London, UK – Gildencrest Capital, formerly operating under the name TeraFX, has undergone a significant business transformation over the past year, pivoting away from retail-focused foreign exchange trading and toward equities and institutional clients. The strategic shift appears to be paying off in part though not without consequences to its overall profitability.
From Forex to Equities: A Strategic Realignment
In its newly released annual financial report, Gildencrest revealed that revenue from equity trading now makes up 90% of the firm’s income. The firm earned £2.05 million from equity trading in 2024, a modest 4% increase from the previous year. This came as the company scaled down its foreign exchange (FX) trading operations, resulting in a dramatic 75% decline in FX volumes from £34.8 billion in 2023 to just £8.7 billion last year. Income from contracts for difference (CFD) services related to FX totaled only £231,000.
Despite the drop in FX activity, Gildencrest views the steady performance in equity trading as a win given the challenging market backdrop.
“In 2024, the company continued to reduce its emphasis on forex trading in favor of expanding its services in capital market instruments such as equities,” the firm noted in its strategic report.
A Tough Year for Profits
While equities now dominate the revenue mix, the shift has not come without short-term pain. Gildencrest’s total revenue fell by 52%, dropping from £7.55 million in 2023 to £3.65 million in 2024. The decline in income was accompanied by a sharp fall in profitability. The company’s post-tax profit plummeted 97%, falling to just £20,458 from the previous year’s £809,912.
Gross profit also took a hit, sliding from £3.28 million to £2.12 million, a 35% year over year decrease.
A New Identity and Broader Mission
Early in 2024, the broker rebranded itself from TeraFX to Gildencrest Capital. The name change signified more than a cosmetic update it represented the firm’s broader vision to evolve beyond forex and into a more diversified financial services provider.
The company continues to operate as a matched principal broker, regulated by the UK’s Financial Conduct Authority (FCA), offering brokerage services in OTC derivatives and capital markets.
Global Expansion: Dubai & Latvia in Focus
As part of its growth strategy, Gildencrest is expanding its international footprint. The firm is leveraging its existing Dubai branch and is actively seeking a license in Latvia. If approved, this would allow the company to offer its products more widely across European markets potentially by mid-2025.
These efforts are set against a backdrop of increasingly strict regulatory environments in the UK and EU. Recent clampdowns by the FCA and ESMA on high-leverage products have made the retail forex business less attractive. Gildencrest appears to be repositioning to serve professional and institutional clients instead.
“We continue to strengthen our relationships with professional traders and corporate customers, while also pushing further into the equities space,” the company said.
Navigating an Uncertain 2025
Looking ahead, Gildencrest struck a cautious tone. The firm highlighted ongoing global economic risks, including geopolitical instability and fallout from newly introduced U.S. tariffs under Trump’s trade policy. These external factors are expected to weigh on market sentiment well into 2025.
Nonetheless, the company reports a solid financial foundation, ending 2024 with £3.1 million in regulatory capital well above minimum requirements. This buffer, they hope, will support the next phase of their evolution.
