Forex Broker News: IG Markets and Index With Strong FY2021 Results
It’s been a rosy year for the forex broker IG Markets and its sister subsidiary IG Index who posted strong financial results for the year ending May 31 2021. Both subsidiaries of the IG Group posted a huge increase in business which is in line with the group’s overall performance that was reported earlier.IG Markets is the counterparty company to OTC leveraged derivatives where its clients enter into. It is also the primary hedging counterparty for other companies in the IG Group. This means that it is fully exposed to high market risks. The other subsidiary IG index offers financial spread betting services.If you haven’t started trading forex yet take a look at these .Strong Performance For Forex Broker IG Group In 2021According to the Companies House filing, IG Group also highlighted that its return on equity for the year was up by 45.9 percent from 29.5 percent in FY2020. Capital ratio was down by 24.3 percent in compliance with the FCA. Total regulatory capital resources ended the year at £410.1 million.IG Index Also Reports Strong Numbers For 2021IG Index also reported strong results for FY2021 ending in May. These were in line with the sister company and the IG Group as a whole. Revenue from trading activities registered £234.1 million. This was a huge increase from the $180.4 million that was generated in the previous year.Pre-tax profits of the subsidiary increased by a staggering 72% to reach £124.7 million. IG Index also reported a net profit of £101.7 million. This provided a return on equity of 83.3 per cent.Incidentally, although IG Index disposed of its European business to IG Europe GmbH after Brexit, this did not have any significant effect on its financial positions.The IG Group is headquartered in London and operates brokerage businesses around the world with its locally regulated entities. Still, the two units based in the UK remain the main revenue drivers. IG Group’s net trading revenue was up by 31 percent to £853.4 million in FY2021. Profits were also up significantly by 52 percent.Looking to trade forex now? Invest at eToro!67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.