EGM Securities Limited, an online foreign exchange broker, earned brokerage commissions amounting to Sh 1.44 million for the six months ending June 30th, 2019. This is compared to Sh 4, 000 made the previous year.
The firm is a non-dealing online foreign exchange broker incorporated in Kenya on December 21, 2016, under the Company’s Act, licensed and regulated by the Capital Markets Authority (CMA).
Statement of comprehensive income shows that the firm earned an income of Sh 100.96 million compared to Sh 201,000 the previous year. The firm had a pre-tax profit of Sh 37.4 million at the end of June this year compared to a loss of Sh 16.2 million.
A non-dealing online foreign exchange broker license means the entity is licensed by the Capital Markets Authority to act as a link between the online foreign exchange market and a client in return for a commission or mark-up in spreads and does not engage in market-making activities (buying and selling of foreign currencies).
Non-dealing Online Forex Brokers avail a trading platform to clients to enable them trade from anywhere and at any time using their electronic devices. The platform provides access to global markets and also provides an opportunity to clients to educate themselves on the global financial markets. Non- dealing Online Forex brokers do not offer client advice or trade on behalf of their clients.
Related; CBK issues an alert on unlicensed forex dealers
