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Slumping revenue masks FX’s rising profile in fixed income

FX has been quietly growing in importance to banks' giant fixed income trading desks in recent years

Slumping revenue masks FX’s rising profile in fixed income
Photo: Getty Images/iStockPhoto

Foreign exchange has had a rough start this year.

According to research firm Coalition’s index tracking major banks’ trading of G10 member currencies, revenues in the first half of 2017 fell year-on-year by more than a fifth. Yet a broader view reveals a surprising trend within the fixed income, currencies and commodities – or FICC – sales and trading revenue pool: FX has been quietly growing in importance.

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