Continuing a very good month for some of the world’s leading eFX providers, FX brokerage group Gain Capital Holdings Inc (NYSE:GCAP) has reported a very nice month of August, with double digit percent increases in trading volumes in both its Forex.com retail forex unit as well as in institutional volumes.
Forex.com saw one of its best months over the past year and a half, with August volumes up 16% from July coming in at $237.7 billion.
Institutional FX volumes hit a record $279.8 billion in August, up 32% over July.
While institutional volumes now outstrip retail FX activity at GAIN Capital, the company still makes the (vast) majority of its Revenues and Profits from Retail FX, which has much higher margins on a per-volume-traded basis that institutional business.
August was also a busy month on the corporate front at GAIN Capital, with the company raising $92 million in a convertible notes offering. The company will use some of the proceeds to repay existing debt, but will also have fresh capital available for more strategic acquisitions. Earlier this year GAIN Capital picked up rival FXCM’s US client assets, paying a fairly low price of $6.96 million, as was exclusively reported by LeapRate.