FX Family ValuesQ: So back in ’89 or ’90, when you were trading it, you were
mostly doing it by shifting around money between your bank ac-
counts and not trading electronically, right?
A: Yes, it was very simple. It was something where at any given
moment I could say that I wanted to hold a certain amount in,
let’s say, the Spanish currency, the French, or, you know, if the
timing was right, the Japanese currency. At the time there was no
leverage, it was just a matter of exchanging one currency for the
other in the bank account.
Q: What kind of returns were you looking for at the time?
A: I never had any set goals at the time because I was in it for
the long haul and simply because the Forex market interested me.
Q: What were the spreads like when you were doing that?
A: At the time it was about 18 to 22 pips. The Japanese yen was
the least expensive to trade at the time. The Deutsche mark and
the British pound were a lot more.
Q: When did you start trading electronically?
A: I started trading electronically about eight years ago, but not
on my own computer. I had a bank that had a direct-order line. So
I’d call in my orders and they would trade for me. I did not trade
electronically for myself until two years ago.
Q: So how do decide what currencies to get into?
A: I look at the context of the general economy, political events,
geopolitical risks and things of that nature.