One by one, dealers embrace standardised FX reject codes

Dealers are slowly adopting standard practices around codes that inform foreign exchange counterparties of the reasoning behind trade request rejections – so-called reject codes – which help them understand why a trade request has been unsuccessful.

A number of liquidity providers (LPs) – including JP Morgan, State Street and UBS – are starting to use a set of these reject codes proposed by the Investment Association to better inform counterparties about the reasons behind unsuccessful trading