Singapore Displaces Japan as FX Market Tops $5tn Daily

The numbers represent a massive increase from the last BIS triennial assessment in April 2010, which placed turnover at $4 trillion. In addition to the marked growth, Singapore displaced Tokyo as Asia's largest center for FX trading for the first time. Meanwhile, the UK consolidated its hold as the world's leading center, with around 41 percent of volume, an increase from 37 percent in the last survey. EUR/USD remained the strongest pair, but fell from its previous share by nearly four points to 24 percent.

In terms of execution methods, BIS says that 55 percent of FX transactions are now conducted electronically, with voice broking comprising 19 percent, and trades executed directly by telephone at 26 percent. Voice is still the primary method of transaction in emerging economies, while markets with established and developed infrastructures tend towards electronic trading.

This story was originally reported by Waters' sibling publication, FXWeek.