The American division of IG Group, a London-based company focused on spread betting and CFD trading, has joined the Futures Industry Association (FIA). FIA is a global trade organization comprising clearing firms, exchanges, clearinghouses, trading firms and commodities specialists from over 48 countries across the world. The association is open to other groups, such as technology vendors, lawyers and other professionals, serving the industry.
IG US Gains FIA Membership
FIA announced IG US’s membership today (Wednesday) on its social media platforms. However, the international association first unveiled the subsidiary firm’s membership over a week ago.
In 2021, IG Group entered the US trading market by taking over the online broker, tastyworks and its trading education platform, tastytrade, in a $1 billion deal. At the time of acquisition , tastyworks had over 105,000 active trading accounts on its platform.
Earlier this year, tastyworks rebranded to tasytrade, taking over the old brand name of the online financial network which it ceased to use in December 2022. Tastytrade through its platform, offers options, futures and crypto trading to retail investors.
A Good Time for IG US
IG US's affiliation with the FIA arrived as IG Group has been experiencing a strong financial performance in the American market. During FY23 which ended on 31 May, IG Group’s revenue from its US operations jumped 47% to £191.3 million.
To narrow it down, tastytrade alone saw its year-over-year revenue climb 52% to £170.3 million. Similarly, the revenue of Spectrum Markets, a pan-European trading venue for securitised derivatives owned by IG Group, ascended 52% to over £15.7 million
However, IG Group returned a mixed performance when the accounts of its various brands were consolidated. While the group’s annual revenue shot up 5% to £1.02 billion, net trading revenue shrank 3% to £941.8 million, Finance Magnates reported. Moreover, the group’s net profit slumped 8% to £363.6 million.
“We’ve performed well in the much more difficult market conditions that persisted through most of the past year, maintaining our leadership position in OTC derivatives while building further momentum in our product and geographic expansion,” Charlie Rozes, the Acting CEO at IG who took over the role from June Felix, stated.
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