Phillip Futures Inc., the division of the Singaporean company which joined the list of Forex dealer members (FDMs) in the United States in 2012, has announced a change in its name to Phillip Capital Inc. The rebranding became effective in August this year, with the change already reflected in the register of the National Futures Association (NFA).
Commenting on the move, the company stated that the change is due to the novel strategy and the planned widening of business through the pending launch of OTC Forex trading services in the United States this fall. Phillip Capital promises to offer the Metatrader 4 platform with straight through processing (STP) execution. With an eye on the enlarged offering, the new name also bears wider meaning, as the company moves from a single asset (futures), to multiple assets.
The change also aims to bring the name of the US company closer to that of its Singapore-based parent, PhillipCapital, which has a history dating back to 1975. The parent group has been stepping up its expansion efforts over the past years. In terms of OTC Forex trading, a strategic move worth mentioning is the opening up of Australian FX brokerage in the spring of 2013.
Diversification appears to be a key concept for the Singaporean group too, as it has also made a series of acquisitions in the area of micro-finance and banking. The latest such deal was announced less than a fortnight ago, as PhillipCapital acquired Cambodian HwangDBS Commercial Bank.
The move towards the OTC Forex trading in the United States appears to come at the right moment as the number of FDMs in the country has fallen, following the exits of FX brokers like FXDD and Alpari. Moreover, Phillip Capital Inc aims to lure US traders thanks to some exotic currency pairs with the Thai Baht and the Chinese Yuan. Retail FX giants in the US, like FXCM and OANDA, started offering pairs with the Chinese currency earlier this year, so we are about to see some healthy competition in this respect, with traders hopefully to be able to look for the best trading terms and conditions.
The planned launch of the FX offering by Phillip Capital Inc in the US is set to happen this fall, while the company also aims to boost its equities business and to become a self-clearing broker dealer next year.
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