Monex Group Reports Trading Volumes Rebound in September

Monex Group today reported its September 2016 business metrics revealing an anticipated increase in this month’s financial metrics compared with August’s figures. In terms of Daily Average Revenue Trades (DARTs), last month saw the Japanese broker’s figures decline for the second consecutive month to 231,108 in a pattern that has been seen across the industry in recent months due to 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 in the markets and the typical seasonal dip in August.

September Metrics

Today’s figures reveal that DARTS are on the way back up and have been recorded as 251,188 representing an increase of 8.7 percent MoM compared with August’s 231,108. However, today’s metrics still show an annual decrease of just under 20 percent compared with September 2015’s figures of 313,592.

September also saw a slight increase in accounts at Monex rising to 1,663,648 from 1,658,703 accounts in August 2016, or a marginal 0.3 percent MoM. Looking at Monex’s FX business, the number of over-the-counter (OTC) FX accounts totalled 230,118 showing a slight increase over August’s figures of 228,697 or 0.6 percent MoM.

Staying on the broker’s FX OTC business, Monex recorded an average trade value per business day of ¥123,767 ($12.9 billion) compared with ¥85,374 billion ($8.2 billion) in August, or a respectable increase of 45 percent MoM.

TradeStation also saw DARTs increase to 103,752 in September from 91,241 in August, reflecting a rise of 13.7 percent MoM. In terms of active account numbers, September figures were 61,815 compared with 61,752 in August, or a marginal increase of 0.1 percent MoM.

Operating Revenues

Monex recently announced operating revenues for August, notching a figure of $33.3 million (¥3,345 million) representing a decline of 9 percent MoM from July’s $36.7 million (¥3,679 million) and down 38 percent YoY compared with $53.7 million (¥5,396 million) last year.

The decline was a reflection of August’s decreased trading activity but with FX trading volumes in general having notably picked up in September, today's increased figures should come as a relief for Monex and this should be reflected in the brokerage's forthcoming revenue disclosure for September.