FX swap cost could rise from €279 to €2,779 under EU tax, warns Oliver Wyman

time-money

The introduction of a financial transaction tax (FTT) across the European Union could increase transaction costs by up to 18 times for the most liquid and short-dated parts of the foreign exchange market, according to research published today by consultancy Oliver Wyman.

The FTT, proposed by the European Commission (EC) in September 2011, would impose a tax of 0.1% on equity and bond transactions and 0.01% on derivatives from the start of 2014, raising an estimated €57 billion per year.

Financia

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Register

Want to know what’s included in our free membership? Click here

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here