FX books bulge in quant investment field
Carry strategies attract bulk of interest; banks eye growth in volatility, intraday and emerging market replication
If asset classes were racehorses in the quant strategy stakes, foreign exchange’s odds would be shortening fast.
Banks are reporting heavy backing for FX-flavoured quantitative investment strategy (QIS) trades, prompting them to expand their activities in the asset class.
JP Morgan reports double-digit growth in client investment in FX strategies, outpacing the wider QIS business.
UBS says client requests for such trades have “increased significantly” in the last 18 months.
“It’s a shining moment
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