The announcement follows the establishment of FxPro UK last month, which was the first part of its global business to switch to an agency model. The firm says it has made the move to reflect the increasing experience and sophistication of retail FX clients, who are demanding more transparent execution.
The switch follows the launch last year of FxPro cTrader, its ECN platform, which the company says allows clients “no dealing desk” execution.
Client orders are sent directly to FxPro’s pool of liquidity providers, with spreads from zero pips on cTrader with upfront commissions, and spreads with small mark-ups on Metatrader 4, but with no commissions.
“FxPro has moved fully to the agency model and the technology has been upgraded to make the move in a way that the trading experience and the execution method of the clients remained unaffected," Charalambos Psimolophitis, chief executive at FxPro, tells EuromoneyFXNews.
FxPro has over 15,000 clients in more than 150 countries and records trading volumes in excess of $85 billion on a monthly basis. It is authorized and regulated by the UK’s Financial Services Authority, the Cyprus Securities and Exchange Commission – operating under the EU Markets in Financial Instruments Directive – and the Australian Securities and Investments Commission.
Psimolophitis says the new model does away with any potential conflict of interest between the broker and its clients.
“Our efforts will now be concentrated on educating our clients and assisting them in becoming better traders,” he says.
“We want to encourage other brokers to follow this path and align their interests with those of their clients – because this would make a good industry great.”