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

MarketScreener 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"
03:12aChina says trade war to 'certainly' hurt U.S. exporters, create opportunities to others
RE
03:10aFrench industry morale fell in September to lowest level since March 2017
RE
03:09aEUROPEAN PARLIAMENT : Latest news - Next TRAN meeting - Committee on Transport and Tourism
PU
03:04aMINISTRY OF FOREIGN AFFAIRS OF REPUBLIC OF TAJ : Participation of the Minister of Foreign Affairs of the Republic of Tajikistan at the Informal Meeting of Council of Ministers of the Economic Cooperation Organization
PU
03:04aMINISTRY OF FOREIGN AFFAIRS OF REPUBLIC OF TAJ : Establishment of diplomatic relations between the Republic of Tajikistan and the Republic of Senegal
PU
03:03aOil hits four-year high as OPEC, Russia resist output rise to offset Iran sanctions
RE
02:58aOil hits four-year high as OPEC, Russia resist output rise to offset Iran sanctions
RE
02:53aKuroda says he wants to hit price goal so BOJ can normalize policy
RE
02:53aBOJ's Kuroda highlights need to look at the downside of easy policy
RE
02:49aWHAT'S NEWS : World-Wide
DJ
Latest news "Economy & Forex"
Advertisement