Electronic Trading Replacing Foreign Exchange Traders

From Bloomberg, "FX Traders Facing Extinction as Computers Replace Humans" by Ambereen Choudhury and Julia Verlaine:

Electronic dealing, which accounted for 66 percent of all currency transactions in 2013 and 20 percent in 2001, will increase to 76 percent within five years, according to Aite Group LLC, a Boston-based consulting firm that reviewed Bank for International Settlements data. About 81 percent of spot trading -- the buying and selling of currency for immediate delivery -- will be electronic by 2018, Aite said.

"Foreign-exchange traders are much like stock floor traders: a rapidly dying breed," said Charles Geisst, author of "Wall Street: A History" and a finance professor at Manhattan College in Riverdale, New York. "Once the banks realize they are costing them money, the positions will dwindle quickly."***"The old model is going away," said John Taylor, founder of New York-based FX Concepts LLC, once the world’s biggest currency hedge fund before it went bankrupt last year. "But it’s better to say the old model has gone away several times. This is just the latest of those times."