Trading volumes and transaction costs in the foreign exchange market

1999 ◽  
Vol 23 (5) ◽  
pp. 801-824 ◽  
Author(s):  
Philipp Hartmann
Keyword(s):  
Transaction Costs ◽  
Foreign Exchange ◽  
Foreign Exchange Market ◽  
Exchange Market ◽  
Trading Volumes

Evolution of India’s Foreign Exchange Market

2014 ◽  
Vol 1 (2) ◽  
Author(s):  
Niti Bhasin
Keyword(s):  
Foreign Exchange ◽  
Foreign Exchange Market ◽  
Exchange Market ◽  
Capital Account Convertibility ◽  
Exchange Policy ◽  
Trading Volumes ◽  
Account Convertibility ◽  
Derivative Markets ◽  
Transparency And Disclosure ◽  
Foreign Exchange Trading

India’s foreign exchange policy after Independence has evolved in tandem with international developments and domestic requirements. The post-reforms period has been marked by wide-ranging measures to widen and deepen the market, besides exchange rate liberalisation. The momentous developments over the past few years are reflected in the enhanced risk-bearing capacity of banks along with rising foreign exchange trading volumes and finer margins. The foreign exchange market has acquired depth. With the economy moving towards fuller capital account convertibility in a calibrated manner, focused regulation and monitoring of the foreign exchange market assumes added importance. In this context, there is a need to strengthen infrastructure, transparency and disclosure, and product range in the foreign exchange derivative markets.

scholarly journals Emerging Market Currency Excess Returns

2011 ◽  
Vol 3 (4) ◽  
pp. 85-111 ◽  
Author(s):  
Stephen Gilmore ◽  
Fumio Hayashi
Keyword(s):  
Transaction Costs ◽  
Foreign Exchange ◽  
Foreign Exchange Market ◽  
Emerging Market ◽  
Exchange Market ◽  
Excess Returns ◽  
Forward Premium ◽  
The Us ◽  
Us Dollar ◽  
Portfolio Return

We consider the excess return from 20 internationally tradable emerging market (EM) currencies against the US dollar. It has two contributions. First, we document stylized facts about EM currencies. EM currencies have provided significant equity-like excess returns against major currencies, but with low volatility. Picking EM currencies with a relatively high forward premium raises the portfolio return substantially. Second, our calculation incorporates institutional features of the foreign exchange market, such as lags in settling spot contracts, FX swaps, and bid/offer spreads. Transaction costs arising from bid/offer spreads are less than one-fifth of what is typically presumed in the literature. (JEL C58, F31, G15)

Functioning of foreign exchange markets in modern conditions

2020 ◽  
pp. 55-70
Author(s):  
Yu. Kravchenko
Keyword(s):  
Foreign Exchange ◽  
Economic Activity ◽  
Foreign Exchange Market ◽  
Exchange Market ◽  
Economic Relations ◽  
Slowing Down ◽  
World Economic ◽  
Exchange Markets ◽  
Trading Volumes ◽  
Foreign Exchange Trading

In the article the author considers the dynamics of average daily foreign exchange market turnover. It is revealed that the evolution of foreign exchange trading volumes continues to be dominated mostly by fi nancial institutions’ motives as opposed to needs arising directly from real economic activity. Geographical distribution and structure of average daily foreign exchange market turnover by foreign exchange instrument, counterparty, currency, currency pairs, location of transactions are analyzed. At end of the article, the author concludes that the process of internationalization of world economic relations is slowing down.

INDIVIDUAL FOREIGN EXCHANGE INVESTORS, RETURN PREDICTABILITY AND MARKET TIMING

2017 ◽  
Vol 12 (01) ◽  
pp. 1750001 ◽  
Author(s):  
MOUSTAFA ABUELFADL
Keyword(s):  
Transaction Costs ◽  
Empirical Evidence ◽  
Foreign Exchange ◽  
Private Information ◽  
Foreign Exchange Market ◽  
Linear Independence ◽  
Market Timing ◽  
Return Predictability ◽  
Exchange Market

This study tests whether individual foreign exchange (Forex) investors can predict future returns, time the market and generate alpha after transaction costs. Using a sample of 1,231 Forex trading accounts and 72,072 trades, the results show that individual Forex investors can predict future returns up to eight days after trade execution, even after controlling for Volatility. The results of return predictability are significant because they support the idea that linear independence is rejected as well as provide empirical evidence that private information is available in the foreign exchange market.

A Study On Technical Analysis With Reference To International Forex

Think India ◽  
2019 ◽  
Vol 22 (3) ◽  
pp. 1129-1144
Author(s):  
Bichith C. Sekhar ◽  
A. Umamaheswari
Keyword(s):  
Foreign Exchange ◽  
Abnormal Return ◽  
Foreign Exchange Market ◽  
Relative Strength ◽  
Exchange Market ◽  
Strength Index ◽  
Technical Tool ◽  
Alpha Beta ◽  
Decentralized Market ◽  
Currency Conversion

The foreign exchange market (Forex, FX, or currency market) is a global decentralized market for the trading of currencies. The foreign exchange market assists international trade and investments by enabling currency conversion. Our study is to test the technical tools to analyze about the technical impact and its return in the market.  For this purpose 13 cross currency pairs were taken as sample size and Jensen’s Alpha, Beta, Relative Strength Index, and Buy and Hold Abnormal Return were used as technical tool for analysis and the conclusion is that it’s not preferred to invest in JPY pairs as the volatility and the return are not up to the mark and its preferred to invest in EURCAD as the return was high when compared to other scripts and the market was moving accordingly to its cross currency pair.

Chartists, Fundamentalists, and Dispersion in the Foreign Exchange Market

2009 ◽  
Author(s):  
Ron Jongen ◽  
Christian C. P. Wolff ◽  
Remco C. J. Zwinkels ◽  
Willem F. C. Verschoor
Keyword(s):  
Foreign Exchange ◽  
Foreign Exchange Market ◽  
Exchange Market
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