We will take a quick break from the Fix – even though the debate continues apace – to look at something else that got my attention over the past week, something from our Frankfurt Dial-in-Day last week. I have always advocated for the FX industry to have leadership, preferably consensus-led, that allows it to engage […]
The ACI Financial Markets Association (ACI FMA) announced a partnership with Axiom Global Advisors (Axiom) to help market participants around the globe implement and adhere to the FX Global Code. The two partners will collaborate in the delivery of services and tools for market participants to embed the principles of the FX Global Code in […]
ACI – The Financial Markets Association (ACI FMA), has teamed up with the Interarab Cambist Association (ICA) to promote the FX Global Code amongst financial institutions in the Middle East and Africa.
The ICA is a trade association representing professionals working at banks and financial institutions across the Middle East and Africa. Established in 1972, it has members in 15 countries and provides training and workshops relating to asset classes including FX, interest rate products, equities and commodities.
As part of the collaboration, the ACI FMA and the ICA recently combined their annual member conferences – the ACI World Congress and ICA Annual Conference – for the first time in Cairo, Egypt.
Although most of the attention is on institutional adherence to the Code of Conduct, Colin Lambert suggests there is also a great deal that individual employees need to know.
It was one of the first challenges identified by those creating the FX Code of Conduct – how do we get the message out there? It is not just about ensuring that all firms that operate in the foreign exchange industry understand their responsibilities under the Code – individuals too have responsibility.
It was notable, talking to people this time last year, how few were concerned about the Code’s impact upon them.
One of the key questions surrounding FX Global Code of Conduct, of which the second part is due to be released on May 25, is whether it would have actually prevented the scandals that have dogged the FX industry in recent years.
Brigid Taylor, global managing director of ACI, argues that it would have.
“In financial markets people say: talk is cheap but my word is my bond. So if I say that I’m going to do something then I need to understand what that means, I need to understand how to apply that knowledge and then I need to do it,” says Taylor, adding that this knowledge ensures accountability.
ACI’s explicit support for the FX Global Code helps plug an important gap in the Code’s reach – for it moves its influence beyond the developed and major emerging markets and into some real local markets.
It is important that the Code reaches all market participants, so there are other gaps to be filled, not least the small private trading firms. Can we repeat the example of ACI to help reach these firms, as well as others that should be more aware of their responsibilities?
Sources familiar with the matter say that David Woolcock is joining the Market Practitioners Group (MPG) sub-committee of the BIS Working Group.
The MPG, under the stewardship of CLS’s David Puth, is helping to develop the Global Code of Conduct for FX markets. The work started in mid-2015 in response to the series of scandals that rocked FX markets and the completed Code is due for delivery in six months’ time.
Woolcock is chair of ACI – The Financial Markets Association’s Committee for Professionalism (CFP), the committee that originally created and manages ACI’s Model Code.
It is often said that foreign exchange remains a people business in spite of the surge of technology and there is no doubt that without a lot of good people, who do the right thing, this industry would be in a worse place. Today I would like to pay tribute to three people who have helped make the industry a better place, one who is stepping down from a role, one who has retired and one – tragically, who recently died.
The eternally tricky subject of last look is being reviewed by the Committee for Professionalism (CFP) at ACI – The Financial Markets Association with a view to a potential re-write of guidelines published in ACI’s Model Code.
Sources familiar with the matter have told Profit & Loss that the CFP has been canvassing opinion over the appropriate use of last look in FX markets, which continues to split opinion in the industry with the aim of providing a more detailed set of guidelines.
The unexpected departure of ACI – The Financial Markets Association president Marshall Bailey has come at an inopportune time for the association, and more than ever the association needs to demonstrate to its members and the relevant authorities that it has a continuity programme in place