Total Number of Active US Forex Accounts

[Obsidian 10]

US forex brokers profitability drops in Q1 2012, TradeStation gains most accounts, GFT most profitable

 

Total number of active US forex accounts grew by modest 120 accounts (increase of 0.12%)

TradeStation/IBFX merged their figures starting this quarter and showed the biggest increase in number of accounts

GFT and OANDA keep battling for the first place in terms of clients profitability, this quarter GFT has the upper hand

This quarter’s profitability dropped for the first time since Q2 2011

OANDA is still the largest broker when measuring US forex accounts only

 

US retail forex industry was back growing, if only a little, in Q1 2012 and US forex brokers were able to slightly increase the number of their clients. On the other hand overall profitability of clients dropped by 2.8% on average and 1.9% in weighted average for the first time since Q2 2011. Considering that Q1 2012 was not a volatile quarter this is somewhat surprising but then Q3 2011 was very volatile and profitability still increased so the correlation may be low.

 

CitiFX Pro revealed its numbers for the first time, just like Interactive Brokers did last quarter, number of accounts is low but when considering the average account size, which is probably as big as what dbFX had: ~$50,000 on average, the overall result is impressive.

 

 

*CitiFX Pro, Interactive Brokers, ILQ and Advanced Markets aren’t considered in the accounts and profitability calculations as their account sizes are either disproportionately big or include other trading instruments (as in Interactive Brokers case)

*Weighted average calculates the relative change in profitability to reduce impact of smaller brokers

[henryduncan12 10]

Thanks Obsidian to share quarterly account report with us. It will help to choose the best broker.

[Mysticforex 13]

What I find more significant than the number of accounts held by each broker, is the percentage of profitable accounts in each broker.

[Obsidian 10]

in deed...guess that "%5" is just history

[Mysticforex 13]

in deed...guess that "%5" is just history

 

It's part of Dodd-Frank new transparency requirements. I think they have to report every quarter. I am sure FXClub does not enjoy making public that only 27% of their account holders are profitable.

Which begs the question: Why does Oanda have more profitable accts than FXClub?

Tighter spread? Faster execution? etc. Are savvy, more experienced retail traders drawn to brokers like Oanda and GFT?

[Obsidian 10]

It's part of Dodd-Frank new transparency requirements. I think they have to report every quarter. I am sure FXClub does not enjoy making public that only 27% of their account holders are profitable.

Which begs the question: Why does Oanda have more profitable accts than FXClub?

Tighter spread? Faster execution? etc. Are savvy, more experienced retail traders drawn to brokers like Oanda and GFT?

 

in deed that is interesting, there is a huge difference.

[Mysticforex 13]

BTW... speaking of brokers...

Have you looked at Oanda's new FXUnity??

[zdo 20]

Are savvy, more experienced retail traders drawn to brokers like oanda and GFT?

 

It's my impression that more serious, committed retail traders are drawn to O&A - not necessarily more savvy and experienced traders. ... plus winners tend to cluster...

 

I don't personally give them much business anymore since they lost leveraged PM's to regulation but...

 

Their infinite sizing is definitely a plus. When needed in some systems, I use it to precisely size beyond the full and mini contracts placed with other brokers.

 

Also, because of the infinite sizing, all the traders I mentor (except for the occasional completely a whore for volume ) go through a phase with a 'small' (for them) live O&A account...

 

 

 

 

 

::20 HELLO! .smilies.that.do.not.blow.up.in.your.face!::

 

For beginners, small size live at O&A is the perfect alternative to sim!!!!!

 

::20 more HELLO! .smilies.that.do.not.blow.up.in.your.face!::

[Obsidian 10]

BTW... speaking of brokers...

Have you looked at Oanda's new FXUnity??

 

Yes discovered that a couple of days ago, trying a demo whenever I have extra time

 

 

...Their infinite sizing is definitely a plus. When needed in some systems, I use it to precisely size beyond the full and mini contracts placed with other brokers....

 

Totally agree on that

[grant71 10]

It seems that FX Club lost a lot of accounts since Q4 2010, and number of new accounts began to decline it was 620 in Q1. 2011 and now in Q1. 2012 it is 120 I hope it will not start to be negative in the next quarters.