Oanda Europe turns profitable in 2016

Oanda Europe turns profitable in 2016

Oanda Europe, the UK subsidiary of one of the leading US forex brokers, Oanda, has reported a profit of GBP 1.3 million for 2016, after a loss of GBP 1.5 million in 2015.

The profit is mainly thanks to effective risk management process and several other factors listed below.

According to the report filed with UK’s Companies House, in 2016 Oanda Europe had a turnover of GBP 16.6 million, 81% higher, when compared to GBP 9.1 million in the previous year. In its report the company states that this is mainly due to the higher number of accounts and the increased volatility surrounding the Brexit and the US presidential elections. Another reason for the higher turnover, is the change in the internal hedging model and the revenue allocation model of the company.

The number of active client accounts (a client that has traded in the past six months) rose 22% from 10 959 to 13 404. Likewise, client funds also rose from 2015 – 15%, to GBP 42.5 million.

According to the strategic report, the main goal of Oanda Europe for this year is to increase its share of the forex and CFD market in the UK and to continue the development of efficient marketing to raise brand awareness and attract new customers. Additionally, the company plans to expand in Europe and the Middle East and to increase the number of active traders and relative trading volume in EMEA.

The US Oanda Corporation has broker subsidiaries in Canada, Europe, Asia Pacific, Australia and Japan, who are regulated by the Commodity Futures Trading Commission (CFTC), the Canadian regulators, UK’s FCA, the Monetary Authority of Singapore, the Australian Securities and Investments Commission (ASIC) and the Japanese financial regulator, respectively.

Oanda offers trading in forex, precious metals and CFDs on stock indexes, commodities and treasury bonds. It also offers financial spread betting to residents of the UK and Ireland. Trading can be carried out on the MetaTrader4 platform and Oanda’s propriety fxTrade platform.

Leave a Reply

Your email address will not be published. Required fields are marked *