Analysis: May Brought Back Retail Trading Activity

After a less active April, Finance Magnates Intelligence examined the CPattern data for May, to find an interesting change. Shortly before the summer break, retail investors were back in front of their devices, trading more than usual.

In the previous month, we found both the total monthly inflows as well as outflows from the retail accounts registered a decrease. In May, we saw an improvement. The total average monthly deposits grew to $14,630 from $11,360. Thus, a new record was seen in our data. The previous highest average deposit value was, seen in February, $14,482.

We have also seen some growth in the case of the monthly withdrawals. The average value of monthly withdrawals grew to $8,146 from $5,221, which was witnessed in April. While the May result is not the highest one in our history, it shows the growing activity of retail traders. April’s result has been the lowest identified in the last 12 months.

Retail Investors Trading More

As we discuss the activity, it is worth noticing that the most recent data displays growth in the number of transactions. The average value grew to 285 transactions per trader in May. In the previous month, there were 239 transactions. This time the most active traders were in Kuwait with a result of 320 transactions.

Overall, the activity metrics have kept growing over the last 12 months. This looks interesting as it may indicate either growth in algo usage or some change in trading patterns.

Finance Magnates Intelligence will be monitoring industry activity in the upcoming months. Stay tuned for more industry-related research, or reach us directly for additional research requests.