Interactive Brokers Loses $6 Million in Retail FX Deposits

abdelaziz Fathi

The Commodity Futures Trading Commission (CFTC) has published its anticipated monthly report for July 2021, which covers data for FCMs that are registered as retail foreign exchange dealers (RFEDs) and those included as broker-dealers that hold retail forex obligations in the United States.

The latest data shows a total negative change month-over-month from June, though differences amongst each broker were more pronounced. With no major changes recently, the sector is tracking for a subsided entry into the third quarter.

Overall, the FX funds held at registered brokerages operating in the United States came in at $550 million in July 2021, which is less than the $552 million reported in June.

Four of the five FX firms listed notched increases in their respective retail forex obligations. The best performer was IG US, which saw its clients’ assets grow by $1.16 million, or nearly three percent month-over-month.

The US subsidiary of the London-based spread better continues to take a bigger chunk of the overall retail funds, after racking up $35 million in customer deposits in July 2021. This had widened IG US’ market share to 7 percent as the US fifth-largest holder of retail FX funds.

Meanwhile, GAIN Capital’s client assets rose by $1.3 million, to $208 million, which is up 1 percent over a monthly basis.

The worst performer for the month, and actually the only loser, was Interactive Brokers which saw an overall fall of $6 million to $47 million, compared to $54 million at the end of June, or 12 percent lower month-over-month.

In addition, Nebraska-based TD Ameritrade reported a slight increase over last month’s figure by nearly $172,000 to $61 million at the end of July 2021.

Furthermore, OANDA Corporation saw an overall increase of $2.7 million to $194 million, compared to $191 million in the month prior, reflecting a 1 percent decrease month-over-month.

Looking at the market share of different brokers, distribution showed a marginal change in July relative to the month prior. GAIN Capital remains the paramount player in the US with a 38.0 percent share. OANDA also solidified its stance as the second largest in the US with 35.0 percent market share – TD Ameritrade and Interactive Brokers retain 11.0 and 9.0 percent shares respectively.

The chart listed below outlines the full list of all FCMs that held Retail Forex Obligations in the month ending on July 31, 2021 – for purposes of comparison, the figures have been included against their June counterparts to illustrate disparities.

Read this next

Digital Assets

Ethereum-Based Tokenized Real Estate Platform USP Launches On Republic

How This Californian Startup Is Revolutionizing Real Estate Investment through Ethereum-Based Tokenization.

Digital Assets

Sui Spikes in Weekly DEX Volume, Joins Top 10 of All Blockchains

March DEX volume on Sui stands at over $2.88B – up more than 49% from February – with decentralized exchange Cetus and wholesale liquidity layer DeepBook leading.

Digital Assets

Prisma Finance suffers $10 million crypto exploit, attack ongoing

Liquid staking protocol Prisma Finance fell victim to a security exploit on March 28, resulting in nearly $10 million in Prisma mkUSD and wrapped stETH being stolen by hackers.

Digital Assets

Masa and LayerZero: Bridging Blockchains for Data Sovereignty

Masa Network is poised to revolutionize the personal data landscape with its upcoming launch as a cross-chain platform, making it accessible on a variety of blockchains right from the start.

Digital Assets

Big Time Generates over $100M in Revenue since Preseason

Innovative game developer Big Time Studios announces that its highly anticipated free-to-play multiplayer action/MMO RPG Big Time, has generated $100M in revenue. According to the team, players transacted a total volume of over $230M, without selling a single token.

Digital Assets

Centralized exchanges are 10 times more popular than DEXs in Western Europe

Western European traders are found to prefer centralized exchanges over decentralized ones as CEX traffic outpaces DEXs by a factor of ten.

Market News

Stock Market Analysis: Is NVDA Losing Its Leadership?

Since the beginning of the week, the S&P 500 Index (US500) has seen a modest increase of about 0.58%, whereas NVDA’s share price has experienced a decline of approximately 3.8%. This recent divergence raises concerns among Nvidia stock investors — could it signify a loss of NVDA’s market leadership?

Industry News

ESG: Australian regulator wins first greenwashing court case against Vanguard

Vanguard admitted that a notable portion of the securities within both the Index and the Fund did not undergo the promised ESG scrutiny.

Fintech, Uncategorized

BitMEX integrates HALO from Solidus Labs for cross-market surveillance

“The recent approval of the Spot Bitcoin ETF has piqued the market’s interest. As a result of price volatility, the trading volumes for crypto derivatives have gone up substantially. HALO, with its advanced technology and crypto-native detection architecture, will enable BitMEX to smoothly and safely scale trade surveillance across its increased trading volumes and provide the necessary safeguards for new product launches.”

<