Electronic broking initiative of the year: Tradition-Icap

Terry Benson at Tradition-Icap

The launch of a daily volatility fixing, Vol-Fix, by forex options broker Tradition-Icap in February heralded a new era in the trading of volatility-based products in the foreign exchange market, with market participants suggesting it would lead to increased transparency and the creation of innovative new products.

"Previously if a client traded a forward volatility agreement directly with their bank, that bank would provide the settlement price. By using the Tradition-Icap volatility fix

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