FXPA Elects Board of Directors, Officers
The Foreign Exchange Professionals Association (FXPA) held elections on February 10 for its first permanent Board of Directors and Officers. The new FXPA Executive Committee includes: Chair Eric Busay, Portfolio Manager, CalPERS; Vice Chair Adam Cooper, Senior Managing Director and Chief Legal Officer of Citadel LLC; Treasurer Sean Tully, Senior Managing Director, Financial and OTC Products, CME Group; and Secretary William K. Goodbody, Jr, Managing Director, COO & Head of Sales of KCG Hotspot.
Citigroup to Boost FX Trading Fees 25% for Some Customers – Bloomberg
Citi, the largest provider of prime brokerage services to firms trading currencies, is using that size to extract higher fees from clients, according to people familiar with the firm’s pricing.
Lawsky Says He’s Probing Banks’ ‘Last Look’ Option on FX Trades – Bloomberg
New York banking regulator Benjamin Lawsky said his agency’s probe of electronic currency trading focuses in part on a practice known as “last look,” a programming feature designed to let banks delay execution of orders to avoid getting burned on price swings.
Isda Proposes Model to Slash Initial Margin – FOW Magazine (subscription)
Trade body the International Swaps and Derivatives Association has proposed a new method to calculate initial margin (IM) for non-cleared OTC derivatives that could see firms cut their margin contributions by a factor of ten. Isda has outlined a standardised risk-based model to calculate initial margin as an alternative to an earlier proposal by Basel and Iosco.
Sweden Cuts Rates Below Zero as Global Currency Wars Spread – The Telegraph
Sweden has cut interest rates below zero and launched quantitative easing to fight deflation, becoming the latest Scandinavian state to join Europe’s escalating currency wars.
Denmark Steps Up FX Interventions as Rate-Cut Tool Shelved – Bloomberg
Denmark signalled it has adopted a new strategy to fight speculators as capital continues to flow into its AAA-rated assets at a record pace, threatening to undermine the krone’s peg to the euro.
Australia Corporates Revisit FX Hedging After Dollar Slide – Asia Risk (subscription)
Leading Australia corporates are actively looking to revamp their foreign exchange hedging strategy in light of the recent slide in the value of the Australian dollar versus the US currency.
Venezuela Unveils 69% Devaluation via New FX System – Reuters
Venezuela on Thursday unveiled a devaluation of 69% at the opening of a new free-floating currency exchange rate system.
Case for Steadier Euro Grows After Third Week of Gains – Reuters
The euro edged higher on Friday, putting it on course for a third straight week of gains, its best performance in just under a year against a dollar weakened this week by some softer US economic numbers.