Swissquote Launches New CFDs on Asian Stock Indices

Swissquote Group, Switzerland’s provider of Online Trading Online Trading Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Read this Term services, is looking to diversify its suite of tradable options by adding new CFDs on top of Asian stock indices to its Advanced Trader and Metatrader platforms.

The newly-added instruments include Spot Japan 225, Spot China 50 and Forward China 50. In a recent statement, the broker informed its clients about the new additions with an initial focus on blue-chip indices alongside plans to launch more from different exchanges across the world.

Additionally, Swissquote’s FX platforms allows users to trade on the movements of all the main European and American stock indices, as well as Japan’s. Most of these CFDs are available both as forward contracts with an expiration date or spot/synthetic instruments (no expiration date, overnight rollover/swap interest applies).

Swissquote broadens its product line as its clients’ desire to garner exposure in stock markets has been increasing. The inclusion of a new set of indices CFDs not only helps expand trading capabilities for its clientele but also attracts more traders that are looking to diversify their trading options.

Swissquote Reports Solid Financial Results

Moreover, the launch of new indices makes sense and reflects the increasing demand for these instruments among traders in European markets. According to recent data by Poland’s largest broker, XTB, operating revenues were primarily influenced by the stock indices CFDs segment as the asset class generated 75 percent of the company’s total revenue in 2019 compared to only 49 percent a year earlier. Meanwhile, revenues from FX CFDs amounted to 18.0 percent of total revenues relative to 23.5 percent in 2018.

Swissquote reported last month solid results for H1 2020. This was supported by strong trading volumes as momentum created by 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 pandemic resulted in an influx of new clients.

The company managed to increase net revenues by more than 43 percent in the first half of this year as compared to 2019 and pre-tax profits by a whopping 133 percent year-over-year.

As such, the Swiss online broker also drastically revised its outlook of the full year in an upward direction and now expects pre-tax profits of CHF 100 million and revenue of CHF 300 million in 2020.