FXCM [NYSE:FXCM]: Democratizing Capital Markets with Simple Trading Platforms

FXCM [NYSE:FXCM]: Democratizing Capital Markets with Simple Trading Platforms

CIO VendorDrew Niv, CEO
In the late 1990s, investors had a tough time sustaining in capital markets due to lack of latest technologies and lower level of process integration. The early systems allowed communication between two traders on the initiative of one of the counterparties, but did not perform the more complex matching function conventionally done by voice brokers. This is when FXCM stepped in to provide a unique online trading platform that would allow the public with internet access to trade in the global currency market 24 hours a day. Today, the company provides services through its online trading platforms and third party platforms. “FXCM’s new platforms will provide all traders, especially scalpers and news traders, with an ideal trading environment for indices,” says Drew Niv, CEO, FXCM [NYSE:FXCM]. “This will provide the most unique index trading offering in the industry and immediately benefit clients.”

FXCM offers many powerful trading platforms. One such proprietary trading platform is its Trading Station, with powerful analytical tools for chart traders and straightforward capabilities for new traders. Trading Station’s strategy optimizer can test a wide range of strategy inputs so users can quickly locate input combinations according to their needs. Furthermore, to capitalize on automated trading, the firm provides Mirror Trader, which allows users to follow and replicate the strategies developed by experienced traders around the globe to perform in diverse market conditions. It’s an ideal solution for traders who follow the FX markets, but don’t always have the time to determine what and when to trade.

To receive competitive pricing and quality execution from FXCM’s large network of Forex liquidity providers, the company offers its Ninja Trader platform.

FXCM’s new platforms will provide all traders, especially scalpers and news traders, with an ideal trading environment for indices

This platform is for traders who want to build their own automated strategies, but aren’t necessarily familiar with programming languages such as C#. With Ninja Trader’s advanced event driven model, users can program their strategy logic on events triggered by market data, market depth, order status, and fill updates and position updates.

FXCM is currently focusing on enhancing its peer-to-peer auto trading platform, ZuluTrade, which is suited for both traders who don’t have the time to build their own strategies and those who do not wish to engage in the trading process directly. The server based ZuluTrade engine places the trades automatically with FXCM, with no human intervention.

In December 2010, FXCM went public and began trading on the NYSE, becoming the first Forex broker in the U.S. to IPO. The company’s large network of Forex liquidity providers, including global banks, financial institutions, prime brokers and other market makers, allow them to offer competitive spreads on major currency pairs. It promotes a “no dealing desk” business model for its currency products, taking prices from a number of major banks and allowing clients to trade the best price at any given time.

FXCM has a culture attuned to anticipate and understand their customer’s needs, bringing value at every step of their relationship. For the future, the company aims to be more flexible and agile by offering the most innovative trading tools, hiring the best trading educators, and meeting strict financial standards to protect trader funds. The company strives to deliver the finest online trading experience in the market and develop next-generation technology that enables the creation of more robust trading platforms. “As our month-to-date metrics show, FXCM continues to be a global leader in retail FX with volumes on pace to set a record,” says Niv.