Trade Capital UK turns profit in 2022 as revenue triples
London-headquartered Trade Capital UK (TCUK) Ltd has reported its final year-end results for the 12-month period ending December 31, 2022. The group had continued its momentum heading into year’s end, reporting a strong year-over-year jump in key measures, which included revenues, profits, and client growth.
For the twelve months through December, Trade Capital reported its revenues at £759,240, which reflected a sizable jump of more than 200 percent year-over-year from £240,009 in the year prior. Gross profit was also a large mover in 2022, climbing to £508,806 from just £219,7559 a year ago.
In terms of its bottom-line metrics, the owner of TRADE.com brand said its operations yielded £71,861 in net profit, up from a loss of £71,861 in 2022.
According to the Companies House filing, the company’s operations were in the early stages following authorization granted by the Financial Conduct Authority (FCA) during 2020/21. The filing further stated that while the 2022 revenues experienced a significant increase of 216%, and net profit saw a remarkable 295% growth compared to the net loss in 2021, more comprehensive comparative figures and performance metrics will be available in subsequent years.
Earlier in December, TRADE.com’s North America arm obtained a license from the Financial Industry Regulatory Authority (FINRA) to offer broker-dealer services in the United States. This regulatory approval allows Trade Capital Markets North America LLC to operate as a registered broker-dealer and provide its services to clients in the U.S. market.
The prospect of loosening regulations began to revive interest in the US stagnant market among foreign brokers. In 2022, Trading.com Markets (formerly Trading Point US Inc) has officially launched its FX platform in the US, nearly two years after it was approved as Forex Dealer Member of the United States National Futures Association (NFA).
In 2019, London-based IG Group officially launched its United States subsidiary, IG US, which was the first broker to enter the US market since 2009.
The new entrants could help brighten the outlook for a retail industry that has struggled for quite some time under the provisions of the Dodd-Frank legislation. However, the exact timeline for revised rules is unclear, but it would likely take several months at the earliest, given the scale of the reform the regulators will be implementing.
