Saxo Bank reports solid FX volume in a largely lackluster June

In a volatile market driven by Russia-Ukraine headlines, FX trading volumes through Saxo Bank have surged to the highest level in more than fifteen months.

Saxo Bank’s clients traded worth $6.9 billion daily in June, the highest figure since March 2021 and was up month-over-month compared to $6.8 billion in May 2022. Saxo’s FX ADV for last month was also higher year-over-year, correlating to a rise of 43 percent relative to $4.8 billion in June 2021.

Saxo Bank’s total monthly FX volume also soared to $152.5 billion in June. This figure was up 2 percent from May’s totals, and also corresponds to a yearly rise of 43 percent when compared to $106 billion a year earlier.

Despite the increased volatility, volumes in the commodities segment were less impressive. The total monthly volume hit $38.2 billion, down 6 percent month-over-month from $43.2 billion in May. The figure was also lower by -10 percent from its 2021 equivalent.

Overall, Saxo Bank’s average daily volume across all asset classes was lower during June 2022, reported at $18.1 billion per day, down 5.6 percent month-over-month relative to $19.2 billion the month prior. Moreover, the figure was higher by 40 percent from $12.9 billion a year ago.

Saxo Bank reports growth in revenue

Saxo Bank reported surging revenues for 2021 as Covid-19 remains a key trigger for customers’ trading activity, but its earnings were almost the same compared to a year earlier. Copenhagen-based broker marked mild growth in revenues, which came in at DKK 4.5 billion ($685 million), up 4 percent from DKK 4.3 billion for the same period last year.

As for the bottom-line metrics, Saxo Bank disclosed a net profit of DKK 755 million ($114 million), slightly higher from DKK 750 million in the Jan-Dec period of 2020.

Furthermore, Saxo Bank won more clients with total active accounts crossing 820,000 for the first time in the company’s 30-year history. Having onboarded more than 263,000 new accounts last year, total clients’ assets under custody grew to DKK 640 billion as of December 2021.

On the operations front, Saxo Bank  completed integration with BinckBank, which it acquired in 2019, but the last segment of the Dutch lender’s clients is yet to be migrated later this year. The transaction added more than 400,000 direct clients across four jurisdictions in the Netherlands, Belgium, France, and Italy.