The shrinking forex market
The foreign-exchange market is the biggest in the world – but it is getting smaller, according to the Bank for International Settlements.
The foreign-exchange market is the biggest in the world but it is getting smaller, according to the Bank for International Settlements.
Daily forex trading volumes have shrunk by $300bn in the past three years to $5.1trn, the first decline since the BIS began monitoring the market 16 years ago. Increasingly risk-averse banks have withdrawn from the market amid tighter regulation, notably in the wake of currency-rigging scandals. Hedge funds and speculators have traded less as banks have cut back on their market-making role.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
-
‘Sandwich generation’ carers losing £6,000 a year to support elderly relativesMiddle-aged adults are often caught between caring for children or grandchildren and their elderly parents, leaving them taking time out of the workforce and facing a huge hit to wages while they are still trying to save for retirement. We look at the true cost of caring.
-
Ground rents to be capped at £250 a year – what does it mean for you?The government has published draft legislation which would see ground rents capped at £250 per year for leaseholders. We examine what it means for homeowners and the housing market.
