Nicholas Bang from Geneva based Advanced Currency Markets
Nicholas Bang from Geneva based Advanced Currency Markets

Electronic execution- facilitating new retail trading opportunities

Demand in the retail market for online FX trading is experiencing dramatic growth. Nicholas Bang believes that banks have largely ignored the retail market leaving this niche wide open for non-bank participants.

Foreign exchange is traditionally an institutionally traded financial instrument. Until a few years ago fx trading was largely unavailable to retail traders, the general conception being that fx trading was meant for professional bank traders or at the very least available to sophisticated investors with very sizeable margin accounts. Although it is obvious that participants should have a clear understanding of the risks and dynamics of fx trading it is quite striking that trading spot fx is in fact substantially simple and conceptually speaking does not require a master's degree in finance in order to be understood and traded. Since the decline of the equity markets, retail traders have been warming to fx trading as an alternative for aggressive day-trading, however the size of the retail sector of the online fx market is relatively small when compared to the year 2000 standard of online stock trading where it was estimated that 1/3 of all American households possessed an account with a stockbroker. Of...continued

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