Data, e-Trading, Bright Spots in BGC Financial Results

Brokerage house BGC has reported fourth quarter and interim full year results for 2022, with data services providing a healthy backdrop to results that were largely flat year-on-year.

The firm reports full year revenue (excluding insurance) of $1.795 billion, down from $1.837 billion in 2021 (but up 1.4% in constant currency terms. Within this, FX revenues were $299.7 billion in 2022, down fractionally from $301.3 billion in 2021, but again up in constant currency terms.

Good news for BGC comes from its Fenics business, with Fenics Markets generating $396.6 million in revenue, up from $355.8 million in 2021; and Fenics Growth Platforms, which includes the fully-electronic FX offering, rising to $52.9 million from $45.5 million.

Foreign exchange is the second highest consolidated revenue generator, after Rates – the latter saw a slight decline in revenues, year-on-year, by 1.6% to $549.5 billion, although again on a constant currency basis, revenues were higher.

In a statement accompanying the release, the firm says the return of “meaningful” interest rates, will drive its trading volumes higher, adding, “This has set the stage for broad-based growth across our businesses and asset classes. We expect continued growth throughout 2023 and for the foreseeable future.”