The first phase of theGlobal Code of Conduct for the Foreign Exchange Marketandprinciples for adherence to the new standardswere released earlier this week by the Bank of International Settlement (BIS) – – and financial services firms are expressing support for the proposals.
The new rules were released in New York by the Foreign Exchange Working Group (FXWG).
“In a globalized world, the foreign exchange market is one of the most vital parts of the financial plumbing,”said FXWG chairman Guy Debelle, Assistant Governor of the Reserve Bank of Australia.
“One of the guiding principles underpinning our work is that the Code should promote a robust, fair, liquid, open, and transparent market,” he said.
In a press statement from Thomson Reuters, the market data and financial services firm said that it has played an active role in the development of the Global Code through its membership of the Market Participants Group (MPG) and through participation in regional committees.
Thomson Reuters welcomes this initiative by BIS and industry members to raise standards of conduct in the FX market and ensure we work collectively to uphold fair and efficient markets, said Phil Weisberg, global head of FRC Trading at Thomson Reuters. Thomson Reuters operates at the heart of the FX market and we take very seriously our role to set standards by establishing clear rules and increasing transparency across our transaction venues. We will help our customers understand their responsibilities under the Global Code and encourage their active engagement in the interests of the wider FX market.
An unnamed spokesperson from ACI FMA welcomes the BIS Global FX Code and updates ELAC portal to support adherence, in a press statement.
“The ACI Financial Markets Association (ACI FMA), the global trade association for wholesale financial market professionals, welcomes the release of Phase One of the BIS Global FX Code of Conduct. The ACI FMA has participated in its development as a member of the Market Participants Group (MPG) and fully supports this Code.
Dan Marcus, CEO of ParFX, commented: The publication of the first phase of the single, globally applicable Code of Conduct by the Bank for International Settlement (BIS), represents a significant milestone for the FX market.
“This ensures the wider market is actively involved and listened to, instils confidence and ensures that the Code, when completed in 2017, will be representative of the needs, requirements and concerns of the individuals and organisations that play an active role in the global FX markets operation, governance and structure. The process highlights how regulators and market participants can work together to tackle market issues and ensure everyones voice is heard, said Marcus.
