Seventy-two percent (72%) of
traders active in Poland’s forex and over-the-counter (OTC) derivatives markets incurred losses on their
transactions in 2021.
This is despite the fact
that the percentage of traders that saw profits in their transactions increased
last year.
This number includes
both Polish and foreign residents trading in the Central European country’s OTC derivatives market.
While 31,478 active customers
realized a profit in 2021, 80, 488 suffered a loss in the same year.
Between 2020 and 2021, the total number of active traders that recorded profits and losses climbed on both ends. While the gainers surged by 75.7% from 17,914
in 2020, the numbers of losers also climbed by 29% from 62,334 seen two years ago.
These details are
contained in the 2021 forex customer performance report released by the Polish
Financial Supervision Authority (PFSA).
The market supervisor
said these figures are based on data provided to it by entities it supervises.
In 2021, active Polish
and foreign traders were over 111,000 while Polish-only customers were over
53,000.
The Gainer-Loser Spread
On a whole, the total
losses of Polish and foreign traders stood at zł1, 158, 547, 060
billion while the gain was zł413,210,926 million.
The report also shows that the percentage of losing
traders has been decreasing over the last four years, falling from 79.7% in
2017 to 71.9% in 2021.
While the average profit
per customer fell -15% from zł15, 486 to zł13, 127, the average loss per
customer also dropped -24.6% from zł19, 089 to zł14,394.
Regardless of this, the
average net result per client still remains negative, coming in at zł6,657 in
2021.
This is a -41% plunge
from the zł11, 370 average net per customer outcome recorded in 2020.
Meanwhile, the total
number of active clients under the gainers category quadrupled since 2017,
rising from zł8, 165 to zł31,478 in 2021.
Dominance of Retail
Trading
Furthermore, the report by PFSA shows that retail customers accounted for 99.6% of active clients
last year.
“In 2021, the vast
majority of investors making transactions on the forex market through domestic
brokerage houses were retail clients, with a 99.6% share in the number of
active clients and 83% share in the nominal value of transactions,” the Polish
financial industry watchdog said.In 2020, 80,000 Poles actively traded forex. During the first year of the pandemic, these traders recorded an FX profit of 227 million zlotys. Meanwhile, Polish stock exchange, the Warsaw Stock Exchange (GPW), yesterday completed its 65.03% majority shares acquisition of the Armenia Securities Exchange (AMX). AMX is the only stock exchange in Armenia.Marek Dietl, the President of the Management Board of GPW, noted that the Polish exchange’s goal with the acquisition is to “recreate with joint efforts the capital markets of Armenia.”
This article was written by Solomon Oladipupo at www.financemagnates.com.
