Trading.com triples client deposits, OANDA sees $8 million drop

abdelaziz Fathi

The Commodity Futures Trading Commission (CFTC) has published its anticipated monthly report for June 2022, 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 total assets belong to the U.S. retail forex traders grew only slightly in June, limited by the overall static performance seen throughout 2022. With no major changes recently noted and six reported months remaining in the year, the sector was tracking for a stable finish to the first half. Yet, forex products are still a tough sale in the United States, despite the obvious benefits that a highly regulated environment can offer to traders.

That should come as no surprise, though the prospect of lighter regulations may soon revive interest in the US market among foreign brokers, or at least help brighten the outlook for a retail industry that has struggled for quite some time under the provisions of the Dodd-Frank legislation.

Retail forex deposits in the US have been largely skewed positively during June. The FX funds held at registered brokerages operating in the United States came in at $510 million in June 2022, which is $1.1 million more than the ‎$509 million reported in May.

According to the CFTC dataset, four FX firms notched increases in Retail Forex Obligations including Charles Schwab, Interactive Brokers, IG US and Trading.com Markets. The best performer for the month was IG US which saw an overall rise of $3.7 million to $6 million at the end of June 2022, or an increase by 14 percent month-over-month.

The newest comer to the US FX industry, Trading.com Markets, continues to take a bigger chunk of the overall retail funds, but at a very limited scale. The broker has boosted its customer deposits to $540,000 in June, up 232 percent from $162,000 a month earlier.

Other highlights from the CFTC’s monthly report shows that Interactive Brokers LLC (NASDAQ:IBKR) has racked up $836,000 in additional deposits. This stood at $26.3 million in June 2020.

Meanwhile, GAIN Capital’s clients’ funds were down $2.36, or one percent, from a month earlier. Further, retail deposits at OANDA Corporation dropped $8 million in June 2022.

Looking at the market share of different brokers, the overall distribution saw a slight change in June relative to the month prior. GAIN Capital lost 1 percent but remained the leader in terms of market share, commanding a 37.0 percent share. OANDA also solidified its stance as the second largest in the US with 33.0 percent market share – Charles Schwab and IG US retain a 14.0 and 10.0 percent share respectively.

The chart listed below outlines the full list of all FCMs that held Retail Forex Obligations in the month ending on June 30, 2022 – for purposes of comparison, the figures have been included against their May 2022 counterparts to illustrate disparities.

Read this next

Institutional FX

Tradeweb pulls in $408.7 million in Q1 revenue amid record trading volumes

Tradeweb Markets Inc. (NASDAQ: TW) has just announced its financial results for the first quarter of 2024, which showed a robust performance for the three months through March.

Institutional FX

BGC Group valued at $667 million following investment by major banks

BGC Group announced that its exchange platform, FMX Futures, is now valued at $667 million after receiving investments from a notable consortium of financial institutions.

blockdag

Transforming a Bankrupt Investor into a Cryptocurrency Giant; Can BlockDAG Replicate Ethereum’s Meteoric Rise With 30,000x Predictions?

The realm of cryptocurrency investing presents a thrilling blend of challenges and opportunities. The legendary gains by early Ethereum investors serve as a powerful lure for those seeking the next major breakthrough.

Digital Assets

SEC delays decision on spot bitcoin options ETFs

The U.S. Securities and Exchange Commission (SEC) has postponed its decision on whether to authorize options trading on spot bitcoin ETFs, extending the review period by an additional 45 days. The new deadline for the SEC’s decision is now set for May 29, 2024.

Market News, Tech and Fundamental, Technical Analysis

Solana Technical Analysis Report 25 April, 2024

Solana cryptocurrency can be expected to fall further toward the next support level 130.00, target price for the completion of the active impulse wave (i).

Digital Assets

Morgan Stanley to sell bitcoin ETFs to clients

Morgan Stanley may soon allow its 15,000 brokers to recommend bitcoin ETFs to their clients, as reported by AdvisorHub.

Digital Assets

Masa Announces Comprehensive AI Developer Ecosystem with 13 Dynamic Partners Focused on Leveraging Decentralized Data and Large Language Models

In a groundbreaking development, Masa, the global leader in decentralized AI and Large Language Models (LLMs), proudly announces the launch of its AI Developer Ecosystem, partnering with 13 visionary projects.

Financewire

Kinesis Mint becomes the official partner for the House of Mandela

Kinesis Mint, the certified independent precious metals mint and refinery of Kinesis, the monetary system backed by 1:1 allocated gold and silver, has been appointed the exclusive coin producer for the House of Mandela.

Chainwire

Kadena Announces Annelise Osborne as Chief Business Officer

Kadena, the only scalable Layer-1 Proof-of-Work blockchain, expands its leadership team by onboarding Annelise Osborne as Kadena’s new Chief Business Officer (CBO).

<