Why Are Big Banks Overhauling FX Trading?

Banks are taking proactive measures to regulate Forex trading by limiting information disclosure and modernizing trading platforms. This is in response to ongoing investigations into traders leaking confidential information and colluding to rig currency benchmarks. The scandal could result in significant fines, prompting banks to act in self-preservation and regain client trust.

What percentage of Forex trading is conducted by banks like RBS, UBS, Barclays, and Goldman?

• 75%

• 43%

• 25%

• 60%

Which of the following measures are banks introducing to modernize the Forex industry?

• Allowing unlimited dealer access to customer orders

• Banning online chat rooms

• Increasing charges for currency exchange

• Reducing electronic platform usage

What is the main reason for the recent actions taken by banks in the Forex industry?

• To increase profits

• To comply with new government regulations

• To expand their market share

• To get ahead of potential regulatory changes

What are the allegations against Forex traders that have led to ongoing investigations?

• Overcharging for currency exchanges

• Leaking confidential client information

• Hiring unqualified staff

• Underreporting profits

What is one of the banks' motivations for implementing new measures in the Forex industry?

• To increase transaction fees

• To regain client trust

• To reduce operational costs

• To expand into new markets