Volatility
What will revive fallow FX?
In more than 40 years since the collapse of the Bretton Woods system, rarely has FX volatility been so low. IG's Patrick Foot examines current conditions
Worries rise over senior exits
Subdued FX markets are a result of senior traders exiting banks and a tighter risk appetite being adopted by remaining participants
Corporates eye FX options as hedging tool
Treasurers are becoming increasingly interested in FX options to fights rising costs, but face a battle to implement them at their firms
Translation risk hits corporate earnings
Millions have been wiped off corporate profits last quarter as a result of converting back earnings from depreciating currencies
Lack of FX volatility helps banks with staff shortages
A significant market event is likely to stretch fewer FX traders at banks, which could lead to advantages for those not embroiled in the FX investigation, say market participants
FX Week Europe: Low volatility blurs distinctions in e-FX
Only the return of volatility will determine which new and incumbent platforms have gained or lost market share, says SEB's Alastair Crane
Political risk biggest challenge for Mena investors
Unable to predict the outcome of current turmoil in Syria and Egypt, investors have mixed outlooks for the Mena region over the coming months
Tarns gain favour as investors seek to exploit range-bound pairs
Target accrual redemption notes have regained some popularity after losing favour during the crisis, but investors are keeping a firmer eye on the risks, say dealers
Investors return to FX as volatility and volumes rise
Banks are reaping the benefits of the return of hedge funds to the FX market as a result of rising volatility, which in turn is driving volumes higher
Major online brokers publish fall in volumes and revenues
FXCM and IG Group retail and institutional traders cut activity amid market uncertainty and low volatility
Newscape Capital launches quant FX fund
London-based Newscape believes investors have too much focus on fixed income and equities and should have more capital committed to the FX market
FX Week Europe: Corporates go back to basics in tough market conditions
Regulatory change and the increasing costs arising from credit risk mitigation measures on the sell side are a growing concern, according to four corporate treasurers that spoke at the FX Week Europe conference
Integrate to accumulate
Increased volatility, lower availability of credit and emerging market expansion is accelerating the integration of cash management and FX, says Laurence Neville
Responding to change
Purnur Schneider and Christopher Cruden at Insch Capital Management in Lugano, Switzerland, use the Black-Litterman model to test strategies designed to work in changing market conditions
Barclays grabs top spot for FX options
The UK bank has risen from fourth to third place in this year's survey, and has also added FX options to its awards tally
EBS volumes hit multi-year low in October
Trading volumes on both EBS and Thomson Reuters fell even further last month, but some traders are expecting a pick-up in volume now that the US elections are over
Hong Kong insurers hedge out their US dollar exposure
Insurers in Hong Kong are revising their long-term policy of not hedging out their US dollar exposures
Barclays upgrades Oasis FX analytics tool
Enhanced version of Oasis includes a new charting, analysis and back-testing tool, known as Atlas
Morgan Stanley adds Ortus and Quaesta to FX Gateway
US bank continues expansion of currency manager platform
Decline in spot volume driven by low volatility and HFT controls
The fall in FX spot volumes revealed in this week’s semi-annual survey data has been driven by low volatility and new controls on HFT behaviour, according to members of the FX JSC
Deutsche’s FX volumes continue to grow, despite tough Q2
Deutsche Bank’s profits fell from €1.4 billion to €661 million during the second quarter, but the bank’s FX revenue recorded only a small year-on-year decline
Electronic broking initiative of the year: Tradition-Icap
Foreign exchange options broker Tradition-Icap wins this new e-FX initiative award in recognition of its daily volatility fixing, which dealers see as a landmark development in the trading of volatility
Carry trade yields 5% annual returns
Carry trades can produce surprisingly high returns, but beware unexpected volatility shocks, write Lukas Menkhoff, Lucio Sarno, Maik Schmeling and Andreas Schrimpf
The quasi-extinction of free-floating exchange rates
Imran Ahmad and David Petitcolin of the emerging markets FX strategy team at Royal Bank of Scotland in London say the quest for growth by emerging and developed market nations has led to the quasi-extinction of free-floating exchange rates