FXCM UK Swings to Turnover Surplus in 2024 Despite Client Trading Volumes Down 19%
Stratos Markets Limited, the FCA-regulated contract-for-differences (CFDs) trading platform operating under the FXCM UK brand, turned around its revenue picture in 2024 after posting a small positive turnover of $103,606 compared to a $1.68 million loss the previous year.
Turnover at FXCM UK Rose by More Than 106%
The London-based firm saw retail trading volumes drop 19.2% to $243 billion during 2024, while client cash holdings fell nearly 30% to $88.8 million from $125.7 million in 2023. Despite the volume decline, the company managed to improve its top-line performance by 106.2% year-over-year.
However, Stratos Markets Limited still posted a net loss of $2.02 million for 2024, an improvement from the $2.52 million loss in 2023. For comparison, in 2022 the company generated a net profit of just under 800,000 dollars. FXCM UK's revenue depends heavily on trading commissions from hedging client trades with affiliate entities and benefits when market volatility drives more trading activity.
The table below shows key performance indicators (KPIs) for Stratos Markets Limited for 2024 compared to 2023:
KPI | 2024 | 2023 | Change |
Turnover | $103,606 | $(1,680,950) | 106.2% |
Loss onordinary activities before taxation | $(2,040,503) | $(2,197,740) | 7.2% |
Loss for the year | $(2,018,467) | $(2,520,187) | 19.9% |
Client cash held | $88,766,830 | $125,673,376 | 29.4% |
Retail trade volume ($ billions) | $243B | $301B | 19.2% |
Equity shareholder's funds | $61,042,851 | $63,061,318 | 3.2% |
Capital resources | $60,457,610 | $62,886,366 | 3.9% |
According to the report, market volatility worked against the firm last year. The VIX average, a key measure of market volatility, dropped to 15.5 in 2024 from 16.85 in 2023. Lower volatility typically translates to reduced trading activity and less revenue for CFD platforms like FXCM UK.
Share Trading
The company absorbed significant costs related to what it calls a "strategic transformation" of its technology and product offerings. Stratos Markets Limited took a $6.15 million transfer pricing adjustment in 2024, down from $10 million the year before, as parent company Jefferies allocated development expenses across the group.
Stratos launched its new "Tradu" brand in 2023 and rolled out an associated trading platform in early 2024. The firm also began offering share trading through a third-party provider during the year and launched eWallet services to customers in January 2025.
The company maintains regulatory capital well above minimum requirements. Its Tier 1 capital stood at $60.5 million as of December 31, compared to total capital requirements of $4.4 million under UK investment firm prudential rules.
You may also like: FXCM Veteran Sameer Bhopale Takes Up New CMO Role at FYNXT
Structural Changes
Jefferies Financial Group acquired full control of Stratos Markets Limited in September 2023 after the previous co-owner, Global Brokerage Holdings, defaulted on loan obligations and entered bankruptcy proceedings.
A year earlier, FXCM’s UK unit was known as Forex Capital Markets Limited, but on September 10, 2023, it adopted the new name Stratos Markets Limited. The change followed a similar move by FXCM’s Cyprus subsidiary, FXCM EU Ltd, which rebranded as Stratos Europe Ltd as part of the group’s wider effort to unify the names of its European entities.