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Pro trading leader FTMO will become a Forex broker

Pro trading leader FTMO will become a Forex broker

created Paweł Mosionek17 May 2024

Pro trading market leader, FTMO, has plans to become a Forex broker. As reported by the Finance Magnates portal, Michael Kamerman was appointed CEO, who will take care of the company's new operations. Kamerman previously gained experience at FXCM and at Skilling as a managing director. Both co-founders of the company, Otakar Suffner and Marek Vasicek, will remain as CEO and CTO of the FTMO Group, respectively.

FTMO: The path from prop trading to brokerage

According to FTMO's announcement, the transition from the prop industry to retail intermediation as a broker is part of the company's long-term strategy, but at the same time it does not intend to give up its current activities. On the contrary, the goal is to strengthen your leadership position.

“If we want to stay at the top of the food supply chain, we must innovate and listen to our customers.” – said Suffner, adding: “This does not mean that we will focus less on our core product.”

At the moment, there is no information on when FTMO will open its brokerage branch and to which markets the offer will be addressed. It can be assumed that this is related to regulatory issues and waiting for license approval. It is also not known in which country the company is applying for a business permit.

CHECK: Proptrading companies – List of the best offers

Prop trading is experiencing a renaissance

In recent months, the prop trading industry has become extremely popular. Trading using props is becoming more and more popular among retail traders who count on financing amounting to hundreds of thousands or even millions of dollars. There is also no shortage of scandals - in the second half of 2023. My Forex Funds (MFF) ended its operations with a bang., once considered the world No. 2 in the industry. Other companies also had problems almost overnight have been cut off from MetaTrader as a result of MetaQuotes' decision.

The potential of prop trading was also noticed by famous Forex brokers such as IC Markets, Axi, Hantec Markets or Purple Trading (within the brand Fintokei), launching their own funded accounts for traders. FTMO has taken the opposite path, although it can be assumed that this is simply anticipating the facts in the form of upcoming regulations that will probably cover the prop trading industry in the coming years.

READ: Forex brokers enter proptrading. A new trend visible in the industry

FTMO is one of the oldest prop trading companies. Based on data available on its website, over 2015 million people have registered with FTMO since its launch in 1,5.

“Like everything, online commerce is also evolving.” - Kamerman commented. “Traders' needs are constantly changing, and FTMO has caught lightning in a bottle. Our business is based on product and constant focus on the customer. The constant drive to innovate and introduce trader-centric solutions caught my attention many years ago.”

When a prop trading company also becomes a broker, it gains independence in its operations, diversification of revenues, is able to meet various needs and expectations of traders and has a much greater influence on the conditions offered to prop traders on the platform. So is this the right thing to do? Everything indicates that it is possible. We keep our fingers crossed!

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About the Author
Paweł Mosionek
An active trader on the Forex market since 2006. Editor of the Forex Nawigator portal and editor-in-chief and co-creator of the website. Speaker at the "Focus on Forex" conference at the Warsaw School of Economics, "NetVision" at the Gdańsk University of Technology and "Financial Intelligence" at the University of Gdańsk. Twice winner of "Junior Trader" - investment game for students organized by DM XTB. Addicted to travel, motorbikes and parachuting.