Saxo Bank Sees 12.2% Dip in November FX Volumes

Saxo Bank published its trading metrics data for November, reporting a 10 percent slump in the overall trading volume when compared to the prior month. In absolute terms, last months trading volume came in at $292.2 billion with a daily average of $13.3 billion.

The financial trading platform provider witnessed a dip in monthly demand across all asset classes, including foreign exchange (forex) and equities.

Considering forex first, the total trading volume with currency pairs dropped to $99.2 billion from the previous months $113 billion. That was a month-over-month decline of more than 12.2 percent. The drop in demand is even more steep year-over-year with 15.6 percent.

The daily average volume with forex trading in November thus stood at $4.5 billion.

Red Across Asset Classes

The total monthly trading volume with equities also slumped from $173.4 billion in October to $156.2 billion in November, which was a decline of almost 10 percent. However, equities trading demand still remained higher than most of the months in 2021, but only behind March.

The demand for commodities and fixed income also went down to $30.1 billion and $6.8 billion, respectively. While commodities volume fell by 6.8 percent, fixed income demand slumped by 11.7 percent.

Saxo Bank, under its subsidiary Saxo Markets, is also offering crypto derivatives instruments to retail traders in Singapore and Australia. However, those products are not available in the UK or Europe due to the regulatory restrictions on high-risk crypto derivatives.

Crypto products turned out to be a massive hit for the broker brought in $2.5 billion in turnover from crypto instruments from its launch in May until October.

Meanwhile, the Danish broker partnered with the Singapore division of HSBC to provide trading infrastructure for equities investments to retail banking customers.