Compagnie Financière Tradition Reports Mild Fall in Inter-Dealer Revenues While Avalanche Hits Retail

Earlier today, Swiss inter-dealer brokerage group, Compagnie Financière Tradition (CFT), published financial metrics for Q3 2014 in a brief summary statement.

In the statement, the company reports a consolidated revenue figure of 197.9 million Swiss francs ($207 million) for Q3, a 2.8% year-on-year decline. The inter-dealer broking business unit was down 1.9% and with all other business (including retail volume from Gaitaime in Japan) collectively falling 8.1%.

So Far in 2014

Year-to-date, CFT's consolidated revenue stands at 623.3 million Swiss francs ($653 million) compared to 679.5 million Swiss francs compared to the same period in 2013 - an 8.3% decline at current exchange rates. Since January, CFT's inter-dealer broking business has shed 6.1% while all other business including retail FX flow from Japan has declined 29.6%.

The sharp decline in retail Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term revenues at Gaitame is somewhat of a surprise considering a resurgence in retail flows across most Japanese brokers - although this has only been the case since September when forex volumes went through a renaissance.

In related news, earlier this month CFT partnered with the Johanesburg Stock Exchange to offer 3 new currency futures contracts aimed at proving investors with access to Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term in the South African rand, Zambian kwacha, Kenyan shilling and the Nigerian naira.