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IronFX Posts Huge Drop in Revenues

By:
Colin First
Updated: May 15, 2017, 11:54 UTC

IronFX has been on a downward spiral for the past couple of years ever since news emerged that the Cyprus monetary authority pointed out large holes as

IronFX Posts Huge Drop in Revenues

IronFX has been on a downward spiral for the past couple of years ever since news emerged that the Cyprus monetary authority pointed out large holes as far as the funds under its control were concerned. This raised serious questions as far as its stability was concerned and this has led investors and traders to think twice before engaging with IronFX for their trading activity.

Dwindling Revenues and Tough Times

This has begun to reflect in their earnings numbers as its revenues fell by 73% last year to $1.1 million and the company had to lay off 38 employees over the last year. Also, in order to shore up its revenues, it had to lease out its premises in the UK as its headcount in the UK offices reduced to 3.

The company is trying to channelise all its trading to its Cyprus based entity and keeping minimum clientele and trading out of its UK offices. This is despite the fact that the Cypriot regulatory authority had pointed out a huge hole in their client fund holding, which the company vehemently denied but has since failed to follow up with any specific documentation to support their rebuttal. A combination of all these factors has led to the erosion of client trust in the company and this is the reason why the company has chosen to keep a low profile in the recent years.

The company has also put on hold several deals that it had announced a few years back when the company was doing really well on all fronts. The repeated setbacks has pushed the company into a corner and led to a drop in revenues and the survival amidst the tough competition in the FX broker industry seems to be getting tougher and tougher.

Check out IronFX Review

About the Author

Colin specializes in developing trading strategies and analyze financial instruments both technically and fundamentally. Colin holds a Bachelor of Engineering From Milwaukee University.

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