Saxo Bank heralds disruptive approach as 25th anniversary looms, Banking as a Service bears massive fruit

As Saxo Bank approaches its 25th anniversary, CEO Kim Fournais looks at the firm’s technology led stance, majoring on ‘Banking as a Service’ and commitment to disruptive technology in the financial sector

A revolutionary approach to the operational aspects of the banking sector is not something that often makes its presence felt, and when it does, is often the preserve of recent start-ups with aspirations of creating a very quick marketing-orientated noise and thus either remaining fringe entities or looking for a quick exit before their young and aspiring creators move on to something else.

For this reason, the highly advanced interbank and institutional FX sector has remained dominant in its accepted and standardized format.

That is, except for one particular company which is approaching its twenty-fifth year in business, and whose technologically disruptive approach has been the incubator for many revolutionary aspects of its business.

Today, during the same week that the company has finalized its calculation of its revenues and commercial metrics for the first half of this year, CEO Kim Fournais heralds the firm’s approach which has led to it offering a ‘Banking as a Service’ (BaaS) solution, thus aligning its financial sector product range with software as a service in the high technology sector.

In a commercial statement today, Mr Fournais explained: “The results for the first six months of 2017 are testament to our efforts to continue to invest and continuously improve our client experience and technology. In September, we will celebrate Saxo Bank’s first 25 years in business and our journey from being an early online trading pioneer to becoming the leading facilitator of global capital market access where Saxo delivers “Banking as a Service (BaaS).”

“Saxo was a fintech long before the term was created and still to this day, we remain focused on constantly advancing our technology to ensure we are at the forefront of client focused digitisation of the financial services industry” he said.

The company has managed to grow its capital base substantially, a matter that has been instrumental to its position as a genuine prime of prime brokerage during times at which banks are looking closely at counterparty credit agreements with OTC liquidity takers.

This has manifested itself in a declared net profit of DKK 229 million for the first six months of 2017, an increase of 45 per cent compared to the first half of 2016, and in the rise in clients’ collateral deposits to a record high of DKK 98.3 billion and despite low volatility the operating income for the group reached DKK 1.56 billion compared to DKK 1.46 billion in 2016.

Image: Saxo Bank explains technologically disruptive approach to FinanceFeeds in Hong Kong, February 2016

Read this next

Institutional FX

Broadridge helps SLIB to enhance cross-border proxy voting in France

“Together with our partners at SLIB, we have delivered an advanced voting and communications solution that makes it easier than ever for all investors, both those in France and in other markets, to seamlessly cast their votes in the companies they own.”

Digital Assets

FTX resumes salary payments to employees and contractors, except in Bahamas and Australia

“FTX also is making cash payments to selected non-U.S. vendors and service providers where necessary to preserve business operations, subject to the limits approved by the Bankruptcy Court. We recognize the hardship imposed by the temporary interruption in these payments and thank all of our valuable employees and partners for their support.”

Market News

Rishi Sunak’s reign in real data

After several weeks of Rishi Sunak’s appointment as the new Prime Minister, it is obvious that he has claimed quite the public support.

Digital Assets

CrossTower acquires BEQUANT to help crypto industry reset and consolidate

“We are stabilizing an industry with incredible promise; regaining trust; and rebuilding the future of finance.”

Retail FX

Plum launches crypto offering for EU residents

Plum has added crypto investing to its range of investment options in France, Belgium, Spain, and Ireland. Residents there will be able to buy and sell cryptocurrencies in their app with just a few taps, via services provided by Bitpanda.

Retail FX

FX/CFD and Crypto broker Quantfury launches fractional trading of stocks, ETFs, commodities

“Quantfury is advancing its unmatched trading and investing conditions further by making it even more affordable to Quantfurians out there. Fractional trading mode opens up more trading opportunities to the Quantfury global audience of more than 400,000 Quantfurians.”

Industry News

SEC awards $20 million to whistleblower despite degree of culpability and reporting delay

The Securities and Exchange Commission has awarded a whistleblower with $20 million for providing new and critical information that led to the success of an enforcement action.

Institutional FX

Tradesmarter’s white label WOW TRADER integrates with TradingView

Tradesmarter’s white label trading platform solution WOW TRADER has integrated with TradingView, the high performance and mobile friendly charting tool.

Industry News

ASIC loses fee overcharging case against Commonwealth Bank of Australia

“ASIC pursued this case because we believed CBA did not have robust compliance systems to ensure customers were being correctly charged. ASIC will carefully consider the judgment and continue to work to ensure large financial institutions charge fees correctly and put their customers first.”

<