Blackwell Global Investments (UK) Limited has abandoned retail trading operations to focus exclusively on professional investors, according to its annual report for the year ended March 31, 2025.
The FCA-regulated broker reported a loss of £17,378 for the year, a sharp reversal from the previous year's £27,798 profit. The company's turnover also declined to £810,667 from £1.03 million in 2024.
Blackwell UK’s Strategic Retreat From Retail Market
Directors concluded that the regulatory and competitive environment for retail business was not viable during a strategic review conducted in the first half of 2024. The company applied for a variation of permission with the Financial Conduct Authority (FCA) at the beginning of 2025, which was granted in June.
"The Directors concluded that the regulatory and competitive environment for retail business was not an area worth pursuing," the UK arm of Blackwell Global stated in its directors' report. “The firm will now focus solely on providing services to individuals and corporates that qualify as professional investors," directors added.
Revenue Concentration Shifts to Professional Services
The broker's new business model centers on introducing professional clients with complex trading needs to counterparties and providing trading solutions through reception and transmission of orders.
"The main focus of the business will be introducing professional clients, with complex trading needs, to counterparties that provide the service they require. The firm will also provide bespoke trading solutions through reception and transmission of orders," the company explained.
Revenue from related parties by virtue of common control jumped to £762,335 in 2025 from £212,951 the previous year, indicating the company's pivot toward serving institutional clients within its broader corporate structure.
Key Financial Metrics
Metric | 2025 | 2024 | Change |
Turnover | £810,667 | £1,029,701 | -21.3% |
Operating Loss/Profit | -£21,074 | £17,411 | -221.1% |
Net Loss/Profit | -£17,378 | £27,798 | -162.5% |
Revenue from Related Parties | £762,335 | £212,951 | +258.0% |
Financial Pressures Mount
The company cited exposure to economic volatility and regulatory compliance costs as principal risks. Revenue earned mainly in USD and EUR while costs are primarily in GBP created additional foreign exchange volatility.
"The principal risk for the Company is its exposure to the volatility of economic conditions and possible economic downturns. Such downturns will likely have an impact on investor confidence, which will likely impact the frequency and value of trades undertaken by customers," directors noted.
Administrative expenses remained elevated at £824,943, though down from £989,723 in 2024. The company's cost-cutting efforts reduced staff from seven to six employees during the year.
Funding Support Secured
Blackwell Global maintained a cash position of £329,653 at year-end, down from £458,636. The ultimate controlling party, Mr. K-S Chai, provided a £154,482 loan during the year. The company also received confirmation that Blackwell Global Investments Limited (Bahamas) will provide support to ensure continued operations for at least 12 months.
"The Directors expect the Company to maintain performance around a breakeven point for at least 12 months from the approval of the financial statements," the report stated.
The company's tax losses carried forward totaled £4.33 million as of March 2025, though no deferred tax asset was recognized due to uncertainty over future taxable profits.
"The directors are of the opinion that the Company is in a good position to progress into the next financial year despite it being a challenging year for trading, and believe that their expertise should help ensure that the Company is successful," the directors expressed in their strategic report.
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