FXCM August Trade Metrics - volumes lower

Listed FX broker dealer FXCM has posted its monthly metrics for the month of August. Figures are in line with the market in general and the snow ball effect of reduced trading activity is evident in the retail segment.

Monthly activities included:

August 2012

Retail Trading Retail Trading In finance, retail trading refers to individual traders, trading through a broker, or on a platform. This can include novice traders and experienced traders. Trading and investing are divided into two categories, retail and institutional. Institutions include investment banks like JP Morgan or Citibank and global central banks like the US Federal Reserve and the European Central Bank. When we talk about retail trading however, we usually are referring to forex trading, but there are retail trade In finance, retail trading refers to individual traders, trading through a broker, or on a platform. This can include novice traders and experienced traders. Trading and investing are divided into two categories, retail and institutional. Institutions include investment banks like JP Morgan or Citibank and global central banks like the US Federal Reserve and the European Central Bank. When we talk about retail trading however, we usually are referring to forex trading, but there are retail trade Read this Term Metrics

• Retail customer trading volume of $271 billion in August 2012, 6% lower than July 2012 and 26% lower than August 2011.
• Average retail customer trading volume per day of $11.8 billion in August 2012, 10% lower than July 2012 and 26% lower than August 2011.
• An average of 320,787 retail customer trades per day in August 2012, 10% lower than July 2012 and 31% lower than August 2011.
• Tradeable accounts of 207,660 as of August 31, 2012, an increase of 915, or 0.4% from July 2012, and an increase of 32,716,or 19%, from August 2011.

Institutional Trading Metrics

• Institutional customer trading volume of $50 billion in August 2012, 17% lower than July 2012 and 58% lower than August 2011.
• Average institutional trading volume per day of $2.2 billion in August 2012, 20% lower than July 2012 and 58% lower than August 2011.
• An average of 5,921 institutional client trades per day in August 2012, 6% lower than July 2012 and 29% lower than August 2011.

“August volumes continued to reflect the low Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term and seasonal impact we saw in July,” said Drew Niv, CEO of FXCM. “However, to date, our September volumes show a meaningful improvement as the summer has ended and volatility in major currencies has increased.”