Discriminatory Pricing of Over-the-Counter Derivatives /

New regulatory data reveal extensive price discrimination against non-financial clients in the FX derivatives market. The client at the 90th percentile pays an effective spread of 0.5%, while the bottom quarter incur transaction costs of less than 0.02%. Consistent with models of search frictions in...

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Bibliographic Details
Main Author: Hau, Harald
Other Authors: Hoffmann, Peter, Langfield, Sam, Timmer, Yannick
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 2019.
Series:IMF Working Papers; Working Paper ; No. 2019/100
Online Access:Full text available on IMF