Prop FX under scrutiny
FRONT PAGE NEWS
LONDON -- Banking specialist Eugene Ludwig’s report into $691 million of currency losses at Allfirst Financial has prompted global banks to re-evaluate their proprietary FX trading desks.
But, despite the March 14 report’s findings, that prop trading is an "extremely high risk activity", proprietary FX managers interviewed by FX Week insisted their trading activities are safe from fraud. They said Ludwig’s recommendations are inapplicable to them because they are "too small", "too well controlled
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