GFXC sees no changes to code on pre-hedging
Committee rejects calls to set more strict boundaries to controversial practice Print this page
The Global Foreign Exchange Committee (GFXC) pushed back against market participants’ call for change to the pre-hedging principle contained in the FX Global Code, all but killing their hopes to see some detailed guidance around the practice.
“The essence of the code is principles-based, it’s not prescriptive and it’s not regulatory. Therefore, the point is not to nail down a particular size at which pre-hedging suddenly becomes more appropriate, but instead to talk about how the market should