Global Market Index Limited (GMI UK), a Forex and contracts-for-differences (CFDs) trading facilitator, has filed its 2019 annual report with the UK Companies House, showing an impressive turnover trend but ending up in losses.
For the 12 months period ending on December 31, 2019, the company reported a revenue of £1.37 million - 2.7 percent less than the figure reported in the previous year’s filing. But it is to be noted that for 2018, the broker filed its financials for 16 months as it extended its accounting period.
That year, the broker’s revenue jumped three-fold to $1.41 million and the positive trend is clearly visible in the recent financials.
“Following our commitment in 2018 to develop the professional trader side of the business, 2019 saw a significant increase in our Professional trading volumes,” the broker stated in the filing. “In 2019, we increased our capital base once again and at year end had a CET1 capital ratio of circa 36%.”
Books ended in red
The broker, however, reported a net loss of $126,878 for 2019, down from the profit of $77,038 in the previous 16-months period. The negative numbers are due to a ballooned operating cost.
The cost of sales remained only $6,161 for the one-year period, compared to $18,355 for the previous 16 months.
The company is now holding a net asset of $1.09 million, up from the previous year’s $933,730.
In the regulatory filing, the broker also pointed out that in 2020, its revenue to be driven by four core areas - market lending Liquidity for institutional clients; continued focus on institutional trades; industry partnerships with sister companies; and increasing geographical risks.
“GMI has established relationships with various FCA-regulated companies for the provision of liquidity services,” the company noted giving an insight to its business.
