Rakuten Securities Inc, one of the largest foreign exchange brokers in Japan, has reported its financial results for the fiscal year ending December 31, 2020, which were characterised by upbeat revenues and profits, according to a Rakuten statement.
Rakuten Securities yielded an operating revenue of ¥72 billion ($698 million) during the FY2020, which is a gain of 30 percent from ¥56 billion in the year earlier.
The same narrative was noted across the profit attributable to owners of the parent company (net income), with the figure coming in at ¥15 billion ($145 million) which is 33 percent higher compared to its 2019 equivalent.
In terms of overall assets, the Tokyo-headquartered brokerage currently holds ¥2.4 trillion ($23 billion), which is up by a third from which it was at the end of the previous fiscal year.
Rakuten Securities, alongside other e-brokers, reaped the benefit of stay-at-home orders to stem the Covid-19, which drove many young, first-time investors to open new accounts. The retail trading boom has led Rakuten’s subsidiaries in many markets to triple its users base in 2020.
Rakuten Group, the parent entity, plans to announce its consolidated financial reports for the fiscal year ended December 31, 2020, on February 12, 2021.
Rakuten Securities is one of the largest Japanese FX brokers and operates regional businesses including in Hong Kong, following an acquisition of one of FXCM’s prior businesses five years ago.
Rakuten Securities, which operates retail foreign exchange brands in Australia and Malaysia via a joint venture with Kenanga Investment Bank Berha, is part of E-commerce giant Rakuten. Rakuten.com runs the fourth largest e-commerce business, trailing only behind Alibaba, eBay and Amazon.
Leveraging synergies within the group, Rakuten has ventured into the digital asset space with the launch of its cryptocurrency exchange, known as ‘Rakuten Wallet‘.
The move comes nearly four years after the e-retailer acquired Bitcoin payments startup, Bitnet and opened a blockchain lab in the UK, becoming one of the more noteworthy firms in the Asia-Pacific region to top on the cryptocurrency bandwagon.
Reference : https://www.financemagnates.com/forex/brokers/rakuten-securities-reports-solid-financial-results-for-fy-2020/