Hedge funds control billions of dollars and could borrow even more. As we already know, 70-90% of transactions on FX market have a speculative nature. So since 1996, hedge funds are the greatest part of these transactions after banks. They even can struggle with Central Banks intervention at predetermined circumstances. Investment management firms, such as pension funds, mutual funds and endowments, who usually manage large accounts on behalf of their clients, use the FX market to facilitate transactions in foreign securities. For example, if some mutual fund that is domiciled in US intends to purchase stocks of some Japanese company, it needs to convert a sufficient amount of USD into JPY to accomplish this purchase. During recent times, such investment management firms started to hire FX specialists that control their currency exposure depending on expectations of future currencies rates change. For example, some fund has 10% in cash and anticipates EUR/USD rate growth in nearest time, so they could exchange USD cash into EUR to get some appreciation of their value assets in USD. Retail foreign exchange brokers are the companies, who mostly deal with individuals, private investors or small commercial companies. They are, in fact, rivals to banks who provide the same services. Sometimes FX retail brokers are confused with market makers, but they are not the same. An FX broker acts on the FX market as an agent of a customer by seeking the best price in the market for a retail order and dealing on behalf of this customer. They charge a fee/commission in addition to the price obtained in the market.