much of modern cryptography.
> 
> Not only that, he was single handedly responsible for the 15 minute
> delay rule in reporting stock market transactions.  Evidently he
> applied information-theoretic techniques to the data and was able to
> make a load of money at it.  I have no references on this, and would
> love to see some.

I don't believe this. You can buy data feeds that give you instant market
data, rather than 15 minute delayed information. I've worked for
operations like Morgan Stanley's Analytic Proprietary Trading Group,
and although I've seen some neat tricks applied to market data, I've
never heard tell of Shannon developing any, nor is there any delay
in the data such groups use for trading.

Perry