The world's top 10 trading companies

2013 saw significant progress in implementing the strict provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act. A key part of the Dodd-Frank Act, called the "Volcker Rule", prohibits "private trading" but permits activities such as underwriting, marketing, risk mitigation and hedging of third-party trading activities. The whole law is complex and standard practice still persists. Financial firms with significant revenues from trading desks, including large global investment banks, have felt these regulatory restrictions on trading and, as a result, trading revenues have fallen.

Taking these developments as a starting point, let's look at how some of the leading trading firms have performed in the recent past and which ones have made the list of top trading firms (based on trading income). Most trading firms are still part of the larger global investment banks, and trading income data has been taken from annual reports or other sources where available. If you want to understand more about trading, then be sure to read this guide: https://samuelssonsrapport.se/inledning-till-trading/

• Barclays PLC (BCS BCSBarclays9, 48-1, 15% Created with Highstock 4, 2, 6) : Although London-based Barclays does not report trading income directly, the annual report gives an indication. According to the available "Investment Bank Daily Trading Income Histogram", Barclays has a turnover of £10.6 billion or $17. 6 billion, securing the top spot on the list of trading companies for 2013.
• J.P. Morgan Chase & Co. (JPMJPMorgan Chase & Co98. 36-2. 40% Created with Highstock 4. 2. 6): One of the largest investment banks, JPMorgan managed to generate a total trading income of $20. 26 billion, with $15. 5 billion comes from interest income, currency and commodities (FICC) and the remaining $4. 76 billion from equity trading. JPMorgan remains one of the few trading firms to improve slightly on last year's trading revenues, with a gain of about 2%.
• Citigroup, Inc. (C CCitigroup Inc.72, 43-1, 86% created by Highstock 4, 2, 6): Citigroup had revenues of $13.1 billion from FICC trading and $3. 02 billion in equity trading, for a total of $16. 12 billion in 2013. Like most other trading companies, it had a slight decline in trading revenue of about 2.8%.
• Goldman Sachs Group, Inc. (GS GSGoldman Sachs Group Inc.238. 98-1. 85% Created with Highstock 4. 2. 6): the financial giant is known to derive a significant portion of its revenue from equity and FICC trading. but this has fallen significantly from 78% to 45% between 2009 and 2014.

Goldman Sachs' total trading turnover in 2013 brought in $15.7 billion. On an annualized basis, Goldman led the biggest drop in trading revenues, down about 15% between 2012 and 2013.

• Bank of America Merrill Lynch (BAC BACBank of America Corp27. -2.51% Created with Highstock 4,2,6) : this company was formed by the mega-merger of Bank of America and Merrill Lynch. 59 billion in 2013, down about 4.8% on 2012.
• Deutsche Bank AG (DBBDeutsche Bank AG16. 69-0. 83% Created with Highstock 4. 2. 6 < ): Germany-based Deutsche Bank reported total revenues and turnover of EUR 9. 6 billion kroner (about $13 billion). Trade income from debt and other products contributed €6. SEK 9 billion, while sales and trading in equities amounted to €2 7 billion.
• MS Morgan Stanley49. 35-1. 58 % Created with Highstock 4. 2. 6: Morgan Stanley, headquartered in New York, is a reputable investment bank with significant trading income. Total trading income for 2013 was $10. 81 billion, down about 2.7% from the previous year.
• HSBC HSBC Hldgs47. 98-0. 58% created with Highstock 4. 2. 6 ): London-based HSBC reported net sales of $6. 921 billion, resulting in net sales of $8. 69 billion.
• UBSUBS Group Inc. 16. 87-1. 09% Created with Highstock 4. 2. 6 ): In 2013, investment bank UBS reported equity trading income of CHF 4.03 million in foreign currency, interest and credit income of CHF 1. 59 billion and a total trading income of CHF 5.69 billion (about SEK 558 billion).
• Credit Suisse High2. 850. 00% Created with Highstock 4. 2. 6) : The list of top ten trading companies ends with another Swiss investment bank. Credit Suisse reported trading profits of CHF 2.75 billion (approx. SEK 2,475 billion).

With its significant contribution to overall revenue growth, trading remains the most attractive area of business among global investment banks. As stricter regulations come into force every day, trading activity and revenues will inevitably suffer, as has been the case for banks such as Goldman Sachs. Going forward, trading firms and the respective trading desks of major global banks must implement innovative strategies to maintain their leadership in trading.

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