Furthermore, trading platforms also have rules to help foster an orderly and fair trading environment, but the nature and severity of such rules varies across platforms. Thirdly, the Foreign Exchange Committees in a number of jurisdictions are currently considering implementing enhanced codes of conduct which aim to address the market integrity issues raised by the increased presence of HFT.
Real-time monitoring of the financial system is a fascinating vision for central banks. Just recently, at the “Bundesbank Innovation Challenge”, 10 start-ups pitched for the most innovative solution for risk monitoring at our institution. Innovation needs space – mental space, certainly, but also physical space.