Non-bank foreign exchange companies

The emergence of internet and wireless technology has reduced capital costs where today, they are a fraction of what they used to be. This has led to the commoditization of foreign exchange services allowing non-bank foreign exchange companies to compete. Growth in this area has been tremendous with transactions from 2010 to 2013 increasing 48% with non-dealer financial counterparties to $2.8 trillion per day (http://www.bis.org/speeches/sp140331.htm). Companies in this space generally exchange larger volumes than money transfer companies while providing a higher value service. One such company is Knightsbridge FX which provides daily FX updates and exchange rates on transactions exceeding $5,000. Other transactions making up non-dealer financial counterparties include companies, governments, high net worth individuals, and financial institutions exchanging for operations.