FxPro UK, the FCA-regulated arm of FxPro, has posted significantly higher financial results for the full year 2016. The company just filed its annual accounts with the UK Companies House, showing that trading volumes spiked higher last year. The total for 2016 is reported at $112 billion, materially higher than 2015’s $64 billion.
As a result, revenues increased 64 percent to £3.2 million ($4.4 million). The net income of the company was £1.07 million ($1.45 million), which is a touch lower than in 2015. The results are not indicative of the performance of the company on a global basis.
FxPro also has a Cyprus-based subsidiary that is regulated by CySEC, and one in South Africa which is regulated by the country’s Financial Services Board.
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FxPro UK’s spending increased by 127 percent due to increased staff costs and commissions paid to introducing brokers. The company increased the number of its full time employees in the UK from 9 to 16 in 2016.
According to the filing, the company also materially increased its sales and marketing spending. From just over £100,000 in 2015, last year FxPro UK spent about £700,000 in this category.
Increasing competition for market share in the UK in the run-up to the regulatory overhaul that is expected next year is prompting FCA-regulated companies to establish a material presence in the market before the implementation of the long-awaited changes.
The FCA and ESMA are coordinating on establishing new guidelines for retail providers of foreign exchange and CFD trading. Earlier this year, after conducting some revisions to leverage and on-boarding practices, the UK regulator has pledged to coordinate with its pan-European counterpart and publish new guidelines in early 2018.