Shaping up
to stay ahead.
Who we are
Our year in summary
A solid set of results, delivered in softer market conditions during a period of considerable leadership and organisational change. We implemented an operational improvement programme which helped us to control costs well to protect the profit margin. The high quality and strength of our risk management framework and controls was evidenced by a significant reduction in our regulatory capital requirements in the year. We remain highly cash generative, and returned significant capital to shareholders through an increased dividend and share buyback.
See appendices for reconciliation to statutory measures.
- Numbers are presented on a continuing operations basis.
- Total revenue is calculated as net trading revenue plus net interest income. See appendices for reconciliation.
- On an adjusted basis, earnings per share was 90.3 pence (FY23: 94.7 pence).
- Represents the value of share buyback announced at the full year results.
- On an adjusted basis profit before tax was £456.3m (FY23: £490.5m).
Seeking efficiency
and simplification
We have delivered a resilient performance over the past year in a more challenging trading environment.”
Lots of work to do to unlock our potential
We’re evolving our strategy to address the challenges we face and build on our strengths.”
Delivering in a period of change
I’m confident that we have a solid platform on which to build but we have lots of work to do to take it to the next level.”
A strong case
for investment
Our strategy is to deliver sustainably stronger growth through expansion into new products and new geographies.
The business is well positioned to deliver on the strategy, with a significant presence in large, growing markets around the world, a well-established brand and a strong financial position.
- Well positioned to benefit from structural growth in self-directed trading and investing
- Multiple product offerings and revenue streams
- Large target addressable market opportunities
- Strict onboarding criteria ensure we welcome only appropriate clients
- Our clients are typically active traders, placing multiple trades per day
- Significant proportion of revenue generated from long-term clients
- Continued, steady investment in our platforms
- Sophisticated risk-management technology
- Engaging live and on-demand content and educational resources
- Increasingly diversified business through organic and inorganic growth
- Extensive geographic footprint across five continents
- Continued progress in product diversification
- Highly cash-generative business model
- Strong regulatory capital and liquidity positions
- Clear Capital Allocation Framework
Why our clients choose us
Providing an outstanding service to clients is at the heart of everything we do. Our client proposition is differentiated in many ways, including:
We provide access to around 19,000 markets globally including indices, single-name equities, commodities, FX, options, and digital assets.
We take a tailored approach to supporting our clients, and we’re available to them at the time they want, via their preferred channel. This ranges from automated online support to a phone call with one of our team. We build strong relationships with our clients to support them on their trading journeys.
We pride ourselves on the reliability of our platform, whatever the market conditions. Throughout our growth we have continued to invest in capacity to ensure we can deal with increased demand. Technology threats are ever-evolving, so we have appropriate governance and risk mitigation frameworks in place to manage these accordingly.
Our strong reputation as global market leader in the industry has been built over 50 years. We lead the way in breadth of offering of underlying assets and have earned the trust of our clients to safeguard their money and assets.
Our clients are active traders, often dealing multiple times a day, and they want high-quality trade execution. This year, in our OTC business, we filled 99% of orders at our clients’ desired price or better.
We have a wide range of tools, content and education for all levels of experience. Our offering includes live broadcasts and on-demand content through to bespoke support via premium client managers. We want our clients to learn and develop with us, making more informed decisions as they go.
Technology
Market-leading technology is fundamental to the success of our business. High-quality and reliable trading platforms have earned us a strong reputation and differentiate our offering. Continued investment in technology is necessary to maintain our competitive advantage. Key areas of investment include:
- Resilience – our clients must be able to access their accounts and trade at any time. We invest in building capacity on our platforms to deal with periods of high demand and enhancing resilience against external threats
- Product development – we continually develop new products and services aligned to clients’ evolving needs
- User experience – we stay connected to user feedback to enhance platform functionality and maintain a cutting-edge user experience
Brand and reputation
We are a global leader in online trading, and have built a strong reputation over nearly 50 years based on our market-leading and differentiated proposition including:
- High-quality trading platforms – our platforms are intuitive and offer cutting-edge analysis, tools and charting functions
- Differentiated client service – we are available for our clients at a time convenient to them and via their preferred channel, including automated support, messaging interfaces or speaking directly with one of our client support specialists
- Strong risk management – a laser focus on risk management has been central to our success for decades
People and culture
Our people are empowered to think laterally and challenge conventions, and we always put clients at the heart of everything we do. We attract a diverse range of ambitious people to the business and provide ongoing development opportunities to help them grow.
Financial capacity
We have a long track record of revenue growth at attractive margins and strong cash generation. This allows us to invest in the business to drive future growth, return capital to shareholders and evaluate other uses of capital, including acquisitions.
OTC
IG pioneered the development of retail over-the-counter (OTC) derivatives in the 1970s, and we are now the largest provider of these products to retail traders in the world. Through them, we provide investors, including professional traders, access to around 19,000 underlying markets in a capital-efficient manner. Our OTC products include:
- Contracts For Difference (CFDs)
- Spread bets
- FX
- Options
Our OTC business model sets us apart within our industry and is fundamental to our long-term success.
Stock trading and investments
Our stock trading and investments offering includes ISAs and SIPPs and provides access to over 13,000 global equities and ETFs. IG Smart Portfolios allow clients to invest via a portfolio designed by BlackRock. We monitor and manage it based on a client’s goals and risk profile, at a fraction of traditional wealth managers’ costs.
Clients who use both our derivatives and stock trading platforms tend to be more active traders, and remain with the business for longer.
ETD
Exchange-Traded Derivatives (ETDs) are the fastest-growing part of our business. Building on our strengths in trading and client servicing we now have two such businesses:
- Options and futures (US) - tastytrade
- On-exchange leveraged securities (Europe) - Spectrum
Content and education
We have a comprehensive content and education service to support clients with their trading and investing. This offering is available through several channels, including IG Academy, IG TV and tastylive, which provide:
- Over 10 hours daily live programming
- Market news and analysis
- Webinars and tutorials
Investors
Delivering attractive returns across an increasingly diversified business from a strong financial position.
Clients
Providing a high-quality global platform, excellent client service and a range of distinctive educational content to support our ambitious clients.
Communities
Playing our part to support our communities, with a focus on empowerment through education.
Colleagues
Recruiting, engaging and inspiring our people through an inclusive environment enables them to develop as professionals with best-in-class resources, training and support.
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Regulators
We are the global leader in retail leveraged derivatives trading, with regulatory licences in 16 countries. We work closely with regulators in each jurisdiction to ensure that our products and how we distribute them is appropriate.
Suppliers
We value long-term mutually beneficial relationships with our suppliers and look for the same high service levels that we provide to our clients.
Brighter Future Framework
To ensure its long-term viability, IG Group must pursue its goals in a
way that does not compromise its ability to pursue goals in the future.
We believe this means we must operate ethically, we must minimise our impact on the environment, and we must play our role in fostering a socially mobile and inclusive community. This mandate is enshrined in our Group-wide sustainability strategy, the Brighter Future framework.
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Our tools give people access to the financial markets and, to support that, we produce a huge range of excellent financial education materials. We onboard our clients responsibly and are vigilant for client vulnerability.
- Client protections
- Client empowerment
- Impact of our products
By proudly developing a diverse and inclusive team of talented people, where wellbeing comes first and ambition is nurtured, we improve our employees' lives.
- Diversity & inclusion
- Talent development
- Wellbeing
Our tools give people access to the financial markets and, to support that, we produce a huge range of excellent financial education materials. We onboard our clients responsibly and are vigilant for client vulnerability.
- Reduce emissions
- Offset emissions
We want to raise the bar for business. This means we are governed by accountable leadership, uphold exemplary ethics, and are transparent in our communications.
- Business ethics
- Accountable leadership
- Open and transparent
- Data security
Our tools give people access to the financial markets and, to support that, we produce a huge range of excellent financial education materials. We onboard our clients responsibly and are vigilant for client vulnerability.
- Brighter Future Fund
- grant giving Volunteerism and
- employee participation.1% profits after tax channelled to community activities.
Our awards and recognition
Our progress and commitment to sustainability continues to be recognised around the globe with a number of awards and ratings. We are particularly proud to have maintained our status as a Living Wage employer in the UK, to have been recognised as a Top Employer in the UK and in South Africa. We are also a constituent of the FTSE4Good Index, improving our overall score in the process.
