Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  News  >  Economy & Forex  >  All News

News : Economy & Forex

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance ProfessionalsCalendarSectors 
All NewsEconomyCurrencies / ForexCryptocurrenciesEconomic EventsPress releases

Norway's wealth fund seeks better currency market deal for clients

share with twitter share with LinkedIn share with facebook
share via e-mail
0
11/10/2017 | 09:42am CEST

OSLO (Reuters) - Norway's $1 trillion (761.04 billion pounds) sovereign wealth fund, the world's largest, on Friday called for more transparency in global foreign exchange markets to cut the cost of transactions and make them more efficient.

Changes to the structure of currency trading should seek a more level playing field for clients in order to cut excess profits for dealers and ensure a better balance of risk, it argued in a policy paper.

"We believe that transparency and verifiability are key to mitigating the impact of informational advantages, without negatively affecting the liquidity of this important market," the fund said.

Three elements of currency trading warranted particular attention and should be reformed, the fund said, stopping short of calling for their removal.

The 'Last Look' function, allowing spot dealers to potentially renege on an earlier price quote, is biased and should be compensated for with tighter spreads and deeper liquidity, it said.

The second element, algorithmic execution strategies, are generally better at protecting the dealer than the client, and better risk controls and transparency should potentially lead to the introduction of third-party algorithms, it said.

The third proposal seeks to remove a "disconnect" between dealer quotes and prices in the interdealer market, which makes it hard for clients to know if they get the best possible transaction.

(Reporting by Terje Solsvik; editing by John Stonestreet)

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news "Economy & Forex"
10:28pCALIFORNIA POULTRY FEDERATION : Farmers protest Pruitt’s ethanol policies
PU
10:28pCALIFORNIA POULTRY FEDERATION : Next move is Trump’s after China hits back in trade-war opener
PU
10:28pCALIFORNIA POULTRY FEDERATION : Striving to improve poultry farming’s image
PU
10:28pFLORIDA FARM BUREAU : Summer Agriculture Fun
PU
10:28pCITY OF PALO ALTO CA : Forms & Applications
PU
10:28pGOP, Democratic Senators Decry 'Serious Flaws' in Execution of Trump Trade Policy
DJ
10:24pIndustrials Flat as Tariff Tensions Persist -- Industrials Roundup
DJ
10:23pFOUR SEASONS HOTELS : Hotel London at Park Lane Brings a Taste of the French Riviera to the Heart of Mayfair This Summer with L’Azur
PU
10:19pMaterials Down Amid Trepidation On Global Trade -- Materials Roundup
DJ
10:19pEnergy Rebounds After US Stockpiles Data -- Energy Roundup
DJ
Latest news "Economy & Forex"
Advertisement