FX committee to review op risk and trading guidelines

NEW YORK -- The New York FX Comm-ittee is likely to revise its guidelines on FX trading and operational risk management this year when it concludes a review into issues arising from the FBI’s arrests of 47 currency traders last November.

Key among the subjects up for review is the thorny issue of points in the broker/trader relationship, says Mark Snyder, new chairman of the Federal Reserve-sponsored committee.

Broker points – the pips a broker may have to recoup on mis-matched trades – can arise legitimately, but became a major part of the FBI’s “Wooden Nickel” investigation, when they were linked to cash payments. Court papers claim traders were “cashing points” – executing trades with brokers at loss-making rates for the bank

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