FXCM Reports Monthly Metrics for September 2011 – retail volume at peak, acquires Foreland for $17 million

FXCM Inc. (NYSE: FXCM) today announced certain key operating metrics for September 2011 for its retail and institutional foreign exchange

FXCM Inc. (NYSE: FXCM) today announced certain key operating metrics for September 2011 for its retail and institutional foreign exchange business. FXCM also announced that it completed the acquisition of the Japanese broker Foreland for $17 million. I estimated the deal to be at the region of $10-12 million.

Retail Trading Metrics

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  • Retail customer trading volume(1) of $368 billion in September 2011, 1% higher than August 2011 and 47% higher than September 2010. Volume from indirect sources was 54% of total retail volume. Retail customer trading volume(1) for the third quarter 2011 was $1,042 billion, the highest in FXCM history and 11% higher than second quarter 2011 and 34% higher than third quarter 2010.
  • Average retail customer trading volume(1) per day of $16.7 billion in September 2011, 6% higher than August 2011 and 47% higher than September 2010.
  • An average of 481,359 retail client trades per day in September 2011, 4% higher than August 2011 and 59% higher than September 2010.
  • Tradeable accounts(2) of 171,319 as of September 30, 2011, decrease of 3,625, or 2% from August 2011, and a decrease of 3,353,or 2%, from September 2010.

Institutional Trading Metrics

  • Institutional customer trading volume(1) of $129 billion in September 2011, 7% higher than August 2011 and 114% higher than September 2010. Institutional customer trading volume(1) for the third quarter was $309 billion, the highest in FXCM history and 44% higher than second quarter 2011 and 64% higher than third quarter 2010.
  • Average institutional trading volume(1) per day of $5.8 billion in September 2011, 12% higher than August 2011 and 114% higher than September 2010.
  • An average of 22,762 institutional client trades per day in September 2011, 171% higher than August 2011 and 565% higher than September 2010.

“We are pleased to deliver another record quarter in both retail and institutional trading volume, as FXCM expands its share of the retail trading marketplace,” said Drew Niv, FXCM’s President and CEO. “Revenue per million continues to be constrained by low interest rates and increased trading from high volume, lower margin clients.”

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More information, including historical results for each of the above metrics, can be found on the investor relations page of the Company’s corporate web site, www.fxcm.com.

This operating data is preliminary and subject to revision and should not be taken as an indication of the financial performance of FXCM Inc. FXCM undertakes no obligation to publicly update or review previously reported operating data. Any updates to previously reported operating data will be reflected in the historical operating data that can be found on the Investor Relations page of the Company’s corporate web site, www.fxcm.com.

(1) Volume that FXCM customers traded in period translated into US dollars.

(2) An account that has sufficient funds to place a trade in accordance with FXCM trading policies.

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