CFTC Figures for FCMs: Increase Over February, Decrease Over January

The CFTC has released end of March financial figures for reporting FCMs. Among Forex firms, figures showed total US Retail Forex Funds increasing over $6.3 million to a total of $647.9 million. The 1% increase over February's figures tracks Q1 US Broker Profitability figures that showed the US forex market growing as it ended the quarter adding 3506 accounts. Overall performance, despite this increase over February's figures, represents a decline from January's $657 million in retail forex funds.

Among individual names, GAIN Capital was the biggest mover to the upside as funds increased by over $8 million. However, total funds were aided by the broker’s acquiring of FX Solutions US client base during March. Interestingly, FX Solutions reported an over $11 million decrease.

This may mean that GAIN was unable to onboard all of FX Solutions business, or a percentage of FX Solutions US book were overseas customers that were moved to parent group, City Index’s, other non-US regulated divisions. Also of interest, the March CFTC report continues to show FX Solutions holding $2.1 million in Retail Forex Funds. These figures are speculated to be non-US customers that had yet to have their accounts liquidated or moved to non-US divisions.

Even before FX Solutions exited the US, it was reported by Forex Magnates that the broker was working on halting additional foreign based deposits from reaching the US regulated unit. Among other names not affected by M&A activity, OANDA was the largest gainer as Retail Forex Funds increased by nearly $4.9 million.