Liquid Markets: We Are Setting Up Our Social Trading Network and Looking to Expand in South America
A couple of days ago Nick Bang, the CEO of the global forex and CFD broker Liquid Markets, gave an interview for World Finance. While the interview covered general issues concerning the online forex industry, Bang shared interesting news from Liquid Market's kitchen: it seems that the company's rebranding from TadawulFX to Liquid Markets is far from being the biggest thing happening with the brokerage lately.
Being a professional with a significant experience in the financial markets and online derivatives trading in particular, Bang shared some interesting view on the current state of the forex industry. According to him, for the last 15 years the markets have developed a lot, reaching a somewhat stale point where online forex is rather “ranging” - Western Europe being a perfect example for this. Nonetheless, there are regions that exhibit great growth potential – Eastern Europe and Asia for example.
These areas are interesting not only as geographical regions with development potential but also for their currencies. Bang sees East-European currencies attracting more and more interest, possibly local, for a couple of reasons: the spreads, which are now significantly tighter than they used to be a while ago, and the possibility of having higher interest rates on overnight swaps. The Chinese Renminbi is another currency to keep a close eye on – Bangs believes that it will soon become a third currency front that will be able to rival the US Dollar and the Euro. The last but not least interesting market movement that Bang notes is the EU bailout and we saw in Cyprus and the impact it had on the EUR/USD pair.
New markets are not the only direction, in which forex brokerages are expanding – more and more of them are beginning to offer contracts for differences (CFDs). Bang shares his observation that these are quite the intriguing instrument as you can CFD pretty much any financial instrument – bonds, futures, ETFs, etc. As a proof of that, less than a month ago Liquid Markets itself added a number of new CFDs to its trading instrument selection, and it is not the only broker to do so (we also saw OANDA and FXTM expand their CFD offering).
The Future of Liquid Markets: Expand, Expand, Expand
“After a period of restructuring, we are growing the company and expanding it into other markets and other products,” shared Liquid Markets' CEO in his interview. We mentioned the improved trading instruments list available to the broker's customers; tight spreads and quality execution are the other main points of focus for the company.
And that's not all. When asked about the future plans of Liquid Markets, Bang tells us that the brokerage's management has some pretty ambitious pans for growth. One of these plans is setting up an office in Spain to follow up on the company's recent expansion into Portugal.
“Essentially those offices are not only going to exploit the local markets but can also serve as a staging ground towards our entry into the South-American market, where I personally believe will be a lot of growth in the future,” Bang said. The Asian market is another location that Liquid Markets is exploring.
Product-wise, the company plans to develop its own social trading network.
“We are looking into social/mirror trading, something that is gaining a lot of popularity today - with a lot of traders who maybe don't necessarily have the time to trade the markets themselves and want to go and choose other traders that have shown positive results on the platform. This implies that we need to set our own social trading platform and offer that to our clients. I see the market shifting from the self-trading clients towards social mirror trading and that's something that we will be getting into very, very soon,” promised Bang.
About Liquid Markets
Founded under the name Tadawul FX in 2006, the company quickly established itself as a leading European online Forex and CFDs Broker with a focus on providing premium brokerage services via its customized MetaTrader 4 platform, as well as via the cTrader platform to individual and corporate clients.In 2012, under the direction of a new and dynamic management team, the company underwent a significant transformation to Liquid Markets, a brand of LQD Markets Ltd.
LQD Markets Ltd is licensed and regulated by Cyprus Securities and Exchange Commission (CySEC license number 103/09), and adheres to precise due-diligence procedures and best practices. Fully understanding the importance of providing safety and security of clients' funds, Liquid Markets complies with the CySEC regulations related to the safety of clients' funds, including the Capital Adequacy and Large Exposures Directives.