Despite a 55% Drop in Trading Revenue, GKFX UK Narrows Its Losses For 2021

The firm earned £4.1 million in short-term non-trading revenue.

Its pre-tax losses for the fiscal year totaled £2.24 million.

GKFX Financial Services Limited, Global Kapital Group's UK-based subsidiary, has released its financial results for the fiscal year 2021, which ended on December 31, 2018. Although the broker's yearly turnover from its trading company decreased, it dramatically reduced its losses.

According to the Companies House statement, the broker's FCA-regulated United Kingdom company produced £1.18 million in revenue. In the preceding fiscal year, it raked in £2.66 million in revenue, a reduction of more than 55%.

Its gross trading profits fell to £509,798 from £1.89 million the previous year.

The firm attributed the decline in its core business performance to market volatility and global macroeconomic issues.

“Trading revenues for the year were primarily generated through volume rebates with a counterparty related to GKFX through common ownership.” According to the filing, “the risk management approach is based on highly automated flow management, which dynamically hedges client exposures and risk.”

“The amount of transactions conducted on behalf of the Company's clients influences the level of such revenues, [and] its performance is driven by the range of financial products it provides and the quality of services given to consumers.”

In addition, the UK business earned £4.1 million in non-trading income from its counterpart by offering short-term services such as acquiring outsourced services and supplies.

Despite greater administrative expenses, non-trading income contributed to a reduction in operating losses of £2.63 million, down from £3.29 million in 2020. The company's pre-tax losses were £2.24 million last year, down from £2.88 million the previous year.

“As a consequence of a number of strategy adjustments beginning in 2019 and continuing through 2021, trading revenues and associated expenditures have continued to fall dramatically from prior levels,” according to the report.

About GKFX

Since 2010, the multinational corporation GKFX, which was recently relaunched as GKPro, has given global traders with access to global financial markets. Today, GKPro's headquarters in London, UK, seeks to better service customers and guarantee their traders' needs are met via its many BVI, sites across the globe, including Germany (Frankfurt), Spain (Madrid), Malta, Dubai, Indonesia, the BVI, and others.

With massive investments and great employees, the major corporate aim is to become a leading brand for financial market services, many of whom are senior professionals with more than 20 years of expertise in financial transactions.

Overall, the technology they deploy and their great service as intermediaries improve and grow the broker's market position and impact.

GKFX Pros and Cons

GKFX is a respectable, well-regulated FCA-authorized broker. It offers a full trading solution for investors, with simple, low-cost trading and strong trading tools.

On the negative side, it varies per entity, there is no 24/7 assistance, and spreads for particular instruments may be greater.

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