Singapore gains momentum in arms race for currency trading hub status
Recent success in attracting peer-to-peer lender Lufax underscores Singapore’s growing appeal as a hub for new financial technology trading and wealth management platforms
Singapore’s embrace of fintech and its growing status as a hub for the trade of Southeast Asian currencies are giving the city state an edge in the arms race to attract internet platforms for trading and wealth management, according to one industry expert.
Oanda, an online forex trading company established in Toronto, Canada in 1996, chose Singapore as its corporate headquarters in Asia in 2007. The company, which also has Asian offices in Sydney and Tokyo, offers internet trading for both institutional and retail investors, with 75,000 clients worldwide.
The firm was co-founded by Michael Stumm, who is currently a professor of computer engineering at the University of Toronto.
Asia-Pacific has emerged as the company’s fastest growth market, representing 50 per cent of its business revenue and 65 per cent of trading volume.
“When the company choose to enter into Asia about a decade ago, we chose Singapore as our headquarters as it has a very active forex currency trading market and a lot of high net worth clients,” Oanda senior trader Stephen Innes told the Post.
“More importantly, Singapore’s government has encouraged fintech, which has led many banks and financial firms to move in to capture opportunities.”