Without blaming them for what occurred, more scrutiny from counterparties about how their FX transactions were being executed may have helped to reduce the incidence and severity of the market abuses that occurred in the past. One reason for this lack of scrutiny was that FX transactions were sometimes regarded as ancillary to the core business, notwithstanding their potential impact on returns.
This attitude seems to be in decline, though it still persists. Ultimately the success of the Code in promoting integrity and restoring confidence in the wholesale FX market lies in the hands of its participants. Another aspect of market-based adherence comes through the FXCs.