Stephen Bruel

Algo adoption in FX – Why major changes are in store

June 2023 in Industry Reports

Algo adoption in FX has traditionally lagged other markets such as Equities. However, changes to underlying conditions and technological improvement are creating new opportunities. How are these changes affecting algo usage?

Technology has changed the way markets function. While trading technology has pushed the limits of what traders can achieve in the markets, regulations have also pushed them towards greater electronification. Algorithms are perhaps the most obvious example of the market's shift towards technological solutions. Despite their prevalence in equities, algorithms are relatively scarce in FX. The market's fragmented nature and complexity have traditionally not lent itself to algorithm adoption. However, market practices are quickly changing as a variety of forces Technology has changed the way markets function. While trading technology has pushed the limits of what traders can achieve in the markets, regulations have also pushed them towards greater electronification. Algorithms are perhaps the most obvious example of the market's shift towards technological solutions. Despite their prevalence in equities, algorithms are relatively scarce in FX. The market's fragmented nature and complexity have traditionally not lent itself to algorithm adoption. However, market practices are quickly changing as a variety of forces

Technology has changed the way markets function. While trading technology has pushed the limits of what traders can achieve in the markets, regulations have also pushed them towards greater electronification. Algorithms are perhaps the most obvious example of the market's shift towards technological solutions. Despite their prevalence in equities, algorithms are relatively scarce in FX. The market's fragmented nature and complexity have traditionally not lent itself to algorithm adoption. However, market practices are quickly changing as a variety of forces

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