Buy-side Perspectives Issue 5 | Page 26

BACK TO BEST Achim Walde, senior FX risk manager/currency overlay, Metzler T he words ‘best execution’ may be gaining in importance as FX increasingly becomes an actively managed asset class. But this simple phrase means a lot more than just asking three brokers for a price, according to Achim Walde, senior FX risk manager/currency overlay, Metzler. Metzler has a long and interesting history. Based in Frankfurt, Germany, the company can trace its origins 26 back to 1674, when Benjamin Metzler established a trading company. Metzler operates both a bank and an asset management business. Achim Walde has been making decisions on FX for over 20 years. Now, however, the industry is changing under the pressure of unprecedented regulatory and technological shifts. These have highlighted the increasing complexity of doing business in the FX space. www.buysideintel.com “Best execution is a must, but not everybody agrees what it means,” Walde told the Buy-side Perspectives. “If I ask three brokers for a price and take the cheapest one, I could say that’s best execution. But that’s too simple. To really offer best execution it’s not enough to only offer the best price right now in this moment, you also have to offer best price execution over longer time periods, such as the whole August 2016