Do not invest more money than you can afford to lose.
Darwinex, the FCA-regulated social forex broker which launched operations in 2014, has turned profitable after just one year, shows its report for 2015. The data encompasses the period from the end of June 2014 to the end of June 2015. In these 12 months it had a turnover of EUR 146 500 and made a profit of EUR 19 793.
The company was set up in 2012 as TradeSlide and was operating as a regulated investment adviser. In the spring of 2014, however, it overhauled its platform, obtained a broker license from UK’s regulator FCA and rebranded itself as Darwinex. The social platform of the broker allows users to upload data on their performance and strategies, which are evaluated through a set of criteria and if deemed eligible, turned into “Darwins” – trading strategies which can be followed by investors.
The Darwinex financial figures are not impressive compared to the investments the company has attracted since it was founded by Juan Colon as TradeSlide in March 2012. – a total of $4.56 million in two seeds. The most recent one is from October 2014.
Seed funding is a type of securities offering, where investors provide financing to an entity in exchange of an equity stake in the company.
Darwinex, however, is still a relatively small player on the growing market of social trading brokers.
Probably the most significant player is eToro, offering one of the first platforms for social trading. Since its establishing in 2007, this pioneer has attracted a total of $72.9 million from 16 investors in seven funding rounds. The latest investment eToro attracted was from CommerzVentures GmbH, to the tune of $12 million, in April 2015. Recently eToro announced a partnership with Russia’s largest bank, Sberbank. The joint venture would become a fact by the end of this year and would provide the bank’s clients with access to eToro’s social trading platform.
Another financial technology provider that made it to the news recently is TradeSocio. In the beginning of this week the provider of all-in-one white label social trading platforms announced it has raised $1.25 million in seed financing. The provider was the Singaporean investment group Octava.
