Almost 80% of Polish Forex Traders Ended 2020 with Losses

July 16, 2021, | AtoZ Markets – The Polish regulator of financial markets, known as Komisja Nadzoru Finansowego (KNF), published an annual report on transactions in the Forex market yesterday. The report says that 77.7% of traders ended 2020 with a loss.

The KNF, which collects data from regulated OTC brokers, claims retail accounts account for 99.3% of all active Forex traders.

Polish regulated brokers work not only with Poles, but also with foreign clients. They are popular with traders because they offer a leverage of 1: 100, while the maximum recommended by the European Securities and Markets Authority (ESMA) does not exceed 1:30.

Loses of Polish Forex traders increased in 2020

The latest KNF report shows that the number of losing Forex traders has increased in the past year compared to 2019. On average, traders lost 11,370 zloty ($2.926 at the current exchange rate), which is almost 2 times more than in the previous year. This data applies to both Polish and international customers.

The statistics for residents is not much different: 77.4% of Poles lost their deposits, and the average loss was 12.693 zlotys.

The report also states that a total of 17,914 traders, both Polish and international, received a total profit of PLN 277.4 million. Realized losses of customers amounted to almost PLN 1.19 billion. For residents, the realized profit amounted to PLN 162 million, the loss - PLN 669.7 million.

Both realized profit and loss increased sharply over the past year, which is associated with the retail fever in the financial markets caused by the lockdown and pandemic restrictions.

As a reminder, the KNF has also warned young investors that the cryptocurrency market is fraught with losses. traders looking to make quick money when price rallies run the risk of losing all their money due to high price volatility.

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