Exclusive: TradeNext Starts Internal Review, Some Clients Terminated
The company sent notice to certain clients about the termination of their agreements after reassessing relationship with some affiliates
London headquartered brokerage, TradeNext, has launched an internal review after terminating several relationships with clients. Some customers of TradeNext recently received Customer Agreement Termination notices, after their relationship with the firm has been placed under a thorough review by the broker. Finance Magnates reporters learned that owners could be looking for a potential investor in the company.
The UK firm is regulated by the FCA to offer FX, CFDs and Spread-Betting, and launched a Prime service as part of its institutional business last year. In 2013, it was the first to launch Tradable’s platform. The Indian-owned brokerage is largely focused on emerging markets; while launching broad campaigns for UK clients, most notably with a deal signed with Derby County last year, it has also sponsored an Asian footballer talent competition.
Apparently, partnerships with some affiliates did not yield the expected returns, leading to TradeNext reassessing its relationship with a number of clients.
A source familiar with the matter confirmed to Finance Magnates that “the firm is carrying out a strategic review of its products, services and client segments.” TradeNext is also believed to have reduced it’s London staff recently.
According to independent sources familiar with discussions, the management of the company could be looking for a strategic partner.