Rosenthal Collins Group, (RCG), a leading independent futures clearing firm, and Gain Capital Group, a market leader in retail foreign exchange (forex) trading, announced today that they have embarked on a reciprocal initiative for offering clients their market-leading products and services.
RCG has just introduced RCG ForexTrader, a white label version of GAIN's online spot forex platform. In turn, GAIN is providing access to RCG's futures and options trading capabilities via the GAIN Capital website.
"As we make GAIN's award-winning foreign exchange technology and expertise available to our clients, we are also pleased to offer GAIN clients the breadth of global futures and options products and services that RCG provides," said Scott Gordon, RCG chairman and chief executive officer. "Through our new referral program with GAIN, traders will be able to utilize our full suite of clearing and trade execution capabilities, including our proprietary RCG Onyx 2 electronic trading platform."
"GAIN Capital is enthusiastic about providing RCG's customers with white label access to GAIN's award-winning ForexTrader platform," said Glenn Stevens, chief executive officer of GAIN Capital Group. "Likewise, we're also pleased, for the first time, to refer our customers to the futures and options trading capabilities from RCG, one of the most well-known and respected firms in the industry. This alliance will enable both companies to expand their ability to deliver the breadth and depth of online products and services that retail trading customers are seeking," said Stevens.
"We're very pleased to expand on our suite of foreign exchange offerings by bringing our clients a white label version of GAIN's enormously popular forex platform," said Maureen Downs, president of RCG. "RCG and GAIN share a commitment to robust, user-friendly technology, and our new cross-marketing relationship builds upon the strong technology foundation in complementary asset classes."
This expanded alliance builds upon the companies' European joint venture, known as RCG GAIN Limited, which was announced in March 2008. RCG GAIN Limited, authorized and regulated by the UK Financial Services Authority, will offer online trading capabilities in forex and futures to self-directed investors in the UK, with the intention to expand the trading service further into the European Union over time. RCG GAIN Limited service is expected to go online in the UK during the third quarter of 2008.
Forex is the most traded market in the world, with a daily volume that exceeds $3.2 trillion, according to the Bank for International Settlements (BIS). Among retail investors, forex trading has gained widespread acceptance over the past several years. According to U.S. research firm Aite Group, average daily trade volume in the retail forex market alone increased 500% from 2001 to 2006, reaching an estimated $77 billion per day in 2007.*
Volume in futures, options on futures and securities options globally was nearly 15.2 billion contracts in 2007, up 28% over 2006 volume.** Volume at RCG totaled a record 35.3 million futures and options on futures contracts in the first quarter of 2008, an 89% increase over the same period last year.
(*) Source: Aite Group, Retail FX: Taking Center in Overall Market Growth, 7/16/2007
(**) Source: Futures Industry Association