Advanced Markets’ UK Profits Slipped 69% despite Revenue Surge

Advanced Markets (UK) Limited, the FCA-regulated subsidiary of the broader Advanced Markets Group, ended 2023 with a turnover of $2.26 million and a net profit of $114,635, according to the latest Companies House filing.

Although the turnover for the year increased by about 6.8 percent from 2022’s $2.12 million, the net profit declined by 69.3 percent year-over-year.

A Liquidity and Technology Provider

Advanced Markets provides institutional foreign exchange liquidity and prime-of-prime services to the forex and contracts for differences (CFDs) trading industry. The Group is headquartered in the United States and operates globally with a presence in several jurisdictions.

The published numbers through the UK’s Companies House only reflect the performance of the UK unit and not the group or any other subsidiaries.

“The principal activity of the Company during the year was foreign currency trade operations,” the latest Companies House filing noted. “The Company’s operations expose it to a variety of financial risks that include foreign exchange risk and liquidity risk… The Company does not hold any market risk as it operates strictly in an agency relationship model.”

Surging Administrative Costs

While the company’s 2023 turnover increased, its administrative expenses also jumped to $2.16 million from the previous year’s $1.75 million. The company also received an interest income of $14,605, which almost doubled in a year.

“The results for the period were in line with the expectations of the directors,” the filing added. “The combination of the changes in regulation and historical lows in the volatility of the markets slowed the initial growth pattern that they were expecting. However, their long-term commitment remains.”

“Fiscal year 2024 has started well, and the directors continue to expect positive returns moving forward.”

Meanwhile, the group expanded its footprint in the Middle East and North Africa region by broadening its existing partnership with Daman Securities and establishing a new entity.