GMO Click Sees Dramatic Decline in Trading Volume After Uptick in Q1
- The Japanese securities broker was not immune to the industry-wide slump in trading this April
Japanese broker GMO Click (GMO) released its report on the trading activity of April 2018 today. The firm saw a precipitous decline in its over-the-counter (OTC) FX trading volumes, despite an increase in the number of user accounts.
In December of 2017, GMO saw a drastic cut in trading volumes as it finished the year with its lowest monthly trading volumes since August 2014. The broker bounced back in the first quarter of this year but seems to have hit a slump in April.
The broker’s FX Neo service saw trading volumes of ¥680 billion ($6.21 billion) last month. This was down from ¥943 billion ($8.61 billion) in March - equivalent to a 28 percent reduction.
More users - fewer trades
The reduction in trading volumes in April took place despite a rise in the number of FX Neo trading accounts. At the end of March, the firm had 529,044 accounts registered to the service. In April, this figure increased to 533,333. This represented a 0.81 percent increase for the month.
GMO’s is not the only firm to have experienced a positive first quarter to 2018, only to see declining trading volumes in April. The Japan Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term Group (JPX), which operates multiple securities exchanges including the Tokyo Stock Exchange Stock Exchange A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin Read this Term, also saw a decline in trading volumes for the month after having seen steady increases in the first quarter of 2018.
Indeed, the decline seems to have been an industry-wide affair. According to Reuters, Q1 of 2018 saw an uptick in investor activity in cash currency trading that tanked by 30 percent in April when compared to January. GMO did not see a decline of this size in trading volumes from January to April, but it still saw a decrease of 18 percent between the two months.
Japanese broker GMO Click (GMO) released its report on the trading activity of April 2018 today. The firm saw a precipitous decline in its over-the-counter (OTC) FX trading volumes, despite an increase in the number of user accounts.
In December of 2017, GMO saw a drastic cut in trading volumes as it finished the year with its lowest monthly trading volumes since August 2014. The broker bounced back in the first quarter of this year but seems to have hit a slump in April.
The broker’s FX Neo service saw trading volumes of ¥680 billion ($6.21 billion) last month. This was down from ¥943 billion ($8.61 billion) in March - equivalent to a 28 percent reduction.
More users - fewer trades
The reduction in trading volumes in April took place despite a rise in the number of FX Neo trading accounts. At the end of March, the firm had 529,044 accounts registered to the service. In April, this figure increased to 533,333. This represented a 0.81 percent increase for the month.
GMO’s is not the only firm to have experienced a positive first quarter to 2018, only to see declining trading volumes in April. The Japan Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term Group (JPX), which operates multiple securities exchanges including the Tokyo Stock Exchange Stock Exchange A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin Read this Term, also saw a decline in trading volumes for the month after having seen steady increases in the first quarter of 2018.
Indeed, the decline seems to have been an industry-wide affair. According to Reuters, Q1 of 2018 saw an uptick in investor activity in cash currency trading that tanked by 30 percent in April when compared to January. GMO did not see a decline of this size in trading volumes from January to April, but it still saw a decrease of 18 percent between the two months.