Month: February 2015

…But ACI Warns of ‘Over-Reliance’ on Automation

Meanwhile as part of its response to the UK’s Fair and Effective Markets Review (FEMR), ACI – The Financial Markets Association has warned of the "over-reliance" on electronic trading, and suggests that the imbalance between voice and e-trading has “diminished the fairness and effectiveness of the FX (spot) market”. ACI points to events surrounding the […]

No More Voice Trading in FX, Says Willis Treasury…

Willis’ UK treasury head has sounded the death knell for voice trading in FX, saying that the global insurance broker will not deal with any bank that doesn’t implement its trading platform. “Even juggling pressures around counterparty limits, we have stripped out the banks that won’t implement our technology,” said Joe Peka, head of UK […]

US Regulators Increasingly Involved in the FX Market

Comments from US Commodity Futures Trading Commission (CFTC) chairman, Timothy Massad, highlight how FX markets are increasingly coming under the purview of his organisation. Speaking before the US House Committee on Agriculture last week, Massad emphasised the importance of the Commission’s compliance and enforcement programmes in markets it oversees, including FX. “In particular, our priority […]

Maasland Steps Down From Role at KCG

Albert Maasland, head of global execution services and platforms at KCG and head of KCG Hotspot, has stepped down from the roles to become a non-executive director of KCG’s European business. Maasland, who was instrumental in the sale of Hotspot to BATS Global Markets in a deal worth up to $435 million, tells Profit & […]

Could FXPB Fee Hikes Spell the End for Retail FX?

Reports that some FX prime brokers are increasing the fees that they charge for their services could spell the end for the retail FX business, according to some market participants. Profit & Loss reported earlier this month that a number of firms are increasing the amount of margin that they require for trading on certain […]

…As Bodies Respond to FEMR on Practice

A growing number of industry bodies are addressing last look practices in the FX market, with a new entry in ACI’s Model Code outlining correct principals around the activity, in addition to the Fair and Effective Markets Review (FEMR) consultation also asking the market for its opinion. The entry on last look notably appears in […]

Lawsky Includes Last Look in Currency Probe…

New York State superintendent of financial services, Benjamin Lawsky, says that his department is investigating the practice of “last look” in FX as part of his currency probe. Speaking on Bloomberg Television last week, Lawsky indicated that he is concerned about last look in FX. “There’s a little bit of smoke; we don’t know if […]

FXPA Elects Officers While Membership Grows

The Foreign Exchange Professionals Association (FXPA) elected its first permanent board of directors and officers this week. In addition, Intercontinental Exchange (ICE) has joined its Founders’ Council, bringing the number of institutional members to 20. “We are pleased to join FXPA and look forward to working with its members to support policies for a transparent […]

ICE CEO Says EMIR’s Clearing Rules Will Increase Cost for End-Users

Incoming European legislation around open access to clearing houses and the region’s divergent clearing model will culminate in greater costs to the end-user, says Intercontinental Exchange’s (ICE) chief. During the company’s Q4 2014 earnings call, Jeffery Sprecher, chairman and CEO, expressed his opinion that the European Market Infrastructure Regulation (EMIR) is on a “collision course” […]

New York Regulator Extends FX Probe to Algorithms

New York State’s financial regulator has widened its investigation into possible foreign exchange rate manipulation by looking at whether computer programs have allowed banks to front-run clients. The state’s Department of Financial Services (DFS), run by superintendent Benjamin Lawsky, sent subpoenas to BNP Paribas, Credit Suisse, Goldman Sachs and Societe Generale in December, according to […]