Manfred Wiebogen President ACI, The Financial Mark
Manfred Wiebogen President ACI, The Financial Mark

Formulating a new benchmark of FX Best Practices

Increasing regulatory initiatives strive to capture, to master but also to govern most of the financial markets. One of them, the Foreign Exchange market, is still a mainly OTC (over-the-counter) one, which has been overcoming the ongoing economic and sovereign turbulences remarkably well.

What is the reason for that?  Players in the global FX market tend to act according to best practices in promoting efficient market practices. These practices are encouraging high standards of conduct and professionalism. Being a rather flexible, deep volume and counterparty driven marketplace the practitioners interest always has been to maintain orderly and efficient markets. High standards of dealing practice and integrity must prevail.  In history, the largely unregulated global foreign exchange market thrived and expanded for decades in the major international centres without any written code or guidelines on market practice or conduct. In the early 1970’s when the O’Brien Letter was issued to authorized banks in London by the Bank of England, this situation changed. In 1975 the first ACI Code of Conduct covering foreign exchange and euro-currency dealing was published. There followed similar publications by the markets in New York (1980), London (1990), Singapore (1991) and...continued

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