Retail FX Volumes At GAIN Capital Hit $222 Billion in June

Publicly listed brokerage GAIN Capital Holdings, Inc. (NYSE: GCAP) said monthly FX trading on their platform has soared more than 24 percent in June 2020, the strongest advance since it hit a record during the Coronavirus Coronavirus The outbreak of Covid-19 or Coronavirus in early 2020 has since redefined the financial services industry. Brokers have been forced to quickly adapt to several changes, both positive and negative.This includes the FX industry, which saw surges in volumes across the retail and institutional space in Q1 2020. This trend can be explained by an outflow of volatility, coupled with countries taking major moves to stabilize their respective economies.In conjunction with uncertainty caused by the virus, The outbreak of Covid-19 or Coronavirus in early 2020 has since redefined the financial services industry. Brokers have been forced to quickly adapt to several changes, both positive and negative.This includes the FX industry, which saw surges in volumes across the retail and institutional space in Q1 2020. This trend can be explained by an outflow of volatility, coupled with countries taking major moves to stabilize their respective economies.In conjunction with uncertainty caused by the virus, Read this Term concern-driven market swings.

In particular, GAIN Capital’s retail clients transacted a total of $222 billion last month, up 60 percent year-over-year from $138 billion in June 2019. Over a monthly timetable, GAIN’s latest retail OTC volume was higher from $179 billion in May 2020.

The group’s average daily volumes (ADVs) also rose in June to $10.1 billion from $8.5 billion the month prior and $6.9 billion per day in June 2019. This figure, however, was lower by 42 percent from the peak recorded in March at $17.7 billion.

Meanwhile, three-month trailing active accounts in the OTC retail segment totaled 93,433 by the end of June, down 3.5 percent on a monthly basis from 96,774 accounts in May 2020. GAIN’s retail account swelled by over 34 percent when weighed against the same month a year ago.

Activity at major institutional ECNs and retail platforms has rebounded strongly in June after having consolidated in April and May as intense chaos triggered by Covid-19 lost some steam.

GAIN Capital made the headlines last month after its shareholders have overwhelmingly approved their $236 million combination deal with INTL FCStone.

More than 71 percent of votes cast by the FX broker’s shareholders were in favour of the transaction, representing 86 percent of the total in attendance, well above the required two-thirds threshold. Nearly 83.2 percent of all GAIN’s shareholders attended the special meeting to decide on the Merger Merger A merger is defined as the absorption of the interest of another. It can include an estate, or contract. There are no specific rules or formats for a union in general. It is a method of combining two or more organizations, business concerns, or other related interests. The terms of a merger are usually by agreement of the parties involved. In the financial sphere, merger refers to an agreement between two or more companies or corporations, public and private, to merge into one entity. Mergers d A merger is defined as the absorption of the interest of another. It can include an estate, or contract. There are no specific rules or formats for a union in general. It is a method of combining two or more organizations, business concerns, or other related interests. The terms of a merger are usually by agreement of the parties involved. In the financial sphere, merger refers to an agreement between two or more companies or corporations, public and private, to merge into one entity. Mergers d Read this Term proposal.

Sean O’Connor, CEO of INTL FCStone, will lead the new combined firm, while Glenn Stevens, who has been GAIN’s CEO for over 20 years, will continue to lead the former business within INTL FCStone.