Tamta-Suladze.pngBy Tamta Suladze
5/5(1)

B2PRIME Group Releases 2024 Market Report Highlighting Key Growth and Industry Trends

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B2PRIME Group's 2024 market report

B2PRIME Group is proud to present this report on key financial metrics and market averages for 2024.

In 2024, the global financial ecosystem experienced a significant transformation. With an increased institutional demand, advancements in trading technology, coupled with an evolving regulatory environment, all played a pivotal role in shaping market dynamics. 

B2PRIME Group capitalised on these trends, achieving remarkable year-over-year growth in key financial indicators such as Gross Income from Client Trading, Total Assets, and Shareholders' Equity.

This report explores global asset trends, shareholder equity, regulatory capital ratios, and the dynamic forces driving institutional liquidity demand. Additionally, we provide insights into trading volumes across major asset classes and regional market participation.

Market Averages in 2024 for Key Financial Metrics

While specific global averages for all financial metrics are not readily available, data from major financial institutions provides insight into industry standards:

  • Total Assets: The U.S. banking industry reported total assets of $24.2 trillion in the third quarter of 2024, marking a 1.4% increase from the previous quarter.

  • Shareholders’ Equity: For example, PNC Financial Services reported average total assets of $564.1 billion in Q4 2024, unchanged from previous quarters.

  • Regulatory Capital Ratios: Most banks maintained capital levels well above regulatory requirements. As of the second quarter of 2024, over 99% of banks were well-capitalised.

Financial Performance Highlights in 2024

B2PRIME Group recorded a remarkable increase in Gross Income from Client Trading, reaching $35.9 million in 2024 — a 730% year-over-year (YoY) increase from $4.3 million in 2023. This growth aligns with broader market trends where liquidity providers benefited from heightened institutional demand and improved trading technologies.

Key financial highlights for 2024 include:

  • Total Assets: $36.1 million, representing a 76% YoY increase.

  • Shareholders' Equity: $16.5 million, marking a 530% rise from 2023.

B2PRIME Group's regulatory capital ratios also reflect significant financial resilience:

  • CET 1 Ratio: 782.20% (Required Minimum: 56.00%)

  • Own Funds Ratio: 783.30% (Required Minimum: 100%)

  • Liquidity Requirements Ratio: 9067.00% (Required Minimum: 100%)

Market Dynamics Driving Institutional Liquidity Demand

The institutional liquidity market experienced notable growth in 2024. Over 65% of financial firms adopted advanced liquidity aggregation tools, enhancing trade execution and market depth, which reflects broader industry priorities centered on improving operational efficiency and managing liquidity risks.

Key market drivers include:

  • Money Market Funds (MMFs): MMFs saw substantial inflows due to an inverted yield curve, economic uncertainties, and increased investor awareness. In the U.S., MMF assets reached approximately $7 trillion, indicating sustained demand for liquid investment vehicles.
  • Private Equity (PE) Dealmaking: Global PE dealmaking rebounded by 14% to $2 trillion, making 2024 the third-most-active year on record. This resurgence reflects increased liquidity and investor confidence in private markets.

Broader market factors influencing liquidity demand include:

  • Private Credit Expansion: Increased competition from business development companies (BDCs) has elevated demand for flexible liquidity solutions.
  • Private Equity Liquidity Challenges: An estimated $3.6 trillion in unsold private equity assets has created liquidity pressures, emphasising the need for reliable providers.

Looking ahead to 2025, forecasts suggest a stable global economic environment:

Real GDP growth is expected to remain stable at 3.1% in 2025, mirroring the anticipated growth rate of 2024. However, growth patterns are projected to vary across regions, with some experiencing stronger expansions than others.

Gold Market Performance and Its Impact

Gold emerged as a significant asset class in 2024, rising by 27% to approximately $2,625 per troy ounce by year-end. This growth was supported by expectations of lower U.S. interest rates, central bank purchases (notably by China), and ongoing geopolitical uncertainties. Gold reached a record high of $2,800 in early 2025, strengthening its role as a safe-haven asset.

The gold market's expansion also extended to exchange-traded funds (ETFs), which saw global inflows of $271 billion, a 26% increase, which underscored the broader market interest in diversified investment strategies and liquid assets.

Trading Volumes and Market Correlations

  1. XAU/USD (Gold vs. US Dollar):

    1. Trading Volume: Approximately $149.59 billion.

    2. Market Context: Gold prices surged by 27% in 2024, reaching $2,617.20 per troy ounce, driven by factors such as geopolitical tensions and central banks increasing their gold reserves. 

  2. EUR/USD (Euro vs. US Dollar):

    1. Trading Volume: Approximately $16.39 billion.

    2. Market Context: The EUR/USD pair remained the most traded forex pair globally, with a daily trading volume of $795 billion in April 2024, accounting for 24% of the market share. 

  3. GBP/USD (British Pound vs. US Dollar):

    1. Trading Volume: Approximately $9.43 billion.

    2. Market Context: The GBP/USD pair, known as “Cable,” attracted significant trading activity, with a daily average of $370 billion in April 2024, making up 13% of the overall forex volume. 

  4. DJI/USD (Dow Jones Industrial Average vs. US Dollar):

    1. Trading Volume: Approximately $3.65 billion.

    2. Market Context: The Dow Jones Industrial Average experienced a 12.9% gain in 2024, driven by a strong economy and robust consumer spending. 

  5. NDX/USD (Nasdaq 100 vs. US Dollar):

    1. Trading Volume: Approximately $3.42 billion. 

    2. Market Context: The Nasdaq Composite achieved a 28.6% gain in 2024, fueled by significant growth in technology stocks.

  6. EUR/JPY (Euro vs. Japanese Yen):

    1. Trading Volume: Approximately $2.75 billion.

      Market Context: The EUR/JPY pair’s activity was influenced by monetary policy shifts, with the Bank of Japan’s decisions impacting the Yen’s value.

Regionally, Europe and North America remained the dominant contributors to trading activity, while the Asia-Pacific (APAC) and Middle East & North Africa (MENA) regions displayed increasing market participation.

Future Outlook: Innovation and Sustainable Growth

Despite overall economic projections remaining uncertain and predicting more risks, the broader institutional liquidity market is expected to continue evolving, with an emphasis on technological innovation and capital efficiency. 

Key elements, including the potential change of the key rate and the expected trade fragmentation due to tariffs, will shape market conditions in the near future. Geopolitical events and rising inflation will also have an impact, changing sentiments around the world.

Even in given circumstances, B2PRIME Group remains flexible and aims to grow. The Group strives to continue development through expanding its liquidity capabilities and improving its technical potential.

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