Template-Type: ReDIF-Article 1.0
Author-Name: Andreas Schrimpf
Author-Name: Vladyslav Sushko
Title: FX trade execution: complex and highly fragmented
Abstract: The 2019 Triennial Survey shows that trade execution has undergone rapid change, with more diverse participants, new technologies and increasing complexity. Electronification advanced the fastest in dealer-to-customer trading. Dealers and customers navigated a highly fragmented market by leveraging technology to trade across electronic venues. Aspects of FX intermediation tilted more towards non-banks as new market-makers, albeit brokered by top dealers. Bank dealers continued to attract large flows to their own proprietary liquidity pools. Consequently, even though the market grew bigger as a whole, the share of trading activity 'visible' to the broader market declined.
Journal: BIS Quarterly Review
File-URL: http://www.bis.org/publ/qtrpdf/r_qt1912g.pdf
File-Format: Application/pdf
File-URL: http://www.bis.org/publ/qtrpdf/r_qt1912g.htm
File-Format: text/html
Year: 2019
Month: December
Classification-JEL: C42, C82, F31, G12, G15
Handle: RePEc:bis:bisqtr:1912g