The Settlement Risk related to FX transactions is growing.
According to the 2019 Triennal Survey from the BIS, the volumes transacted in the FX Market have grown substantially and so has the Settlement Risk related to transactions executed in this Market.
The size of the FX Market implies that its transactions could be the largest originators of settlement risk for several Market Participants, so the Global FX Committee has acted swiftly and added this topic to the agenda of their last two videoconferences.
On that regard, please find below a link to a Supplement published by the e-Forex Magazine on the growing threat of FX Settlement Risk (which includes an article by Guy Debelle, Chair of the Global FX Committee), with an online version and a HTML version being available:
Also, please note that ACI FMA has recently launched the ACI Operations Certificate New Version, an exam where candidates can test their knowledge about settlement processes in the FX Market. For further information, please access our website on this link:
ACI FMA’s members are longstanding proponents and influencers of ethical conduct and good market practices to financial markets professionals.
Kim Winding Larsen
ACI FMA President Delegate