The UK entity of foreign exchange and contracts for difference (CFD) broker GMI Markets has revenues of £616,570 and pre-tax profits of £29,528 for the year to 2023, according to the latest filing with the UK Registrar of Companies. The company's net profit for the year was £23,676.

The brokerage, which operates on a straight-through-processing (STP) model, saw a 37.2% drop in revenue in its latest year, compared to the previous year's £981,141. Profit before tax was also down by more than 93.9%.

A stressful year for brokers

Global Market Index Limited provides professional and ECP clients with access to online trading of financial products, including forex and CFDs. The London-based firm noted that “following a successful year of increasing trading volumes for ECP and professional clients in 2022, [it] continues to maintain existing relationships and take on professional clients in 2023.”

The company detailed that it expects its 2024 revenue to come from liquidity and white-label solutions for institutional clients of MT4, MT5 and FIX brokers, while continuing to focus on professional traders.

It is also recruiting a sales team and expanding its geographic coverage locally and globally to attract and convert more clients.

Interestingly, the firm's overheads increased to £632,317 last year from £506,199 the year before. Meanwhile, the company's interest income was £51,413 compared to £7,275 in 2022.

Trading remains strong despite market turbulence

In addition to its UK entities, GMI offers retail trading services through its registered entities in St. Lucia, St. Vincent and the Grenadines and Mauritius. However, these figures only show the performance of the UK-registered entities.

Meanwhile, pointing to the impact of geopolitical tensions, the company noted that “despite the negative impact of such events on many businesses, the FX market experienced significant growth ...... creating trading opportunities in the face of continued market volatility.”

“The company provides services to institutional brokers who benefit from market volatility and trading opportunities during and after the outbreak, and as a result, the company has benefited from this volatility and the volume generated by client trading activity.”