Devexperts,
a provider of software solutions to investment firms, is unveiling its market
trend predictions for the financial industry in the upcoming year. Over recent
months, Devexperts has observed emerging trends in broker/dealer/client
relationships, and these are anticipated to continue into 2024.
In
2024, Devexperts anticipates a rise in brokers broadening their services beyond
mere access to the US market. This expansion encompasses global stock and ETF
trading, along with diversification into various asset classes.
Michael Sprachman, Director of Exchange Traded Solutions, Devexperts, Source: LinkedIn
Broker
revenues have experienced a decline, attributed to the push for zero
commissions amid the pandemic. Simultaneously, operating expenses for brokers
are on the rise. In response to this financial challenge, brokers are compelled
to meet the demands of their increasingly discerning users. To counteract the
decline in revenues, brokers are strategically introducing a broader range of
trading options.
Concurrently,
brokers are navigating market shifts, including Options trading volumes
surpassing Futures, heightened regulatory compliance, and the volatile nature
of cryptocurrency markets.
Towards
the end of 2023, Devexperts notes trader demands urging brokers to adapt and
integrate new offerings into their platforms. Users are no longer satisfied
with restricted solutions; instead, they seek access to diverse global markets
and multi-asset trading around the clock.
This
shift is underscored by the growing preference for 24×7 markets in the United
States. In response, brokers will need to swiftly adjust their approach to meet
these requests in the new year as a crucial distinguishing factor for clients.
Regarding
the future for Devexperts, Michael Sprachman, Director of Exchange Traded
Solutions, remarked: “Devexperts has identified a notable trend, evolving in
2024, where clients are eager to regain full control of their businesses. Given
the choice between purchasing solutions or developing internally, Devexperts’
hybrid model is being utilized by clients for rapid market entry and
cost-efficiency.”
“This
approach aligns with the rise of all-encompassing solutions for execution,
clearing, and back-office operations, enabling brokers, both established and
new to the market, to control and focus on core business aspects.”
As
comprehensive solutions become more accessible to clients, and the increasing
emphasis on regulatory requirements in global markets drives structured changes
across the industry, this trend is expected to gain traction in the coming
years. Specifically, there is a noticeable shift in the account structures
managed between brokers and end destinations, prompting a transition from
omnibus relationships to disclosed relationships.
In
the upcoming years, Devexperts envisions creating a comprehensive ecosystem
that allows brokers to maintain ownership of their businesses. The company’s
strategy involves building a marketplace and fostering collaborations with
various counterparties.
DXtrade
and FX Blue’s Collaborative Trading Solution
Earlier,
Finance Magnates reported that Devexperts
entered into a strategic alliance with UK-based fintech firm FX Blue to
introduce a new trading solution targeting contracts-for-difference and
spread-betting brokers in London’s financial technology scene.
The
collaboration involves integrating DXtrade’s back-end infrastructure with FX
Blue’s customizable web and mobile interfaces, aiming to transform the current
trading technology landscape. This partnership allows brokers the flexibility
to choose preferred trading platform UIs for clients while managing essential
operations through the DXtrade backend.
Devexperts
specializes in crafting software for the capital markets, and FX Blue
contributes its customizable front-end solutions, including features like
responsive mobile interfaces and social trading elements. The financial terms
of the partnership are designed to support brokers in business expansion and
risk management.
Devexperts,
a provider of software solutions to investment firms, is unveiling its market
trend predictions for the financial industry in the upcoming year. Over recent
months, Devexperts has observed emerging trends in broker/dealer/client
relationships, and these are anticipated to continue into 2024.
In
2024, Devexperts anticipates a rise in brokers broadening their services beyond
mere access to the US market. This expansion encompasses global stock and ETF
trading, along with diversification into various asset classes.
Michael Sprachman, Director of Exchange Traded Solutions, Devexperts, Source: LinkedIn
Broker
revenues have experienced a decline, attributed to the push for zero
commissions amid the pandemic. Simultaneously, operating expenses for brokers
are on the rise. In response to this financial challenge, brokers are compelled
to meet the demands of their increasingly discerning users. To counteract the
decline in revenues, brokers are strategically introducing a broader range of
trading options.
Concurrently,
brokers are navigating market shifts, including Options trading volumes
surpassing Futures, heightened regulatory compliance, and the volatile nature
of cryptocurrency markets.
Towards
the end of 2023, Devexperts notes trader demands urging brokers to adapt and
integrate new offerings into their platforms. Users are no longer satisfied
with restricted solutions; instead, they seek access to diverse global markets
and multi-asset trading around the clock.
This
shift is underscored by the growing preference for 24×7 markets in the United
States. In response, brokers will need to swiftly adjust their approach to meet
these requests in the new year as a crucial distinguishing factor for clients.
Regarding
the future for Devexperts, Michael Sprachman, Director of Exchange Traded
Solutions, remarked: “Devexperts has identified a notable trend, evolving in
2024, where clients are eager to regain full control of their businesses. Given
the choice between purchasing solutions or developing internally, Devexperts’
hybrid model is being utilized by clients for rapid market entry and
cost-efficiency.”
“This
approach aligns with the rise of all-encompassing solutions for execution,
clearing, and back-office operations, enabling brokers, both established and
new to the market, to control and focus on core business aspects.”
As
comprehensive solutions become more accessible to clients, and the increasing
emphasis on regulatory requirements in global markets drives structured changes
across the industry, this trend is expected to gain traction in the coming
years. Specifically, there is a noticeable shift in the account structures
managed between brokers and end destinations, prompting a transition from
omnibus relationships to disclosed relationships.
In
the upcoming years, Devexperts envisions creating a comprehensive ecosystem
that allows brokers to maintain ownership of their businesses. The company’s
strategy involves building a marketplace and fostering collaborations with
various counterparties.
DXtrade
and FX Blue’s Collaborative Trading Solution
Earlier,
Finance Magnates reported that Devexperts
entered into a strategic alliance with UK-based fintech firm FX Blue to
introduce a new trading solution targeting contracts-for-difference and
spread-betting brokers in London’s financial technology scene.
The
collaboration involves integrating DXtrade’s back-end infrastructure with FX
Blue’s customizable web and mobile interfaces, aiming to transform the current
trading technology landscape. This partnership allows brokers the flexibility
to choose preferred trading platform UIs for clients while managing essential
operations through the DXtrade backend.
Devexperts
specializes in crafting software for the capital markets, and FX Blue
contributes its customizable front-end solutions, including features like
responsive mobile interfaces and social trading elements. The financial terms
of the partnership are designed to support brokers in business expansion and
risk management.