The institution-based brokerage achieved £14,839 pre-tax profit in FY21.
UK broker House of Borse has published its financial of fiscal year 202, ending on July 31. According to the report, the company’s turnover is £593,961, which is a 26 percent decline compared to the previous year.
The broker generates its revenue primarily from the commission levied on each trade of its clients. “The decrease in turnover when compared to last year confirms that the firm has performed well despite some very challenging market conditions,” the broker stated in the latest Companies House filing.
“The management continues to monitor the situation and are confident that the company is well placed to further strengthen its position and that where required management will take all necessary steps to further improve [the] firm’s performance.”
However, the brokerage company achieved to cut its sales cost significantly. Thus the gross profit is increased compared to the last year. The gross profit of the period become £367,534 from £272,251.
Since the company did not achieve any “exceptional income”, pre-tax profit of the year declined to £14,839. We can see that House of Borse generates £250,000 in ‘exceptional income’ in FY2020, which has helped the company to achieve a pre-tax profit of £76,772.
House of Borse has the license of Financial Conduct Authority (FCA) and it is operating with the license since 2016. It operates as a matched principal intermediary for many types of investments. The company focuses especially on professional and institutional clients. As a traditional prime broker, it has core service opportunities. Since it is a market facilitator and aggregator, it provides direct market access to many banks and non-bank liquidity providers, and ECNs. They offer a wide range of instruments such as forex, indices, commodities, and equities.