In recent times, the financial market is one of the most propitious markets across the globe with the vast variety of financial items offered for trading at recent time. Whereas in the Philippines the trading activities are exceedingly regulated owing to the very lower trading volume and comparatively fewer trading accounts, numerous of the brokerage firms deliver the brokerage services at the lower rates prearranged by the SEC. The players presently control the brokerage fees for the equity trading and plan to extend the financial services towards asset management, mutual funds, wealth maintenance, top picks, algorithmic trading and several other services that can lure the consumers. Not only has this, the entire revenue in the industry of financial brokerage effectively monitored the trend on account of reduction in the simplification of the tax structure for trading, the effective rise in the investor’s attitude and trust and political permanency in the Philippines in the recent past years.
Dependent on the type of trading activity, financial brokerage market in the Philippines, the sector of the equity has accounted for the entire market in the volume transaction terms throughout the review duration which was complemented by the proficient liquidity in the equity, issuance of the bonus shares in the little instances thereby the extenuating the considerable share of the equity in the entire market.
Additionally, The Philippines Financial Brokerage Industry is scrappy in nature. UBS Securities is the market frontrunner and has the uppermost market share in the Financial Brokerage market in the Philippines on the basis of anticipated equity trading volume in the reviewed period. This was monitored by CLSA, Credit Suisse, COL Financial, Deutsche Regis Partners, Maybank ATR Kim, Macquarie Capital, and several others. These market players contend in the brokerage market in Philippines-based on the commissions stimulating, quality of supplementary services and technology and reputation.
Furthermore, the developments in the technology will central to deduction in the operational prices, the advantages of which can be passed on to the customers as the brokerage firms contend to stay applicable in the market. Foreign firms are bringing improved tech from their operations in developed regions to the Philippines to deliver better service to Filipino investors.
Whereas, the unchanging positive the economic viewpoint of Indonesia, an incursion of the foreign investments are cooperatively predicted to fuel the growth within the Indonesia financial brokerage industry. Furthermore, in the present era, the competitive structure of the industry is greatly fragmented with the 104 firms competing based on the rates, quality of the services, service portfolio and several other parameters to attain the greater traded value market share. Nonetheless, with the growing number of strategic partnerships of prevailing firms with the global corporates, the consolidation of the brokerage firm is anticipated in the near future.
Amongst the indigenous brokerage firms, the important player in the market is MandiriSekuritas in terms of revenue involved in the industry whereas CGS-CIMB has the maximum revenue market share among the global firms. Therefore, in the coming years, it is anticipated that the market of financial brokerage will increase more enormously around the globe over the coming years.
Related Reports: –
Philippines Financial Brokerage Market Outlook to 2023