Yesterday I have published the first part of the biggest FX brokers December’s volumes in retail and institutional market. We looked at the results that CME Group, Saxo Bank, Thomson Reuters, etc. generated in the last month and throughout the year.
In todya’s part of the article we will x-ray lastly-mentioned Gain Capital, ICAP, Monex, FXCM and KCG Hotspot. So, really much by way of introduction – lest start:
MONEX Group
Summary of MONEX Group December’s volumes was published in the second half of the January. It shows a significant rebound in comparison to the previous month – both in terms of trading activity and performance.
It is worth noting that OTC average daily volumes peaked 1,35 billion dollars (27,12% MoM increase). Although this value is much better in comparison to the annual lows listed in October it is still far from the Q1 2013 results.
Active FX accounts managed by MONEX Group reached 884,000 – increasing by 0,37% MoM (881,000). We should note here that the number was increasing each successive month of 2013 years by an average of 5,95% (almost 50 thousand account more per month). In addition, the number of active and profitable accounts reached annual peak of 47 thousands in December.
2012 was an active year for the MONEX Group. Organizational and management restructuring at the executive level delivered expected results. These approaches require the creation of new divisions in order to match the latest industry requirements.
Speaking of MONEX it is also worth mentioning the TradeStation Group – operating as America’s MONEX subsidiary. December in TradeStation brought declines and the worst results in 2013, indicating a decline below the 15 billion dollars level. Continuous decline in trade in non-Japanese markets ins noticeable from Q1 2013. While the volumes of non-Japanese markets in January 2012 were at the level of 50 billion dollars, in December their recorded a contraction of almost 66% of market activity.
GAIN Capital
GAIN Capital Group, which associates online retail broker named forex.com and Gain GTX offering services for institutional clients published its monthly and yearly statement in 10th December. In the report we can read, that group noted high YoY increases. Of course it does not change the fact that comparing with November the results were almost 10% worse.
Active accounts amount decreased by 3,7% (to 99 thousands) – but this is fully explainable. Festive and New Year’s season always affects the financial markets volatility.
As for the retail OTC volumes, their reached 153 billion USD (8,8% less MoM0. ADV for these volumes amounted to 7,3 billion dollars (also 8,8% less month-over-month) – however, the YoY figures were 64% better.
As for the volumes arising from institutional clients trades, they reached 384 billion dollars (10,3% MoM decrease and 97,7 YoY increase). Institutional segment could count on a lot of interest – it can be seen due to volumes achieved by other brokers.
The mixed volumes of retail and institutional FX market summed to 537,9 billion dollars. The report also find official confirmation of anticipated changes in the group management – Mark Galant is leaving his chair.
FXCM
One of the leading dealer-brokers in the FX market presented its December’s report of monthly trading reports almost as one of the last. But in contrast to Thomson Reuters company do not have any reasons to feel ashamed – the yearly indicators definitely gone up. Maybe MoM figures show gentle slowdown, but we have to remember that December always is a quite month.
Dynamic increase was noted in the case of institutional trading – annual volumes rocketed up by 70%! Clearly, the strategy of strengthening the scope of activities through strategic mergers and acquisitions finally repaid. Among the many purchases made by FXCM, the acquisitions of Lucid Markets and Faros Trading are worth mentioning.
For many traders and experts so favorable results reported by FXCM where a big surprise. Especially since the biggest interbank market players such as Reuters and ECB recorded a significant slowdown and performance decline. It should be noted however, that the intermediate institutional sector in which companies like FXCM operates, recently become very well developed. One of the main FXCM rival – Gain Capital – also noted significant increases in the field of corporate clients.
In terms of retail market, monthly trading volumes reached 272 billion dollars (12% Mom decrease and 6% YoY increase). ADV fluctuated around 13,6 billion dollars (7% MoM decrease and 1% YoY increase). Although, the market slowdown can be seen in daily retail transactions – 370 thousands give us worse year-over-year and month-over-month results.
ICAP
ICAM December report was published just a few hours after the CME Group. ADV exceeded 664 billion dollars (1% Mom decrease, 4% YoY increase) – results from the US, Europe market and spot trading are included.
As for the Spot FX volumes they recorded a significant decline – 23% month-over-month decrease. Volumes placed below the twelve-month average set at 105 billion level.
The Group provides services and matches buyers and sellers in the markets in terms of interest rates, credits, commodities, FX and emerging market though electronic and voice networks. As we can see the company operates in very diverse business environment – the totaal volume achieved by ICAP can be counted in trillions of dollars.
While Forex trading represents just small part of the group’s whole activity, it is a very important segment. In recent months, the FX volumes were under high pressure. However, there were few changes introduced to improve the current situation. This refers to the introduction of new trading platform and tools.
KCG Hotspot
For the end i left myself one of the biggest laggards this month – KCG Hotspot. Market maker and interest rates operator on the interbank market and FX platforms shared its result in 20th January.
In terms of the Forex market, ADV reached 27,6 billion dollars (6,8% month-over-month decrease). On the other hand, with regard to the YoY results, the company saw an 40,8% increase. Although KCG Hotspot was not able to escape from the significant market slowdown. December 2013 turned out to be the worst KCG Hotspot month in terms of results. But for the company’s representatives the most important is the fact that ADV remains above 25 billion USD level since January 2013. This reflects customer commitment to the platform and stable activity.
If in yesterday’s and today’s articles any broker lacked and you wanted to read about it, just say it in the comment! Certainly, I will try to make up for the missing information. Stay tuned!
