It’s an enormous gamble for the trading giant to take on the world of Forex, but with an asset backing of $5 trillion, Vanguard is ready to make the move and disrupt the way we trade forex. One of the major components that will see Vanguard jump ahead of the pack when it comes to popularity, is the move to disintermediation. Investors no longer want to deal with intermediaries to tackle their investment needs, they want to have the opportunity to create strategies on their own. This means the couch or a spot at the dining room table becomes the new dealing room for those who decide to take up their trading journey with Vanguard.
Big Banks Will Feel The Biggest Pinch
Vanguard is one of the most trusted platforms when it comes to share trading, and has the reviews, awards, and accolades to prove it. For big banks, a platform that doesn’t already carry the stigmatized face of the banking sector can disrupt client loyalty as this highly lucrative product lures away investors. Forex is a gamechanger and around $6 trillion passes through dealing rooms across the world every day. The plans for a new forex trading platform also sparks up fear among Vanguards non-banking competitors. For investors, one of the biggest reasons Vanguard is a welcome new player to the Forex game is thanks to the low spreads and commissions they’re used to in share trading, which will hopefully spill over into the dealing room as well.
Blockchain At The Heart Of Vanguard’s Forex Strategy
Perhaps one of the most exciting things to hit the Forex sphere is blockchain technology. The incorruptible nature of this technology alone is enough to give investors that piece of mind that their forex trading relies purely on market shift and changes, and not the manipulation of forex trading platforms. For players such as Deutsche Bank, JP Morgan & Chase, and HSBC, the prospect of blockchain in forex will force them to shape their forex strategies to align with those on the blockchain. This will mean that their ability to influence trades will reduce and that forex trading will take place as it always should have. According to https://www.connectfx.org, it’s important to compare trading platforms across a number of categories and when you’re up against big banks, it’s important that you achieve near-perfection with the products on your list. Blockchain is tough to beat, and while Vanguard isn’t alone in this technology, they are certainly one of the biggest trading platforms out there.
Testing Has Already Started
Players in the forex trading game who thought that they had enough time to formulate a forex strategy before Vanguard releases the forex platform will be sorely disappointed. The peer-to-peer testing for forex trading has already started and is powered by none other than tech giant Symbiont. Asset managers will need to diversify their skills in order to remain relevant, as this technology is designed to disrupt, and the currency market is on its radar right now.
With blockchain-powered forex platforms and an impeccable asset backing, Vanguard is the forex platform to watch while asset managers and big banks straighten their ruffled feathers.