Strengthening Principles & Code of Conduct Standards in FX Markets
FCA Recognises FX Global Code
The Financial Conduct Authority (FCA has today officially recognised the FX Global Code of Conduct under their Codes Recognition Scheme.
“By conducting themselves in line with these codes’ provisions, where applicable, individuals and firms may be assured that this will tend to indicate compliance with their obligation to observe proper standards of market conduct.”
FCA June 2019
The Financial Conduct Authority has now officially confirmed that it recognises the FX Global Code as a voluntary market code of best practice under its recognition scheme.
The regulator established their Codes Recognition Scheme last year that allows the regulator to recognise external industry codes for unregulated financial markets and activities. Now, the FX Global is one of the first codes to be recognised by the FCA.
Issued in a Feedback Statement on 26 June 2019 the UK regulator detailed their support for the FX Global Code. This followed an earlier FCA consultation paper (CP18/39) that had been published in December 2018 that sought views on whether they should recognise the FX Global Code - a code written and owned by the FX industry, reflecting industry views of best practice.
“maintained and updated by the Global Foreign Exchange Committee, this Code sets global principles of good practice standards in the foreign exchange (FX) market, promoting the integrity and effective functioning of the wholesale FX market.”
FCA Jun 2019
The FX Global Code and UK Money Markets Code will be recognised by the FCA for 3 years, which they can extend if appropriate and if they think the code is still relevant – or can be ended early if the FCA thinks that the codes no longer represent proper standards of market conduct.
26.06.19FCA Officially Recognises The FX Global Code