FX volume down at Saxo Bank but other segments shine in October

abdelaziz Fathi

Danish multi-asset brokerage Saxo Bank has reported its monthly FX metrics for October 2021, which ultimately failed to overtake last month’s flat volumes, showing a renewed decline month-over-month.

The forex bank saw its FX average daily volumes drop to $5.1 billion, down -5 percent month-over-month from $5.4 billion in the month prior. Across a yearly time frame, this figure also failed to best its 2020 equivalent, scoring a -2 percent drop year-over-year from $5.2 billion in October 2020.

In terms of Saxo Bank’s total monthly FX volume, it was reported at $113 billion, which is down -8.1 percent from $123 billion a month ago. Further, this figure corresponds to a yearly decline compared to $114.3 billion in 2020.

In terms of its equities business, Saxo Bank reported higher volumes in this segment after yielding a figure of $7.9 billion in October, up 25 percent from the $6.3 billion reported in September. The ADV figure was also higher by two thirds from $4.7 billion set back a year earlier.

Saxo Bank’s commodities average daily volume rose slightly to $1.5 billion from the $1.4 billion reported in September and was virtually unchanged over a yearly timetable.

During October 2021, Saxo Bank saw its ADV across all asset classes rise to $14.8 billion, up 11 percent month-over-month from $13.3 billion the month prior. Across a yearly timeframe, this figure did manage to best its 2020 equivalent, scoring a 28 percent advance year-over-year from just $11.6 billion in October 2020.

In terms of its total volume, Saxo Bank yielded a figure of $325 billion in October 2021, which actually constitutes a 6.2 percent increase month-over-month from $306.8 billion registered earlier in September 2021. In addition, the latest figure is noticeably higher than the $254 billion in total volume secured in October 2020, which equates to a sizable 28 percent gain year-over-year.

Saxo Bank revealed last month that its crypto products has exceeded $2.5 billion in turnover for the year, leading the Danish online broker to increase position limits and add new crypto products in response to client demand.

The brokerage firm also reported earlier surging half-year revenues as Covid-19 remains a key trigger for customers’ trading activity. The multi-asset group marked mild growth in revenues, which came in at DKK 2.4 billion ($376 million), up 5 percent from DKK 2.3 billion for the same period last year.

Furthermore, Saxo Bank won more clients with total active accounts crossing 790,000 for the first time in the company’s 29-year history. Having onboarded more than 159,000 new accounts in the first half, assets under custody grew to DKK 595 billion as of 30 June 2021.

That was another record-breaking milestone for the Danish broker, which took 25 years to reach the DKK 100 billion mark and then only 4 years to add an additional DKK 500 billion in client assets.

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