BIS reveals prevalence of FX execution algorithms

The Bank for International Settlements (BIS) has released one of the most detailed reports produced to date exploring the drivers and implications of the rising use of Execution Algorithms (EAs) in FX markets. Established by the Markets Committee in mid-2019, the findings also cover the performance of FX algorithms during the pandemic-related period of market volatility earlier in the year. The key takeaway of the report is that EAs support price discovery and market functioning in an increasingly fragmented market. The Bank for International Settlements (BIS) has released one of the most detailed reports produced to date exploring the drivers and implications of the rising use of Execution Algorithms (EAs) in FX markets. Established by the Markets Committee in mid-2019, the findings also cover the performance of FX algorithms during the pandemic-related period of market volatility earlier in the year. The key takeaway of the report is that EAs support price discovery and market functioning in an increasingly fragmented market.

The Bank for International Settlements (BIS) has released one of the most detailed reports produced to date exploring the drivers and implications of the rising use of Execution Algorithms (EAs) in FX markets. Established by the Markets Committee in mid-2019, the findings also cover the performance of FX algorithms during the pandemic-related period of market volatility earlier in the year. The key takeaway of the report is that EAs support price discovery and market functioning in an increasingly fragmented market.