FX survey 2010: The chasing pack narrows the gap
The results of this year’s Euromoney FX survey suggest that, rather than cement the dominant position of leading banks, e-commerce could offer firms that have lagged behind the chance to catch up. But they’d better do it soon – rich rewards await those that can secure the largest pools of liquidity. Hamish Risk reports.
Front (l–r): Fabian Shey (UBS), Zar Amrolia (Deutsche) and Ivan Ritossa (Barclays). Back (l–r): Martin Wiedmann (Credit Suisse) and Anil Prasad (Citi)
THE MOVE TOWARDS foreign exchange markets becoming fully electronic is set to accelerate as global banks strive to create huge liquidity pools to boost revenue growth. It is a popular strategy in an asset class that offers banks, in capital terms at least, the biggest bang for their buck, but in the short term the ensuing price war could stunt future earnings.