Minutes of the London FXJSC Main Committee Meeting – 27 November 2025

Minutes

Item 1: Welcome and Apologies

Andrea Rosen (Chair, Bank of England) welcomed David Adams (Morgan Stanley) and Oliver Brennan (BNP Paribas) as guest presenters.

Ms Rosen flagged that Raj Venkataramani (Goldman Sachs) had stepped down from the Committee and thanked Mr Venkataramani for his valuable contributions.

Ms Rosen noted apologies from Paul Houston (CME), Richard Bibbey (HSBC) and Sophie Rutherford (State Street).

Item 2: September Meeting Minutes

The minutes of the 25 September 2025 were approved.

Item 3: Market Update

Mani Natarajan and David Adams (Morgan Stanley) presented an update on FX market developments.

Mr Natarajan provided an overview of FX market trends, noting that the April 2025 related volatility had largely subsided. Mr Natarajan also noted that the pace of FX market normalisation following the April 2025 volatility had been faster than that seen post the Covid-19 pandemic and 2022 policy rate hiking cycle.

Mr Adams described the market outlook for 2026 as being broadly positive for risky assets but noted that significant market uncertainty and tail risks remained. Mr Adams presented a range of possible outcomes for major currencies and observed that US dollar performance remained sensitive to changes in real interest rates and equity markets.

The Committee discussed how global fiscal and monetary policy could further influence the outlook for FX markets in 2026. The Committee also reflected on the resilience of the FX market in 2025, noting that it had continued to function in an orderly manner despite periods of volatility.

Item 4: BIS Triennial FX Turnover Survey Preliminary Results

Muna Lisimba (Bank of England) presented the key preliminary findings of the April 2025 BIS Triennial FX Turnover Survey. Mr Lisimba reported that global FX turnover had reached a record high of $9.6 trillion, with growth primarily driven by increased activity in FX spot, forwards and options. Mr Lisimba noted that the US dollar had remained the dominant currency, featuring in the majority of FX transactions, with USD/EUR, USD/JPY and USD/GBP the most actively traded currency pairs globally.

Item 5: The Growth of the FX Options Market

Neehal Shah and Oliver Brennan (BNP Paribas) presented an update on developments in the FX options market.

Mr Brennan reported that the FX options market had roughly doubled in size since 2010. Mr Brennan noted that EUR/USD FX options continued to hold the largest share of the market and also highlighted a significant increase in USD/CNY options over the past decade. Mr Brennan also discussed changes in FX options market structure, including increased exchange-traded volumes and electronification.

Mr Shah discussed investor’s trading behaviour in FX options, noting evidence of herding behaviour with activity primarily event driven throughout the year. The Committee discussed FX options pricing models and the potential scope for greater efficiency in pricing.

Item 6: GFXC Update

Natalie Lovell (Bank of England) provided an update on the work of the Global Foreign Exchange Committee (GFXC).

Ms Lovell highlighted the upcoming December GFXC meeting, which would include a discussion on a FX Settlement Risk Working Group Report looking at the UK, EU, Switzerland and Liechtenstein move to T+1 securities settlement and its potential impact on the FX market (Report on FX Market Preparedness for the UK, EU, Switzerland & Liechtenstein Move to T+1 Securities Settlement). Ms Lovell informed the Committee that IOSCO would also present its final pre-hedging guidance which was published on 3 November 2025.

Ms Lovell noted that the Financial Conduct Authority (FCA) had recently re-recognised the updated FX Global Code.

Item 7: FXJSC Sub-committee Updates

Sharon Blackman (Chair of the Legal Sub-Committee) and James Kaye (Chair of the Operations Sub-Committee) provided an update following the joint FXJSC Legal and Operations Sub-Committee meeting held on 24 November 2025.

Ms Blackman reported that ISDA was halfway through its four-year review of its 1998 FX and Currency Option Definitions, co-published with EMTA (Trade association for the emerging markets). Key areas of focus for the review included amending and adding new definitions around disruption events and fallbacks for deliverable and non-deliverable currencies, and clarification of the Calculation Agent role. Ms Blackman noted that the ISDA review would be concluded in late 2025 with implementation expected in 2027.

Mr Kaye provided an update on SWIFT’s migration of cross-border payments from the old Message Type (MT) formats to the structured ISO 20022 MX messages which had taken place on 22 November 2025.

Item 8: Regular Updates

Alan Barnes (Financial Conduct Authority) noted that the final IOSCO pre-hedging guidelines were intended to align with existing market standards but would welcome feedback on the guidelines from Committee members.

Mr Barnes also highlighted an ongoing consultation on the UK’s Markets in Financial Instruments Regulation (MiFIR) transaction reporting regime. The consultation would remain open until 20 February 2026.

Item 9: 2026 FXJSC Forward Agenda and AOB

Andrea Rosen (Chair, Bank of England) presented the proposed FXJSC 2026 agenda and asked that feedback be sent to the FXJSC Secretariat.

Ms Rosen thanked members for their contributions to the meeting and for their valuable input to the FXJSC throughout 2025.

Attendees

Alan Barnes – Financial Conduct Authority

Andrea Rosen – Bank of England (Chair)

Galina Dimitrova – The Investment Association

James Kaye – HSBC (Chair, FXJSC Operations Sub-committee)

James Kemp – Financial Markets Standards Board

Jatin Vara – BlackRock

Jeremy Smart – XTX Markets

Kate Hill – Aviva Investors

Lisa Dukes – Corporate Representative, Association of Corporate Treasurers

Mani Natarajan – Morgan Stanley

Marc Bayle de Jesse – CLS

Mimi Rushton – Barclays

Neehal Shah – BNP Paribas

Nina Moylett – M&G

Philippe Lintern – Bank of England

Sally Francis-Cole – London Stock Exchange Group

Sarah Boyce – Association of Corporate Treasurers

Sharon Blackman – Citigroup (Chair, FXJSC Legal Sub-committee)

Simon Manwaring – NatWest Markets

Stephen Jefferies – JP Morgan

FXJSC Secretariat

Muna Lisimba – Bank of England

Natalie Lovell – Bank of England

Sakshi Gupta – Bank of England

Shiv Khetia – Bank of England

Guest attendees

David Adams – Morgan Stanley

Oliver Brennan – BNP Paribas

Apologies

Paul Houston - CME

Richard Bibbey – HSBC

Sophie Rutherford – State Street