FOREX Market Participants The foreX market is a two-tiered market Interbank Market (Wholesale) o about 700 banks world wide stand ready to make a market in Foreign exchange o Nonbank dealers account for about 20% of the market e There are fx brokers who match buy and sell orders but do not carry inventory and FX specialists Client Market (Retail o Market participants include international banks, their customers non bank dealers foreX brokers. and central banks McGraw-Hilylrwoin 4-6 Copyright@ 2001 by The McGraw-Hill Companies, Inc. All rightsMcGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved. 4-6 FOREX Market Participants ⚫ The FOREX market is a two-tiered market: ◼ Interbank Market (Wholesale) ◆About 700 banks worldwide stand ready to make a market in Foreign exchange. ◆Nonbank dealers account for about 20% of the market. ◆There are FX brokers who match buy and sell orders but do not carry inventory and FX specialists. ◼ Client Market (Retail) ⚫ Market participants include international banks, their customers, nonbank dealers, FOREX brokers, and central banks