Analysis-Forex derivatives nudged out into the open as regulations increase costs
Foreign-exchange investors are moving more of their over-the-counter (OTC) derivatives trades to lookalike products on exchanges to avoid higher costs due to recent global regulations, helping inject transparency into a multitrillion-dollar market that is largely hidden from the public eye. The growing interest in clearing trades through an exchange comes as regulations capture more users of these contracts, bolstering the need to shift away from bilateral trading and manage rising compliance cost. "There is more transparency, lower margin requirement overall (in trading listed products...