Conference Dailys TRADETech FX Daily 2018

THETRADETECHFX DA I LY Looking forward to something new L et me begin this welcome letter with a confession: I’ve never been to Barcelona. Not exactly earth-shattering, I know, but having spent a respectable chunk of the last decade travelling around the world for various conferences and meetings, the Catalonian capital is one city I have yet to visit. Not even on holiday. But that’s a thing of the past now, thanks to TradeTech FX Europe 2018! Following the success of The TRADETech Daily at this year’s conference in Paris, we are back with two FX-focused editions cover- ing the best of the two-day event. In this issue we’ve taken a look at some of the most pressing and vi- tal issues presently facing the FX industry as a taster of what you can expect to hear across the two days of TradeTech FX Europe’s panel discussions. Considering the rapid growth of electronification within the FX markets, it’s not surprising to see that many of these issues are cen- tred around technology. The continued rise of algorithmic trading is addressed by Allianz Global Investor’s Andreas Anschperger on page 12, while trade analytics have become a cornerstone of Insight Invest- ment’s process, according to Richard Turner on page 18. Automation is also one of the major talking points, not just in FX, at the moment, with the omnipresent threat/opportunity of artificial intelligence looking over human traders. According to recent research from WBR, FX buy-side firms are actively pursuing greater automa- “Then there is the often thorny issue of regulation and oversight, which, let’s face it, the FX markets have historically struggled with.” tion process and The TRADETech FX Daily has examined what the aim of reducing the human touch will for asset managers on page 14. But before firms choose to implement shiny new technologies that may or may not be able to deliver the moon on a stick, there’s the pes- ky problem of legacy technologies to address. Explosions of market data and fragmentation have only exacerbated the concern for FX institutions, but, as we found out on page 20, taking a risk in this space can result in a big pay-off. Then there is the often thorny issue of regulation and oversight, which, let’s face it, the FX markets have historically struggled with. Just over one year ago the introduction of the FX Global Code of Con- duct sought to curb the bad behaviours of the recent past through a voluntary system of principles firms should aim to adhere to. But how has the industry reacted? Have firms bought in to the new ideas and acted to achieve the higher level of transparency required to restore public confidence in the markets? Turn to page 26 to find out! We will also be publishing the wrap-up edition that will include all our coverage across the conference, including news, reporting, analy- sis and more. Keep an eye out for it in early October. In the meantime, we hope you enjoy this issue of The TRADETech FX Daily and don’t forget to keep an eye on thetradenews.com for all the latest news on FX, equities, fixed income and beyond. See you in Barcelona. In this issue: 4 Latest news The biggest headlines from the world of FX trading and execution in recent weeks. 10 Financial firms searching for control amid Brexit chaos With less than a year until the UK is due to officially depart from the European Union, The TRADETech FX Daily examines where the financial services industry stands in the swirling Brexit chaos as the clock ticks down to 29 March 2019. 12 The new algo landscape Andreas Anschperger, European head of foreign exchange trading at Allianz Global Investors, talks to The TRADETech FX Daily about how algorithmic FX trading is developing under new regulatory regimes and where innovation in the space can be made. 14 Reducing the human touch Buy-side priorities have been historically dominated by regulatory concerns, but a survey of senior FX buy-siders carried out by Worldwide Busin ess Research suggests that automation is now taking over. The TRADETech FX Daily examines the benefits, challenges and progress as asset managers look to reduce the human touch on trading desks. 18 All in the analysis Insight Investment’s FX desk has transitioned smoothly to MiFID II with a rigorous focus on independent trade analytics, says senior trader Richard Turner. 20 Fixing foreign exchange The battle with legacy technology solutions is an ongoing concern for many banking institutions, but arguably no more so than in foreign exchange. Strategies for this issue have never been more important for staying ahead of the game. 24 MiFID II: Fresh start or false dawn? The TRADETech FX Daily examines how the industry has adapted to the new trading environment following the much- anticipated implementation of MiFID II and where the major issues facing market participants are set to continue. 28 A new age in FX markets Following years of scandal, the introduction of the FX Global Code of Conduct in 2017 aimed to restore the public’s confidence in FX markets. One year later, The TRADETech FX Daily looks at how FX institutions are handling the changes. 30 TradeTech FX Europe John Brazier Editor The TRADE The full two-day list of what’s on at this year’s event. 34 What to look out for at this year’s event The must-see panels at this year’s conference. The official newspaper of TradeTech FX Europe 2018 TheTradeNews.com 3

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