Higher the Satan You Know
Two of probably the most revealing figures in Plus500’s H1 2025 outcomes have been 84% and 47%. The primary of those was the share of income generated by shoppers who had traded with the agency for over 12 months, and the second was the share generated by merchants with greater than 5 years’ expertise.
In fact, you can’t please all of the individuals on a regular basis. One dealer noticed that it will be encouraging to see the development in dealer choices matched by a rise in lively buying and selling of FX and CFDs, and extra merchants getting cash on these merchandise.
Nevertheless, these figures are a reminder that it’s more cost effective to drive further income from current shoppers than to spend cash on advertising to prospects of different brokers, who would possibly soar ship once more as quickly as they get a greater provide.
Analysis by Frederick Reichheld of Bain & Firm – the creator of the Web Promoter System, which helps companies develop by utilizing buyer suggestions to construct loyalty and enhance experiences – reveals that rising buyer retention by simply 5% can enhance profitability by as a lot as 95%.
You may additionally like: Plus500 to Desktop Customers: Thanks, However Cellular’s Received This
One of many observations from this yr’s iFX EXPO in Cyprus was the sense that brokers had shifted their focus from solely buying new deposits to maximising the worth of their current shopper base.
A specialist who works with brokers to spice up buying and selling volumes and cut back churn famous that many corporations have been failing to profit from buyer engagement instruments, by putting an excessive amount of emphasis on information on the expense of making a compelling funding narrative.
One other key to success lies in re-energising dormant buying and selling account holders. The most important gamers might be able to maintain hundreds of thousands of successfully inactive accounts, however smaller brokers with comparatively increased acquisition prices, who have to extract most worth from each account, don’t have that luxurious.
On this context, personalisation has already labored for challenger banks, so there is no such thing as a purpose why brokers can’t make it even simpler for patrons to entry personalised content material and suggestions based mostly on their earlier buying and selling historical past.
Taking Down the Props
When creator Douglas Adams was requested when The Hitchhiker’s Information to the Galaxy would lastly be made into a movie, he reportedly mentioned, ‘any century now’. These ready for regulators to put down some guidelines round prop buying and selling will know the way he feels.
Everyone knows there are challenges to regulating an exercise that doesn’t match into an current framework, and the place a considerable amount of the buying and selling is simulated. However there’s a feeling that regulation would take away a number of unhealthy actors from the prop area.
Siju Daniel, Chief Industrial Officer at ATFX, informed me earlier this yr that the feasibility of coming into the prop area is determined by the dealer’s mannequin and threat urge for food. Though it’s doubtless that extra brokers will be part of the prop market, regulatory uncertainty means it’s comprehensible why bigger corporations would hesitate to leap in.
Learn extra: B-Reserving Is Dangerous for CFD Prop Companies, however What Is the Various?
Throughout a session on prop buying and selling on the Finance Magnates Africa Summit 2025, it was advised that regulators wrestle to outline the mannequin as a result of it doesn’t contain shopper funds – however that casual enforcement mechanisms have been already in place.
The panel described social media as a robust instrument for accountability and argued that casual enforcement mechanisms are already at play.
The prop buying and selling business has tried to go down the route of self-regulation with the institution of The Prop Affiliation (TPA), whose companies embody certification and exterior dispute decision.
Blueberry Funded turned the inaugural founding member agency in April – referring to ‘rising uncertainty round future regulation and diminishing belief amongst merchants as a consequence of unhealthy actors’ – and was joined the next month by FPFX Tech, whose CEO noticed that ‘regulation protects the top buyer’ and that his agency supported regulation and accountability within the prop buying and selling business.
Lux Buying and selling Agency can be listed as a founding member, whereas Funded7 has since joined the affiliation. Nevertheless, this membership accounts for a small proportion of the general business, suggesting that many props stay to be satisfied that self-regulation is the best way ahead.
Will Merchants Comply with Brokers to Dubai?
The buying and selling ecosystem in Dubai continues to evolve. Previously few weeks alone, RAKBANK turned the primary typical financial institution within the UAE to allow crypto buying and selling companies for its prospects in partnership with Bitpanda, whereas the Digital Asset Regulatory Authority issued regulatory approval to supply OTC crypto choices to Nomura subsidiary Laser Digital.
It has additionally been reported that Robinhood is stepping up its plans to determine an workplace in Dubai and has utilized to the Dubai Monetary Providers Authority for a licence that might allow it to service shoppers within the UAE and different components of the area.
Social media is awash with movies claiming to disclose the secrets and techniques to efficiently relocating to and buying and selling in Dubai. There are a variety of choices for reaching residency, the obvious of which is to determine a free zone firm.
Associated: Exinity and VT Markets Safe Class 5 Licence in Dubai
There are a number of the explanation why merchants would possibly relocate to Dubai. Its geographical location facilitates simpler entry to Asian and European markets; native buying and selling infrastructure is strong; and the community impact is rising.
The regional director of 1 FX dealer noticed that Dubai is attracting retail merchants from Europe in addition to Asia and Africa, whereas the CEO of one other famous that merchants based mostly within the UAE executed extra trades than their counterparts in some other market final yr.
If optimistic predictions for development within the home inventory market come to cross, it’s simple to see why retail merchants in search of an edge – and prepared to relocate to realize it – may very well be attracted in rising numbers.
Higher the Satan You Know
Two of probably the most revealing figures in Plus500’s H1 2025 outcomes have been 84% and 47%. The primary of those was the share of income generated by shoppers who had traded with the agency for over 12 months, and the second was the share generated by merchants with greater than 5 years’ expertise.
In fact, you can’t please all of the individuals on a regular basis. One dealer noticed that it will be encouraging to see the development in dealer choices matched by a rise in lively buying and selling of FX and CFDs, and extra merchants getting cash on these merchandise.
Nevertheless, these figures are a reminder that it’s more cost effective to drive further income from current shoppers than to spend cash on advertising to prospects of different brokers, who would possibly soar ship once more as quickly as they get a greater provide.
Analysis by Frederick Reichheld of Bain & Firm – the creator of the Web Promoter System, which helps companies develop by utilizing buyer suggestions to construct loyalty and enhance experiences – reveals that rising buyer retention by simply 5% can enhance profitability by as a lot as 95%.
You may additionally like: Plus500 to Desktop Customers: Thanks, However Cellular’s Received This
One of many observations from this yr’s iFX EXPO in Cyprus was the sense that brokers had shifted their focus from solely buying new deposits to maximising the worth of their current shopper base.
A specialist who works with brokers to spice up buying and selling volumes and cut back churn famous that many corporations have been failing to profit from buyer engagement instruments, by putting an excessive amount of emphasis on information on the expense of making a compelling funding narrative.
One other key to success lies in re-energising dormant buying and selling account holders. The most important gamers might be able to maintain hundreds of thousands of successfully inactive accounts, however smaller brokers with comparatively increased acquisition prices, who have to extract most worth from each account, don’t have that luxurious.
On this context, personalisation has already labored for challenger banks, so there is no such thing as a purpose why brokers can’t make it even simpler for patrons to entry personalised content material and suggestions based mostly on their earlier buying and selling historical past.
Taking Down the Props
When creator Douglas Adams was requested when The Hitchhiker’s Information to the Galaxy would lastly be made into a movie, he reportedly mentioned, ‘any century now’. These ready for regulators to put down some guidelines round prop buying and selling will know the way he feels.
Everyone knows there are challenges to regulating an exercise that doesn’t match into an current framework, and the place a considerable amount of the buying and selling is simulated. However there’s a feeling that regulation would take away a number of unhealthy actors from the prop area.
Siju Daniel, Chief Industrial Officer at ATFX, informed me earlier this yr that the feasibility of coming into the prop area is determined by the dealer’s mannequin and threat urge for food. Though it’s doubtless that extra brokers will be part of the prop market, regulatory uncertainty means it’s comprehensible why bigger corporations would hesitate to leap in.
Learn extra: B-Reserving Is Dangerous for CFD Prop Companies, however What Is the Various?
Throughout a session on prop buying and selling on the Finance Magnates Africa Summit 2025, it was advised that regulators wrestle to outline the mannequin as a result of it doesn’t contain shopper funds – however that casual enforcement mechanisms have been already in place.
The panel described social media as a robust instrument for accountability and argued that casual enforcement mechanisms are already at play.
The prop buying and selling business has tried to go down the route of self-regulation with the institution of The Prop Affiliation (TPA), whose companies embody certification and exterior dispute decision.
Blueberry Funded turned the inaugural founding member agency in April – referring to ‘rising uncertainty round future regulation and diminishing belief amongst merchants as a consequence of unhealthy actors’ – and was joined the next month by FPFX Tech, whose CEO noticed that ‘regulation protects the top buyer’ and that his agency supported regulation and accountability within the prop buying and selling business.
Lux Buying and selling Agency can be listed as a founding member, whereas Funded7 has since joined the affiliation. Nevertheless, this membership accounts for a small proportion of the general business, suggesting that many props stay to be satisfied that self-regulation is the best way ahead.
Will Merchants Comply with Brokers to Dubai?
The buying and selling ecosystem in Dubai continues to evolve. Previously few weeks alone, RAKBANK turned the primary typical financial institution within the UAE to allow crypto buying and selling companies for its prospects in partnership with Bitpanda, whereas the Digital Asset Regulatory Authority issued regulatory approval to supply OTC crypto choices to Nomura subsidiary Laser Digital.
It has additionally been reported that Robinhood is stepping up its plans to determine an workplace in Dubai and has utilized to the Dubai Monetary Providers Authority for a licence that might allow it to service shoppers within the UAE and different components of the area.
Social media is awash with movies claiming to disclose the secrets and techniques to efficiently relocating to and buying and selling in Dubai. There are a variety of choices for reaching residency, the obvious of which is to determine a free zone firm.
Associated: Exinity and VT Markets Safe Class 5 Licence in Dubai
There are a number of the explanation why merchants would possibly relocate to Dubai. Its geographical location facilitates simpler entry to Asian and European markets; native buying and selling infrastructure is strong; and the community impact is rising.
The regional director of 1 FX dealer noticed that Dubai is attracting retail merchants from Europe in addition to Asia and Africa, whereas the CEO of one other famous that merchants based mostly within the UAE executed extra trades than their counterparts in some other market final yr.
If optimistic predictions for development within the home inventory market come to cross, it’s simple to see why retail merchants in search of an edge – and prepared to relocate to realize it – may very well be attracted in rising numbers.
