London’s BidX Markets is enhancing the value offered to its customers by providing up to 5.1% interest on uninvested cash balances in US dollars and British pounds and up to 3.5% for euros. In a press release today (Thursday), the brokerage firm unveiled its “Interest on Uninvested Cash Balances” program. However, customers must transfer their uninvested cash into specific interest-bearing accounts to avail of this benefit.
BidX Markets Offer Interest on Cash Holdings of up to 5.1%
This announcement from BidX Markets follows shortly after a warning issued by the UK’s Financial Conduct Authority (FCA) against investment platforms engaging in “double dipping” – a practice where platforms retain a portion of interest on client cash balances while charging an additional fee for cash management.
Simon Blackledge, the CEO of BidX Markets, said: “We believe that sharing in the interest that BidX receives will be a huge benefit to many of our broker and professional clients who are currently unable to capitalise on the rise of interest rates. Our new offering not only provides an innovative solution for optimising cash resources but also empowers our clients to seize opportunities in a dynamic market environment. At BidX, we are committed to delivering value and flexibility to our clients, and this enhancement is a testament to that commitment.”
Don’t miss out on the latest news, subscribe to LeapRate’s newsletter
The FCA has mandated investment platforms under its regulation to amend these practices by February 29, 2024. Regulated by the FCA, BidX Markets is based in London and offers trading services, including forex and CFDs, primarily targeting institutional and professional clients.
The platform has also recently introduced spread betting services for professional traders.
BidX Markets reported a successful fiscal year ending May 31, 2023, with annual revenue exceeding £1 million and net profits over £40,000. This period was marked by significant growth for the company, with revenues surging by 253% compared to the previous year.
