FXCM records an improvement of 21.6% in trading revenue for the fourth quarter of 2016

FXCM or the Global Brokerage, Inc. (NASDAQ:GLBR) as it commonly referred since winding up its US operations in February is reported to have had a trading revenue that amounted to $79.5 million from its continued operation in the 3rd quarter that ended on 31st December 2016. This is slightly 21.6% higher as compared to the same quarter during the previous year (2015) whose trading revenue stood at $65.4 million

For the entire 2016, FXCM had trading revenues that amounted to $276 million from its continued operation as compared $250 million that was recorded for the entire period of 2015. In 2016 the net income stood at $96.7 million while the year 2015 recorded a net loss that amounted to $513.6 million.

FXCM Global Brokerage, Inc. (NASDAQ:GLBR)Apart from providing the overall financial data for the last quarter of the year 2016, FXCM also published its trading metrics for the same period. Basically, the information was divided into two parts i.e.

FXCM records an improvement of 21.6% in trading revenue for the Q4 of 2016

i) Former US operations

ii) The remaining segments of the brokerage

According to the reports that were published, the total trading volumes of FXCM for the last quarter of 2016 stood at $798 billion (this does not include the US subsidiaries)

The trading volume for the same period from US operations amounted to $172 billion; this is to say that the total trading volume for the year 2016 amounted to $970 million. This is obtained from the summation of the trading volume of FXCM that totaled to $798 billion together with the trading volume other US operations that was $172 billion producing a grand total of $970 billion

For the entire 2016, the total trading volume of all operations i.e. the FXCM inclusive of the US operations totaled to a whopping $4.6 trillion; this was an improvement of about 5.2% as compared to the $3.86 trillion for the previous year 2015.In the year 2016, the US trading volume for FXCM stood at $722 billion

It’s filling at the SEC, Global Brokerage, Inc. highlight the two major objectives of this company for the year 2017. The first objective is to reduce the debt that was incurred from the Leucadia financing while the second objective I to accelerate the growth of their core business

The brokerage is in the process of repaying Leucadia with the cash that will be generated through operations, the amount of money that will be realized from the sale of accounts in the US ( the main purpose of doing this is to gain capital) . Another way of repaying them is by cutting costs through restructuring and downsizing

The growth of the core business that is left will be realized by focusing more on FX as well as the CFD growth through expanded promotions and through fresh market introductions. Another way of expanding core business will be done by offering CFDs on agent model basis in certain areas

Even after closing its business in the US, the FXCM Group continues to regulate it Forex business in the UK as well as other major EU markets in France, Italy, Germany, South Africa, Australia, Hong Kong and Israel. Here, the broker offers, CFDs trading, Forex and other spread betting services.

source : http://ir.globalbrokerage.info/releasedetail.cfm?ReleaseID=1017947

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