Introduction
IG Group is a purpose-led global fintech that has been at the forefront of trading innovation since 1974. Our clients are ambitious, and are looking to take control of their financial future. Our award-winning products, our educational content and our platforms empower these ambitious people the world over to unlock opportunities around the clock, giving them access to around 19,000 financial markets.
IG Group Holdings plc is an established member of the FTSE 250 and was given a long-term investment grade credit rating of BBB- with a stable outlook from Fitch Ratings in September 2021.
Financial Highlights 2022
We have achieved outstanding financial performance while continuing our journey to become a more diversified, innovative, global fintech.
- Total revenue includes £5.8 million foreign exchange hedging gain associated with the financing of the tastytrade acquisition. On an adjusted basis, total revenue was £967.3m.
- Profit before tax includes £33.7 million of costs and recurring non-cash costs associated with the tastytrade acquisition and integration and £3.3 million relating to the sale of Nadex and Small Exchange. On an adjusted basis, profit before tax was £494.3m.
- Earnings per share include £1.0 million of accelerated financing expense associated with the debt issuance. On an adjusted basis, basic earnings per share was 96.3 pence.
Statements
Strategic Update
Our Core markets+ portfolio includes our most established businesses, which have been around for a number of years, and have an existing market share. This includes all of our OTC businesses outside of the US, as well as our stock trading businesses.
We anticipate portfolio growth to be slightly above market growth as we continue to win market share across our locations, including some of our faster-growing, newer businesses, such as Japan.
Our focus in this portfolio is on continuing to service our high-value client base, ensuring reliable access to our platforms, customer support, online content and a wide range of markets to trade.
Our High Potential markets portfolio includes our newer businesses which have significant addressable markets. This includes all of our Exchanged Traded Derivative (ETD) businesses, as well as our Retail Foreign Exchange Dealer (RFED) in the US.
We anticipate growth of around 25-30% over the medium term in this portfolio as we believe that these businesses will be able to grow market share quickly, as they expand into the large addressable markets.
The businesses within this portfolio require additional attention from our management team to ensure the correct strategic decisions are made during their early growth stages.
Purpose And Values
Our blueprint for the future.
It will deliberately stretch us for years to come. It provides us with a fundamental question against which to assess decisions – ‘is what we’re doing powering the pursuit of financial freedom for the ambitious?’ – to apply to our decisions. It requires us to have a deep understanding of our clients, and to continue to diversify into new markets and products.
As we make further progress towards achieving our purpose, we will enable more people to become financially self-reliant and therefore make a greater contribution to society.
Business Model
IG enables clients to access trading opportunities in a wide range of markets – including stock indices, individual shares, forex, interest rates and commodities – through online dealing platforms and exchanges.
- Continued investment in product development and resilience
- Award-winning options platform
- Direct market access (DMA) platform
- Sophisticated web application programming interface (API)
- Range of leading-edge tools and charting to inform clients
- Global leader in online trading, trusted partner for over 380,000 active clients
- FTSE 250 company with £3.1 billion market cap as at 31 May 2022 and a long history of profitability and financial strength
- Content with cutting-edge research and actionable trading insights
- Client surveys show our reputation is one of the top reasons they choose us
- Culture expressed through values – ‘champion the client’, ‘learn fast together’, and ‘raise the bar’
- Tradition of innovation throughout the business
- Experienced Executive team who understand our clients
- High level of cash generation and liquidity
- Strong balance sheet with the financial capacity to support business growth
Our resources and strengths as a business come together to provide four products for our clients:
- Contracts For Difference (CFDs)
- OTC FX
- OTC options
- On-exchange leveraged securities (EU)
- Options and futures (US)
- Share trading
- IG Smart Portfolios (in association with BlackRock)
- ISA and SIPPs (via share trading)
- 10hrs daily live programming
- News and original content
- Webinars and tutorials
We look to support our clients at all stages of their journey.
This starts with our onboarding process, continues through to our educational offerings, client service support and trade execution, which always benefits the client.
This can also be seen in the risk management model in our OTC business, which is a key differentiating feature for us as a business.
We offset client exposures and hedge any residual exposure in excess of pre-agreed risk limits in the external market.
This is key to our business model. It also allows us to manage our market risk while lowering our cost of hedging, And by hedging residual exposure, it means that our interests are aligned with those of our clients.
Business Model
IG enables clients to access trading opportunities in a wide range of markets – including stock indices, individual shares, forex, interest rates and commodities – through online dealing platforms and exchanges.
- Continued investment in product development and resilience
- Award-winning options platform
- Direct market access (DMA) platform
- Sophisticated web application programming interface (API)
- Range of leading-edge tools and charting to inform clients
- Global leader in online trading, trusted partner for over 380,000 active clients
- FTSE 250 company with £3.1 billion market cap as at 31 May 2022 and a long history of profitability and financial strength
- Content with cutting-edge research and actionable trading insights
- Client surveys show our reputation is one of the top reasons they choose us
- Culture expressed through values – ‘champion the client’, ‘learn fast together’, and ‘raise the bar’
- Tradition of innovation throughout the business
- Experienced Executive team who understand our clients
- High level of cash generation and liquidity
- Strong balance sheet with the financial capacity to support business growth
Our resources and strengths as a business come together to provide four products for our clients:
- Contracts For Difference (CFDs)
- OTC FX
- OTC options
- On-exchange leveraged securities (EU)
- Options and futures (US)
- Share trading
- IG Smart Portfolios (in association with BlackRock)
- ISA and SIPPs (via share trading)
- 10hrs daily live programming
- News and original content
- Webinars and tutorials
We look to support our clients at all stages of their journey.
This starts with our onboarding process, continues through to our educational offerings, client service support and trade execution, which always benefits the client.
This can also be seen in the risk management model in our OTC business, which is a key differentiating feature for us as a business.
We offset client exposures and hedge any residual exposure in excess of pre-agreed risk limits in the external market.
This is key to our business model. It also allows us to manage our market risk while lowering our cost of hedging, And by hedging residual exposure, it means that our interests are aligned with those of our clients.
ESG - Our Brighter Future framework
IG enables clients to access trading opportunities in a wide range of markets – including stock indices, individual shares, forex, interest rates and commodities – through online dealing platforms and exchanges.
