US Brokers' Retail FX Deposits Recovery in January 2023, Only Interactive Brokers Saw a Decline

Retail FX deposits at brokerages in the US, one of the most developed investment markets worldwide, saw a rise in January 2023, the Commodity Futures Trading Commission (CFTC) data showed.

The CFTC has published its monthly report, which covers data for FCMs that are registered as Retail Foreign Exchange Dealers (RFEDs) and those included as broker-dealers that hold retail Forex obligations in the United States, namely Gain Capital Group LLC, IG US LLC, Interactive Brokers LLC, OANDA Corporation, CHARLES SCHWAB Futures & Forex LLC and the newest comer Trading.com Markets.

According to the CFTC dataset, the FX funds held at the six registered brokerages hit over $490.9 million in January 2023. Excluding Trading.com Markets, the retail FX deposits of the five established brokers reached $489.9 million, a month-on-month rise of 1.75percent compared with the $481.5million reported in December 2022.

The chart listed below summarizes all the data of the six brokers during the latest 12 months. 

Interactive Brokers' Retail FX Deposits Fall for Fourth Consecutive Month

In January 2023, only Interactive Broker notched decreases in Retail Forex Obligation. And the company’s retail FX deposits have fallen for the fourth consecutive month, experiencing a 5.06 percent decline to $23.4 million.

The newest comer Trading.com Markets’ Retail Forex deposits rose the most, increasing 42 percent over a monthly basis to $996,012. IG US also reported a rise of $1,849,866 to $46.4 million, which is 4.15 percent higher over a monthly basis.

Gain Capital saw an increase of $6,499,541 to $190.9 million, compared to $184.4 million at the end of December 2022, or 3.52percent higher month-over-month. CHARLES SCHWAB also saw an increase of 1.96 percent to $68.7 million, compared to $67.4 million in the month prior.

OANDA experienced a slight increase of $12,705 to $160.48 million, compared to $160.46 million in the month prior, reflecting a o0.01 percent rise.

Gain Capital Gained in Market Share

Looking at the market share of these brokers, distribution changed slightly in January 2023 relative to the month prior.

Gain Capital remained the leader in terms of market share, commanding a 39 percent share, 1 percent higher that the prior month.

The remaining brokers' market share both kept unchanged. OANDA acquired 33 percent share in this month, IG US, Interactive Brokers and CHARLES SCHWAB acquired 9 percent, 5 percent and 14 percent share respectively in this month. Trading.com Markets retained the last one of less than 1 percent.