FX Global Code of Conduct Recognised by Central Bank of Russia
- The country’s mega regulator joins a number of key adopters who have pledged to adhere to the code’s principles.
The Central Bank of Russia has signed a statement of commitment to the FX Global Code of Conduct, which was developed by a partnership between central banks and market participants to enhance discipline in the foreign exchange market.
The country’s mega regulator joins a number of key adopters who have pledged to adhere to the code’s principles, which aim to reform conduct and behavior in foreign exchange and develop a renewed sense of trust in the sector.
By signing a statement of commitment, the Russian central bank acknowledges that the principles outlined in the Code represent a series of best practices to promote a transparent FX market.
The official statement further reads: “The Bank of Russia has announced that it is committed to the principles of the FX Global Code after comparing the code provisions, the norms of the legislation of the Russian Federation, and its own business processes.”
The FX Global Code consists of 55 principles of good practices that will function as a guide to ethical behavior in the FX market. Published in May 2017, the initiative emphasizes the growing need for transparency in the industry Execution Execution Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Read this Term and governance.
After lengthy industry collaboration and planning, the document will help foster more robust, fair, liquid, open, and appropriately transparent marketplaces, where different market participants are actively supported by a resilient infrastructure.
Russia Cracks Down on FX Industry
On the retail side, the Bank of Russia eliminated competition from the entire Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term market in the country after it decided to strip several brokerage firms of their license to trade in forex. Most of the foreign exchange dealers operating in the country saw their licenses revoked over the last two years. The list includes Alpari Forex, Forex Club, Fix Trade, Trustforex and Teletrade Group.
The official reason behind the move was that brokers had been using aggressive advertising tactics to lure Russian clients, providing false accounting data, mishandling risks and moving clients’ money offshore, among other violations.
However, this move effectively eliminated forex traders from the retail market and put the business into the hands of local big banks.
More broadly, the Russian Central Bank says that fewer Russians are now involved in illegal financial schemes. At the same time, the regulator has seen a notable increase in opening trading accounts with legal providers, for example, on domestic exchanges.
The Central Bank of Russia has signed a statement of commitment to the FX Global Code of Conduct, which was developed by a partnership between central banks and market participants to enhance discipline in the foreign exchange market.
The country’s mega regulator joins a number of key adopters who have pledged to adhere to the code’s principles, which aim to reform conduct and behavior in foreign exchange and develop a renewed sense of trust in the sector.
By signing a statement of commitment, the Russian central bank acknowledges that the principles outlined in the Code represent a series of best practices to promote a transparent FX market.
The official statement further reads: “The Bank of Russia has announced that it is committed to the principles of the FX Global Code after comparing the code provisions, the norms of the legislation of the Russian Federation, and its own business processes.”
The FX Global Code consists of 55 principles of good practices that will function as a guide to ethical behavior in the FX market. Published in May 2017, the initiative emphasizes the growing need for transparency in the industry Execution Execution Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Read this Term and governance.
After lengthy industry collaboration and planning, the document will help foster more robust, fair, liquid, open, and appropriately transparent marketplaces, where different market participants are actively supported by a resilient infrastructure.
Russia Cracks Down on FX Industry
On the retail side, the Bank of Russia eliminated competition from the entire Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term market in the country after it decided to strip several brokerage firms of their license to trade in forex. Most of the foreign exchange dealers operating in the country saw their licenses revoked over the last two years. The list includes Alpari Forex, Forex Club, Fix Trade, Trustforex and Teletrade Group.
The official reason behind the move was that brokers had been using aggressive advertising tactics to lure Russian clients, providing false accounting data, mishandling risks and moving clients’ money offshore, among other violations.
However, this move effectively eliminated forex traders from the retail market and put the business into the hands of local big banks.
More broadly, the Russian Central Bank says that fewer Russians are now involved in illegal financial schemes. At the same time, the regulator has seen a notable increase in opening trading accounts with legal providers, for example, on domestic exchanges.