Deutsche Bank, the world's largest FX provider to institutional investors, announced it agreed to sell its retail FX unit to GAIN Capital Holdings Inc.
Financial terms of the deal, which are still subject to regulatory approval, were not disclosed. As part of the agreement, Deutsche Bank said GAIN Capital will pay it based on contract volume generated by transferring customers. Meanwhile, dbFX customers can now trade on GAIN Capital's FOREX.com platform.
Deutsche Bank said that trading volumes on dbFX, which debuted in 2006, have grown every year, culminating with 2010 volumes that were 56 percent higher than the prior year.
"Now is the right time to set the business on a course for further growth under the ownership of an online retail specialist," Zar Amrolia, the global head of FX at Deutsche Bank said in a statement.