Banks warn to stress test

Continued growth in algorithmic trading has highlighted the need to stress-test back-office systems for capacity constraints, as high-frequency trading gains traction in FX.

"You're talking about moving your business from one extreme to another, and that means a complete renovation of technology. Anything that falls short of that is not going to be acceptable," said Jeremy Smart, global head of e-FX sales at Morgan Stanley. He added that banks should stress-test systems for up to 10 times the