In an era where digital security threats are rising, online trading platforms are constantly seeking ways to enhance user security without compromising the onboarding experience.
Aiming to facilitate this process in the retail trading industry, the FX/CFD broker FXCM has partnered with the identity verification and management company AU10TIX. Thanks to the collaboration, they achieved an increase of 29% in ID document approval rates.
AU10TIX and FXCM Join Forces to Boost Identity Verification in Online Trading
Prior to integrating AU10TIX's technology, FXCM relied on manual Know-Your-Customer (KYC) document verification, which proved to be time-consuming and resource-intensive. This led to lengthy processing times, with user verification services taking hours or even days, resulting in low conversion rates.
Users want the KYC process to be as smooth and quick as possible. When they have to wait too long for it to complete, they often give up on continuing the account creation process or depositing funds.
By leveraging AU10TIX's Identity Verification Suite, Web SDK, and biometric solutions, FXCM has successfully automated its user verification and fraud detection processes. This integration has visibly reduced onboarding time from hours or days to mere seconds.
"Partnering with AU10TIX has been instrumental in surpassing our objectives for customer conversion, security enhancement, and reducing fraudulent accounts,” said Teodora Mladenova, the eKYC Product Manager at FXCM. “By automating our validation processes, we've not only enhanced security but also improved the onboarding experience for our customers."
It led to a significant improvement in document approval rates from 62% to 80%. This swift onboarding has not only reduced abandonment rates but also expanded opportunities for revenue growth.
Additionally, the partnership has allowed FXCM's operations team to focus on innovation and enhancing the user experience, as AU10TIX's technology has taken over the burden of manual verification processes. For AU10TIX, this is not the first collaboration with an FX/CFD broker on automating onboarding and ID verification processes. In fact, the company has been assisting firms in the industry for at least eight years.
"Our tailored identity verification solutions address the distinct challenges faced by industry leaders such as FXCM, guaranteeing not just robust security protocols but also a frictionless user journey," concluded Dan Yerushalmi, the CEO of AU10TIX.
The most recent financial report of Stratos Markets Limited, the British company responsible for the FXCM brand's operations, shows that in 2022, the company earned $759,159 on ordinary activities before taxation.
FXCM Presents Tradu
Brendan Callan, the CEO of the online brokerage firm FXCM, unveiled a new multi-asset retail trading platform called Tradu during the Finance Magnates London Summit (FMLS:23) that took place in November. Tradu is part of the Stratos Group International, owned by Jefferies Financial Group, which operates the FXCM brand.
In an interview with Finance Magnates at FMLS:23, Callan revealed that the decision to launch Tradu was driven by client demand and market analysis. The platform aims to fill gaps in the current multi-asset trading options available.
FXCM has further appointed Maryke Faulkner as Tradu's Group Chief Finance Officer (CFO). Faulkner previously served as the Group CFO at FXCM for five months. According to her LinkedIn profile, earlier she was the Finance Director for Europe at FXCM for more than nine years. Before that, she held the position of Finance Director at FXCM Securities for just over three and a half years.
In December, Tradu selected Crossover Markets Group as its primary digital asset execution partner. According to an announcement on Thursday, the crypto flow on Tradu will be routed to Crossover's CROSSx electronic communication network.
The launch of Tradu marks FXCM's entry into the multi-asset retail trading space, aiming to provide traders with a comprehensive and seamless trading experience by addressing gaps in the current market offerings.
