World First Launching a World Account and Closing Markets Subsidiary
World First Launching a World Account and Closing World First Markets Subsidiary – World First UK To Take Precedence
World First is one of the leading companies in the UK for foreign exchange payments. They were established in 2004 by Jonathon Quin and Nick Robinson. World First currently offers exchanges in 121 currencies, and they have offices in the UK, the United States, the Netherlands, Australia, Hong Kong, and Singapore. World First offers multiple ways for clients to participate in forex trading. Clients can trade over their online platform, telephone, and email. Their versatility and high client rating (98%) make them one of the most prominent options for forex traders.
Changes in World First’s Business Direction
Up until recently, World First was comprised of two separate business sectors, World First UK and World First Markets. World First UK focuses on foreign exchange payments, whereas World First Markets offered corporate clients the ability to hedge derivatives and using call/put options and participating forwards. These two business verticals offered clients a well-rounded experience, with multiple ways to address their trading needs.
World First has functioned incredibly successfully with these two business segments for many years. That being said, World First UK has always been the core of World First’s business, and the vertical that has consistently performed well in ratings and reviews. At one point, World First prided themselves on being one of the first financial trading companies to offer options. However, this is no longer the case.
Shut Down of World First Markets Vertical
This February, World First made the choice to shut down the World First Markets vertical of their business. World First Markets has always comprised a small portion of World First’s business model. This announcement came as a surprise to the financial news sector, and has been widely reported on since World First released the news.
In their statement, World First expressed that this decision was made in order to focus more of their efforts on World First UK. According to Reuters, this change will impact approximately 50 World First employees in the UK. However, World First will be working to incorporate them into World First UK, and doesn’t, “foresee any redundancies.” World First has also reiterated that they will continue to service outstanding contracts, honor any options bought before this announcement was finalized, and work to provide spot solutions to all of their clients regardless of this new business direction.
Forward contracts are generally the most highly recommended tool for hedging. World First has come out and confirmed that they will still be offering this option to clients, both private and corporate, so very few World First clients will be impacted by the closing of World First Markets.
Launching World Account – International Business Banking
World First has declared a new feature – World Account. This new service for businesses will enable them to use one payments platform for all global needs. Using the World Account at World First will be quite easy and will allow to:
- Open local bank accounts across the globe with no fees and hold balances
- receive incoming and make outgoing local payments
The idea to this feature was born as a result to a deep research considering SMEs and online sellers trading behavior. An understanding of SMEs trade volume in the UK lead to creating this on online platform which will make it easier to save money when using different currencies. The advantage is clear, you don’t have to convert the currencies, thus, you save can those fees. It also helps when wanting to trade in new territories around the world – saves you the trouble of trying to open new bank accounts in different currencies.
Other companies have similar features and products, but World First’s idea is definitely an innovative one. Payoneer has their collection account which allows you to receive local bank transfers from different countries in a variety of currencies to your Payoneer account. You can withdraw your money from your Payoneer account. However, you can make payment only to another Payoneer account holder. OFX and Currencies Direct also have a similar service, but only for online sellers.
Will This Impact You?
Shutting down the World First Markets vertical – No. Launching World Account – Yes, but for the best. Probably some clients are concerned about this business shift. Any time there is a business shift in a financial services company, there tends to be panic amongst their clients and people considering working with them. However, in this situation, no panic is necessary. This new shift and new feature will positively impact the majority of World First’s clients.
After this new development, World First will have over 400 employees focusing all their time and energy on improving their forex payment products for private clients, this new World Account is a proof of that.
This shift will also cement World First as a more stable financial services company. Institutions that offer forward options to corporate buyers tend to be less stable as the market is more prone to drastic swings. By removing this section of their business, they’re further improving the experience for the vast majority of their clientele.
World First is incredibly successful in their focus on private clients’ forex trading. Their, “every payment has a story,” business campaign hits home with many of our readers, and World First’s outstanding performance backs up every claim they make. They have been the recipient of multiple rewards. In 2015 alone, they earned a place on the Real Business Hot 100, and placed in the top 30 of The Sunday Times ‘International Track 200’. All that aside, World First’s rapid growth speaks to their success. This year they’ve gained 23,000+ new customers, the majority of whom are private clients working with World First UK on forex trading.
Despite this change in their business model, Money Transfer Comparison will continue to rate them highly on our site. This is because World First’s new business direction won’t impact any of our readers, and shouldn’t be cause for concern. As was previously mentioned, this change in World First’s business should bring private forex trading clients better service and more product options. Currently World First holds the most recommended forex trading company on our site, and it will continue to do so. Furthermore, we believe their decision was a sound one. By focusing on the larger portion of their client base, World First is showing a dedication to their business and their clients, which we believe is an excellent business decision.
Update Nov 14, 2017: World First has added CAD to their list of currencies for World Account.
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