IG Group Holdings plc Pre-Close Trading Update (2992J)
December 04 2018 - 1:00AM
UK Regulatory
TIDMIGG
RNS Number : 2992J
IG Group Holdings plc
04 December 2018
4 December 2018
LEI No: 2138003A5Q1M7ANOUD76
IG GROUP HOLDINGS PLC
Pre Close Trading Update
IG Group Holdings plc ("IG", "the Group", "the Company"), a
global leader in online trading, today issues an update ahead of
entering its close period following the end of the first half of
the financial year ending 31 May 2019 ("FY19").
Revenue in the first half is expected to be around 6% lower than
in the same period in FY18, which was a record for IG.
The ESMA product intervention measures came into effect during
the period. The prohibition on offering binary options to retail
clients became effective from 2 July 2018 and the restrictions
relating to the provision of CFDs to retail clients were effective
from 1 August 2018. Group revenue in the four month period since
all the measures came into effect is expected to be around 10%
lower than in the same period a year ago. Revenue in that four
month period in the ESMA region (UK and EU) is expected to be
around 20% lower, with revenue from the Group's business in APAC
and other non-ESMA region countries expected to be around 9%
higher. Both of these figures are underlying changes, adjusting for
the 1,200 clients who previously contracted with a UK entity who
are now trading with an entity outside the ESMA region.
The number of clients in the UK and EU who have elected to be
classified as professional continued to increase during the period.
Around 70% of UK and EU revenue in the four months since all the
measures were introduced has been generated by professional
clients.
The number of new OTC leveraged clients who traded for the first
time with IG in the period was 14,600 compared with 18,027 in the
same period of the prior year. This comprises 8,200 in the ESMA
region (H1 FY18: 11,666) and 6,400 in the APAC and non-ESMA regions
(H1 FY18: 6,361).
The Group has continued to make progress with its strategic
initiatives. IG Europe, the Group's client facing subsidiary in
Germany, has received its licence from BaFin. This provides
certainty that IG will be able to offer its regulated financial
products in all EU member states following the UK's exit from the
EU. The Group's USA subsidiary has been approved as a member of the
National Futures Association (NFA) and is now registered to operate
as a Retail Foreign Exchange Dealer (RFED).
Board Update
Sally-Ann Hibberd, a Non-Executive Director and member of the
Audit and Remuneration Committees has today also been appointed as
a member of the Nomination Committee.
The next performance announcement from IG will be the financial
results for the six months ended 30 November 2018 on 22 January
2019.
For further information, please contact:
IG Group
Liz Scorer 020 7573 0727
investors@iggroup.com
FTI Consulting
Neil Doyle / Ed Berry 020 3727 1141 / 1046
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulation ("MAR"). Upon the publication of this
announcement via Regulatory Information Service ("RIS"), this
inside information is now considered to be in the public
domain.
About IG
IG empowers informed, decisive, adventurous people to access
opportunities in over 15,000 financial markets. With a strong focus
on innovation and technology, the company puts client needs at the
heart of everything it does.
IG's vision is to be a global leader in retail trading and
investments. Established in 1974 as the world's first financial
derivatives firm, it continued leading the way by launching the
world's first online and iPhone trading services.
IG is an award-winning, multi-platform trading company, the
world's No.1 provider of CFDs* and a global leader in forex. It
provides leveraged services with the option of limited-risk
guarantees, and offers an execution-only share dealing service in
the UK, Australia, Germany, France, Ireland, Austria and the
Netherlands. IG has recently launched a range of affordable, fully
managed investment portfolios, to provide a comprehensive offering
to investors and active traders.
It is a member of the FTSE 250, with offices across Europe,
including a Swiss bank, Africa, Asia-Pacific, the Middle East and
the US, where it offers on-exchange limited risk derivatives via
the Nadex brand.
*Based on revenue excluding FX (from published financial
statements, February 2018)
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
TSTFKNDPOBDDBBK
(END) Dow Jones Newswires
December 04, 2018 02:00 ET (07:00 GMT)
Ig (LSE:IGG)
Historical Stock Chart
From Apr 2024 to May 2024
Ig (LSE:IGG)
Historical Stock Chart
From May 2023 to May 2024