IG Group is a good bet as revenue soars
AMATEUR traders taking a punt on volatile stock markets helped spread-betting company IG Group to boost first half revenues.
IG’s financial business increased revenue by 26 per cent in the second quarter as clients sought to cash in on market swings.
A 15 per cent rise in active clients and an 11 per cent lift in revenue per client boosted turnover in the six months to November 30 by a quarter to £195.6million from £156.7million a year ago.
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IG also benefited from the collapse in October of rival MF Global, which competed with IG in Australia, Singapore and the UK.
“IG has benefited from account opening and account re-activation by former MF Global clients and expects this benefit to continue,” it said.
IG benefited from the collapse in October of rival MF Global,
The group’s UK financial business achieved revenue of £102.1million compared to £82.9million a year ago, up 23 per cent.
IG said it was looking at opportunities to expand into new territories and to extend its product range, backed by heavy investment in technology.
“The board remains confident of the prospects for the group,” it said.
The shares rose 3¾p to 465¼p.
