Victoria Greenberg has joined the FX prime brokerage sales team at Citi as a director.
Fund management institutions can now access the CLS system in Korea for the first time via CLS third-party service provider, HSBC.
This announcement builds on the earlier adoption of CLS participation in Korea by other non-bank financial institutions (NBFIs), including a number of leading securities brokers. Third-party participation globally accounts for approximately 22% of the total value settled in CLS and there was a 12% increase in the number of third-party participants using the service in the Asia Pacific region in 2016.
Technological developments present new challenges to both financial services firms and their staff, warned John Ashworth, CEO of Caplin Systems, at Forex Network London.
In a presentation "The Fourth Industrial Revolution: Society, Finance, Trading & Sales", Ashworth opened the discussion by questioning the assumption that the advance of technology is unambiguously good for business.
“The notion that an entry level economist would invite you to believe is that technology is a good thing, that technology delivers productivity, that productivity delivers advancement, that opens up new markets, and so forth. The reality is somewhat different,” he said.
The Federal Reserve Bank of New York has formally imposed a $1.2 million fine and a permanent ban on employment in the banking industry against former Barclays trader Chris Ashton, the former global head of FX spot trading at the bank.
The fine and ban is in connection with the manipulation of FX pricing benchmarks and was first announced last year.
The Fed now says that Ashton failed to answer, appear, or request a hearing in administrative law proceedings after the Board charged him with a string of offences.
Russell Lascala and Jon Tinker have been named as co-heads of FX at Deutsche Bank, reporting to Sam Wisnia, head of rates, who is now running an newly aligned rates and FX business.
The two men replace David Wayne, who has been appointed to a new role running electronic trading across asset classes at the bank as it brings together its electronic trading capabilities. Wayne will report to Garth Ritchie, co-head of Deutsche’s Corporate and Investment Bank as well as assume leadership of the bank’s strategic analytics teams across CIB
Following similar settlements from the big four Australian banks, Macquarie Bank has also accepted an enforceable undertaking (EU) from the Australian Securities Investment Commission (ASIC) in relation to the bank’s FX businesses.
Following an investigation, the regulator says it is concerned that the bank failed to ensure that its systems and controls were adequate to address risks relating to instances of inappropriate conduct identified by ASIC.
This settlement means that the top five Australian banks have all agreed to EUs from ASIC relating to their FX business.
CLS Group has named nine new directors to its board bringing the total to 23, of whom five are outside directors.
Market sources tell Profit & Loss that Standard Chartered Bank has seen two departures from its G10 FX trading ranks, just weeks after four other traders in the bank's e-FX and NDF trading teams were reported to have left.
Graham Smallshaw, director of G10 FX trading at Standard Chartered in Singapore, has apparently resigned from the bank as has Ashley Fox, a G10 FX trader at Standard Chartered in London, who has also apparently left the bank for another role.
Following his retirement from Citi, where he spent nearly 30 years and most recently served as global head of G10 FX, James Bindler, reflected at Forex Network London about the changes that he’s observed in the industry.
He’s also made a number of predictions regarding its future.
1. The line between banks and non-banks will continue to blur
“As always with all these things, it comes from both sides of the equation. Banks will get faster and high-frequency traders will seek capital to backstop their risk taking activities,” said Bindler.
Discussing the challenges facing market makers, Bindler noted that the cost of FX trading is generally rising, particularly for firms that need to use prime brokers to access the market.
Next week, more than 200 FX professionals will gather at Forex Network New York to hear industry leaders debate the most pressing issues in the market today.
May 25 marks the release of the Global Code for the FX industry – a global set of principles guiding good market practice – which has been developed by The Bank for International Settlements’ )BIS) FX Working Group, which consists of market participants as well as central banks from 16 jurisdictions.
James Bergin, SVP and deputy general counsel at the Federal Reserve Bank of New York, will introduce a panel that will discuss the issues of note within the Global Code.