Which of the following factors help explain the decline in FX trading in the early years of this century?

Question

Quizplus · Accepted Answer

All of these factors contributed to the decline in FX trading in the early years of this century. The introduction of the euro led to a shift away from trading between European currencies, while consolidation in the banking industry led to fewer players in the market. The growth of electronic brokering made it easier and cheaper for investors to trade forex, reducing the need for human traders. Mergers in the corporate sector also reduced the need for forex trading, as businesses hedged their exposures through internal transfers rather than through the market.

Which of the Following Factors Help Explain the Decline in FX