In the FICC of It Special

Ahead of the unveiling of the 2019 Digital FX Awards for bank single dealer platforms tonight, Colin Lambert, managing editor of Profit & Loss, sat down with John Ashworth, CEO of Caplin Systems, for a special In the FICC of It podcast, sponsored by Caplin Systems. In this special our two podcasters looks at the […]
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In the FICC of It

Given they predicted just such a move almost a year ago there is no surprise from Colin Lambert and Galen Stops in this week’s podcast over the announcement that Deutsche Boerse is in talks with Refinitiv to buy some or all of its FX assets. So far, so straightforward – however this is In the […]
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In the FICC of it

This week's podcast opens with Galen Stops gloating over Colin Lambert because CTAs - and in particular ones using trend following strategies - are (finally!) producing some positive returns. One swallow doesn't make a summer, argues Lambert, but Stops is convinced that this is the beginning of an upswing for these hedge funds. This leads into a more serious discussion about some the challenges facing CTAs when their trend following models aren't working. For example, do they alter their models to improve returns at the risk of diluting their potency as a diversifier within investors' portfolios?
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In the FICC of it

Following on from Profit & Loss' recent Forex Network New York event, Galen Stops gives picks out a few key themes from each panel session for discussion with Colin Lambert.On the trading side, they talk about whether there is such thing as "the wrong kind of volatility", Stops says that panellist responses to a Brexit question perfectly sums up the confusion around recent political events in the UK and they question whether the industry has become so good at trading FX that it's effectively killed market.Looking at trends around credit intermedation, Stops reveals that there is an emerging debate about whether more buy side firms will gravitate towards the FXPB or centrally cleared model and the pair discuss why it might be inevitable that market participants will pay more for PB services in the future.
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In the FICC of It

There is much for listeners to enjoy in this week’s podcast as Colin Lambert tries to sound intelligent on credit, clearing and crypto, three subject with which he has the loosest connection. Luckily Galen Stops is on hand to provide the voice of reason as our two podcasters discuss how prime brokers and their preferred target customers are poles apart on what the PB service should look like. The potential for big change is there, says Stops, but what, if anything, is going to trigger it? This week’s podcast also looks at a new ETF launched in the crypto space, which, Stops explains, seeks to provide investor access to “digital assets”. Putting aside Lambert’s inevitable cynicism – “is ‘digital assets’ just another phrase for cryptocurrencies?” – the development is an interesting one, for as he asks, ‘does this make the technology underpinning the crypto world the asset in question?’ Luckily for him and sadly for listeners, Lambert does get to sound off about how the FX market is radically different from even 15-20 years ago, and of course he has a theory about why that is. He also gets to re-live his childhood thanks to Stops asking him, “If you were trading now, what would you do with Cable?”
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In the FICC of It

In a rumbustious podcast this week Galen Stops relates how he took on the Twitter world following a tweet that was clearly misunderstood (he says) and he and Colin Lambert get into a debate over the value of speed bumps in futures markets. One group, as Stops observes, is very unhappy about it, but Lambert points out there is another – rather influential – group, that really like the idea. Our two podcasters also follow up on a recently published story by Profit & Loss about the potential buyers of Refinitiv as well as take a look at a recent blog post on aggregation in FX which inevitably leads to a question from Stops to Lambert, ‘what do you consider full amount trading?’ Luckily for everyone, the latter keeps his answer reasonably (to him) short – even delving into the depths of his own trading career for an analogy. Speaking of delving the depths, the podcast closes out by fulfilling its promise of the previous week through delivering “considered analysis” of a recent rival podcast which took a look at the events surrounding the death of crypto exchange Quadriga’s CEO. There are those that think, as Stops notes in this podcast, that the FX industry likes a good gossip and wild speculation, but his report on the investigation into Quadriga leaves FX standing well in the shade…
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In the FICC of It

Galen Stops is back on duty for this week's In the FICC of It podcast and he and Colin Lambert have a lot to get their teeth into. Starting with a response to Lambert's question from episode 37 as to why the Cartel were in a chatroom anyway, our podcasters discuss the throwing out of the case against former Barclays' FX head Robert Bogucki in the US. Staying with that bank, they then discuss a website set up by Barclays' former head of automated trading David Fotheringhame that is "a public defence of last look". Listeners will be glad to hear that Lambert doesn't bang on for too long on one of his favourite subjects, preferring instead to move the conversation onto exchange in FX, with the question, "will scale ultimately win the day?"
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In the FICC of It

With P&L’s editor Galen Stops showing his contempt for the listenership by declining to call in to the podcast from halfway down a black run on a snowboard, this week’s In the FICC of It takes a look back as managing editor Colin Lambert is joined by P&L’s founder Julie Ros, just over 20 years to the day she incorporated Profit & Loss. Although they somehow manage to omit to mention how they wrote pieces for the magazine about Caribbean and Scottish holidays and, even worse, took their own cover pictures, the two look back to the early days of e-FX, which coincided with the launch of Profit & Loss, and look at how things have changed – and in some cases have not. The names of the leaders in e-FX may have changed, as Ros notes, but our two podcasters agree that there is much that remains the same, in both the single and multi-dealer platform world especially. One week after Stops and Lambert went to town on each other’s predictions for 2019, Ros offers Lambert to chance to critique someone else’s predictions for the foreign exchange industry, made in 2000, and you will glad to hear that in spite of the aforementioned clairvoyant going onto to become Prime Minister of his country, Lambert shows his customary disregard for rank and gives it both barrels…
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In the FICC of It

In this week's podcast Colin Lambert and Galen Stops discuss the article penned for Profit & Loss by former FX trader Rohan Ramchandani about his trial and subsequent acquittal for market manipulation. While they generally agree on most points there is, inevitably, areas of disagreement, but that is nothing compared to when they move on (thanks to a quiet news week) to how they ranked each other's predictions for 2018. The results are available on the website, but why did Stops given Lambert a 6/10 for a bitcoin prediction that was actually correct? And why did Lambert return the compliment given Stops just a 4/10 for his own crypto prediction? All will be revealed in this week's In the FICC of It podcast, along with exactly which one of them scored the most points with their predictions.
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In the FICC of It

Just two subjects fill our podcast this week as Colin Lambert and Galen Stops share (contrarian) views over the benefit (or otherwise) of closer links between retail and institutional FX markets. The cynicism Lambert brings to that subject also permeates the second main subject – the release last week of two reports from Global FX Committee Working Groups on disclosures and “cover and deal” operators using last look. Our podcasters also take a look at the GFXC’s annual survey of opinions on the FX Global Code and while he admires what he terms “the optimism of youth” as expressed by Stops, Lambert is again wearing the cynical expression as they discuss some potentially concerning findings in the survey. Not happy there, Lambert also tries to hit back at what he reports was “ridicule” aimed at him after last week’s podcast discussed his NOK/MXN prediction for 2019 by deflecting the issue onto one of Stops’ predictions – or rather one of what Lambert believes is a “non-prediction”. Will FX prime brokerage consolidation reverse (slightly) and will asset manager clients remain elusive? Find out by listening in.
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