As RMB Internationalises, Questions Arise Around Settlement

A turning point year for the Chinese currency, 2015 foretold a new era for the RMB. As the currency gains in prominence, China faces decisions around settlement mechanisms, which will be crucial to its acceptance as a truly international currency. Galen Stops reports. In a year in which FX trading volumes have generally been depressed, […]
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NBIM Steps into the Last Look Debate

In the latest issue of its Asset Manager Perspective, Norges Bank Investment Management investigates the role of last look in FX markets. The fund acknowledges that the practice “serves a legitimate need” of liquidity providers and can improve liquidity available to investors, however it also notes there are “intrinsic conflicts related to the asymmetry in […]
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Under the Hood of the LCH.Clearnet, CLS Partnership

LCH.Clearnet and CLS announced plans this summer to launch a service for clearing deliverable FX products. But how exactly will the new system work and is there really demand for this type of service? Galen Stops investigates. In August, LCH.Clearnet and CLS officially announced the long-awaited partnership between a CCP and the FX market’s risk […]
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Mind The Gap

Is the continued technological evolution of the FX market opening up gaps in banks’ risk management capabilities? Galen Stops takes a look. The numerous benefits that technology has brought, and continues to bring, to the FX market have been well documented, but some banking sources have expressed concerns about some of the risks created as a […]
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Does Bitcoin Have a Future in Financial Services?

With financial services firms currently tripping over each other to highlight the potential applications of blockchain technology, Galen Stops looks at what this means for Bitcoin’s chances of entering the financial mainstream. There are very few topics within the financial services industry that have the ability to polarise an audience like Bitcoin. Since capturing the […]
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FX NDF Client Clearing Begins on SEFs: More to Follow?

The first centrally cleared FX NDF client trade took place on a Swap Execution Facility (SEF) last month, potentially paving the way for more clearing activity and more competition in this segment of the market. Despite no regulatory mandate to centrally clear FX NDFs traded on SEFs, Profit & Loss understands that the first cleared […]
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Catching the FX Bug

Whilst a career in FX might not be top of mind for many women, once they get a taste of the job they are hooked. Joy Macknight spoke to women in different areas of the market to uncover the attraction of FX, track their career progression and identify career-defining moments. The FX Trader Maxine Dennis, […]
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Trading Patterns Unusually Predictable at the WM/R Fix – Pragma

Recent changes to the calculation of the WM/Reuters rate, coupled with a shift in how banks handle client orders, have created unusually predictable trading patterns around the 4pm London Fix, according to re- search from Pragma Securities. Kirsten Hyde reports.   Moves to eradicate manipulation in the popular WM/Reuters FX benchmark rates have created opportunities […]
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FX Head Leaves Bank of England

Michael Cross, head of the foreign exchange division and reserves management at the Bank of England, has reportedly left the Bank. According to reports, Cross left the Bank in July, little more than one year after Martin Mallett, chief dealer of the Bank of England, was suspended and subsequently dismissed for what were termed “errors of […]
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Three Exit Citi

Citi has recently seen three unrelated departures from  its  FX  teams. Chris Adams, the former global head of FX e- trading technology has joined JP Morgan, according to market sources. London-based Adams joined Citi in September 2010 from Aspect Capital, where he was a senior technologist. Prior to this he was a senior developer at Deutsche […]
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