Minimising costs, Maximising opportunities – taking the best route towards an FX White Labelling solution

Caroline Henshaw discovers more about, how, in the competitive world of forex today, more and more hard-pressed brokers are choosing to concentrate their resources on areas where they can add value and outsourcing the rest to sophisticated white label service providers that can not only help start-ups enter the market but enhance existing businesses.

First Published: e-Forex Magazine 59 / FX Brokerage Operations / January, 2015

Daily currency trading volumes have more than tripled in the last 10 years to $5.3 trillion a day, drawing in a growing number of institutional and individual traders. But while the markets have grown in size, they have also grown in complexity, meaning brokers now have to deal with an increasingly varied and sophisticated set of clients. Catering to those needs is expensive, putting pressure on budgets at a time when brokers are already struggling to preserve their profits in the face of an increasingly fragmented market, the multiplication of trading platforms and the rise of electronic communication networks, or ECNs.Increased regulatory oversight has also heaped additional demands on brokers, driving up the cost of doing business just as tepid trading conditions have made it even harder for them to safeguard their margins. Experts say many FX brokers are looking to diversify as a result. As Nick Mortimer, Head of Prime Brokerage and Clearing at CFH Clearing explains: “The lack of volatility...continued

Exclusive Content

The full article is only available to current subscribers. Click here to sign in or subscribe by clicking here