London Capital Group's profit falls 46%

Seems that not all brokers share the same surge in volumes and activity that is recently seen across the board (thanks CFTC ). Financial services firm London Capital Group Holdings Plc (LCG.L) reported a 46 percent fall in full-year pretax profit due to unfavourable markets, lower interest income and increased costs, and said it will not pay a final dividend.

The company, which offers online spread betting (I wrote about the joint venture it started with PartyGaming here), foreign Exchange and broking services, also said Frank Chapman will step down from his current role of chief executive before the annual general meeting in April, and would be replaced by Finance Director Simon Denham.

London Capital said it was not paying a final dividend as its regulatory capital requirements had risen and it expected the Financial Services Authority to demand more capital from financial institutions in the future.

Read the rest here.