GREENWICH, Conn. (HedgeWorld.com)–According to research done by Greenwich Associates, one quarter of the world’s corporate and financial institutions are trading foreign exchange instruments online.
Greenwich conducted interviews at the end of 2002 with treasurers, assistant treasurers and other financial professionals at more than 2,700 corporate and financial institutions that each trade US$250 million or more annually.
Volume in 2002 increased to 32% of the total trading volume from 26% the year before. Greenwich officials estimate that it will grow to 40% by 2003.
Researchers discovered that online forex trading is most prevalent in the United States, where 40% of institutions trade electronically, up from 27% in 2001. Strong growth also has occurred in continental Europe and Australia/New Zealand, where around 30% of institutions are trading online.