Advanced Markets has relinquished its US retail broker registration so it can focus on its primary business providing wholesale liquidity, credit and direct market access products to brokers, banks and institutional foreign exchange market participants. The change took effect on 30 September pending final regulatory approval.
The strategy shift comes as the company launches Ultimt, a new liquidity, credit and technology service for MetaTrader brokers, and works with wholesale clients to launch additional foreign exchange DMA products. The Ultimt introduction alone is fuelling sharp growth, company officials say. Advanced Markets’ client pipeline for the product is expected to grow monthly trading volumes by $50 billion by year end.
“As much as we value our loyal individual and managed account traders, we think it is important to focus our entire enterprise on providing DMA solutions for the wholesale and institutional markets,” says Anthony Brocco, founder and CEO, Advanced Markets. “We have a number of wholesale partnerships coming online and are developing new DMA products with key institutional buy and sell-side partners.”
A large portion of the company’s retail accounts were managed accounts in which trading was managed by third-party professional fund managers. Advanced Markets will continue to offer DMA trading and credit services to hedge fund managers, institutional asset managers, commodity trading advisors and commodity pool operators as well as eligible contract participants and their non-US equivalents.
On a wholesale basis, Advanced Markets says it serves more than 15,000 institutional and individual clients in more than 30 countries globally. While the company is privately held, outside investors include Macquarie Americas Corp Inc., a wholly owned subsidiary of Macquarie Bank and GFI Group.