Michael Lewis explains his book "Flash Boys"

Best-selling author Michael Lewis says the stock market is rigged and even the richest, most sophisticated investors are getting "screwed" every day

In his book "Flash Boys," author Michael Lewis explains how investors are disadvantaged without access to high-frequency trade technology.

What's the advantage of speed?

In the above video, Lewis explains how an extra millisecond allows high-frequency traders to exploit computerized trading in the U.S. stock market. By "beating" investors to exchanges, Lewis argues that high-frequency traders can buy stocks and quickly sell them back at higher prices.

Billions have been spent by Wall Street firms and stock exchanges to gain the advantage of a millisecond. "Is it a scam?" 60 Minutes correspondent Steve Kroft asks. It's bigger than a scam, Lewis says.

Lewis further explains, in the video below, how ordinary investors are affected and argues that high-frequency traders have created instability in the stock market -- for everyone. A reoccurring metaphor Lewis uses in his book "Flash Boys" is one of "prey and predators." According to Lewis, the prey is "anybody who's actually an investor in the stock market."

Editor's Note: This segment was originally published March 30, 2014

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