On this week’s podcast P&L’s managing editor Colin Lambert is joined by Martin Pluves, CEO of the FICC Markets Standards Board (FMSB) for a broad ranging discussion around the evolution and use of technology in the trading business.

The two discuss the governance of algorithmic execution processes, following a recent discussion paper and white paper published by FMSB ahead of its next Statement of Good Practice on the subject. Pluves stresses the importance of the right processes, controls and hierarchy in an algo business, while Lambert ponders on whether there be a “fit and proper person” test for those using them, especially at third parties.

Pluves then outlines work being conducted by FMSB on standards for large trades in FICC markets, before Lambert asks him about the behavioural analysis conducted by the board last year, noting that a lot of the industry’s recent problems have been driven by its inability to keep up with technological innovation. Pluves observes that the modus operandi in most misconduct cases can be traced back (literally) centuries and reveals details of further work planned by FMSB in this field in the coming months.