Trading.com joins a handful of retail FX brokers in the US
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). And, to celebrate the launch, the company is offering a $30 welcome bonus to new account signups.
The US arm of forex brand XM will provide retail foreign exchange services to US traders amid a tough regulatory environment that has squeezed other providers out of that market. Trading.com first applied for a forex broker license in the US back in January 2019.
For Pambos Panayiotou, CEO of Trading.com Markets Inc., comments: “From the many conversations we’ve had with retail traders in the US, we identified a gap between what many traditional forex dealers provide, and what clients really require. In many cases, customers felt let down by needlessly complex processes, pricing structures, and an overall lack of clarity when it came to important information. At Trading.com, we’re doing things differently. From our products and services, to our messaging, we’re introducing simplicity to an industry in need of it.”
A fairly stagnant and underserved market
The prospect of loosening regulations began to revive interest in the US stagnant market among foreign brokers. 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.
IG US has been taking market share away from traditional big players, but the US subsidiary of Europe’s biggest spread better still has a long way to challenge the likes of GAIN Capital and Oanda, which command more than 70 percent of the US retail market.
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.
Elaborating on their offering to the US market, Trading.com said: “Right now, eligible users across the United States can register for a T1 account, which provides an all-in-one forex trading experience. Customers can enjoy access to news and expert research, a learning center, and advanced trading tools, all in one place, with the Trading.com WebTrader or App. Additionally, the MetaTrader 5 trading platform, successor to the popular MetaTrader 4, featuring additional features and improvements, is also available.”