FX/Forex Trading

To reduce transactions costs for foreign exchange third parties are sometimes employed by investors to handle their currency trading. Throughout history, for example investment banks, have been able to fulfill this type of order from their own accounts. In more recent times, investors have been known to use agents who are acting on their behalf, who gain varying rates from a cumulative number of providers, and then choose the best option for the investor.

A select number of investors use agents who are also fiduciaries. These are the people who are concerned that regulators are becoming more impatient with investors that do not manage costs efficiently, for example, in foreign exchange trade costs. Managing this regulatory risk can be made simpler for investors, by merely employing the services of an agent who is also a fiduciary, and delegating the responsibility for currency trading.