IG Group Stockbroking Business on Track With 2600 Funded Accounts

Following the earnings announcement made by IG Group (LON:IGG) earlier this morning, the company's CEO Tom Howkins and CFO Christopher Hill have taken to a short earnings call, revealing more details about the company's business.

While revenues and active client numbers went up in Q3 of 2015, the CEO of IG Group (LON:IGG) Tim Howkins highlighted in the earnings call that the company is on track with making strategic progress. The main driver behind that has been the company’s stockbroking platform, which the company launched close to half a year ago.

The UK stockbroking business of IG Group (LON:IGG) has been growing throughout the period reaching 2600 funded accounts. The company has launched its offering with a commission free offer, having expired at the end of December. However, the positive momentum carried over into 2015, with markets remaining active and traders looking for riskier opportunities.

As 70% of the accounts opened on the stockbroking platform have been opened by new clients, Howkins explained that this new business of IG is serving as a gateway for customers into the company’s margin product offerings.

The company is aiming to roll out its stockbroking product to three more countries.

New Jurisdictions

IG Group (LON:IGG) has successfully expanded into Switzerland, joining a fairly tight market due to the relatively high requirements for obtaining a banking license in the country. With established major players in the market like Dukascopy, Saxo Bank, and Swissquote, IG Group is now the fourth company to offer margin products in the country.

Speaking of the Middle East plans of IG Group (LON:IGG) today, Howkins noted that, “the dialogue with the regulator in Dubai continues on a positive note and I’m hopeful that we should be licensed and up and running before the end of May.”