Ig Share Discussion Threads

[paulab203] 26/1/2018 09:44

No - they said Crypto only attracted low value customers who could not pass their on boarding requirements so they are not going for new Crypto clients rather aiming for high value "professional" clients.

[petethehippy] 26/1/2018 08:35

IGG Got to be making a killing off the crypto trading volume, no?

[gbh2] 23/1/2018 13:07

Thanks toyin, I'll take a look at that next time I want some sport, good luck.

Meanwhile back with nose to the whatever, I've repurchased those I sold this morning, not made a fortune but it'll pay for an evening out :)

[hpcg] 23/1/2018 10:33

Excellent report. I have just added on the pull back to yesterday's price. Their move away from partners reduces risk and cost. Interim dividend up 2.8%. Regulation is overhanging the share price of course, but by too much in my opinion. Whether I am overly optimistic will become apparent over the course of time!

[toyin] 23/1/2018 08:38

gbh2

If you open a ticket and tick the "force open" box it will run a long against a short and vice versa.

All the best

[gersemi] 23/1/2018 08:33

Almost recovered its losses from the battering it took end-2016

[toyin] 23/1/2018 08:21

gbh2

Why dont you just run your long/short on a FTSE spreadbet?

[gbh2] 23/1/2018 07:36

Looks good to me, very positive report and decent improvements in financials.

[hpcg] 20/1/2018 10:07

For fairly obvious conflicts of interest IGG don't offer a derivative of their own share. You can short it with other companies.

This is from the conference call transcript of the last full year results

Looking at wealth and partners, we’ve long had wealth bars for many years where we’ve said, “If you don’t have sufficient wealth, either earnings or savings, we will not on board you as a client.” We've recently been reviewing them and have been upping what the wealth bars are for who we will on board. To give you some context, for a potential client without savings we’ll refuse all applications for anyone with a salary below £50,000 and we’ll only give a full leveraged account to those earning over £100,000. Obviously they also need to pass appropriateness and all the other usual onboarding requirements as well. At the same time we’re increasing our minimum deposit size. This will result in us reducing the number of clients we accept, especially from the leisure end of the market.

Page 10 also describes the client base, and that 80% of revenues come from 9% of customers.

The associated slide deck slide 16, top 2% of clients generate 50% of revenue. On the following slide 17, look at the chart for the conventional stockbroking AUM. I have an ISA account and a standard account as well as a spread bet account. Their fees are excellent, at £5 a trade, the exchange rate for overseas trades is sharp, unlike the rip of Hargreaves Landsdown rates (they have other excellent attributes, so I'm not knocking them overall) and you can get DMA both here and US exchanges. Given the terrible service given by the high street bank stockbrokers I can only see IG AUM increasing.

Of course the higher the price goes the larger the potential fall, but the drop to 500p was a complete aberration and excellent entry point so the potential downside is not huge I would suggest. On the other hand I don't think there is too much risk for a short position on the upside as I would expect the 960p high to be quite some resistance, and that the spike up from what the market deems a good determination will be restrained.

[gbh2] 20/1/2018 09:22

My main interest in IG is there ISA dealing account; I may well sell out on my share holding but imo that account is so cheap to run it cannot be ignored atm.

I've have taken out a simultaneous long & short on the ftse100 but I had to use two separate companies because IG wouldn't allow me to have both running together.

That said, it was a good few years ago so things may have changed now.

[gswredland] 20/1/2018 08:56

Depends who you have your account with. You can short it

[pyemckay] 20/1/2018 08:39

I had a look at the email sent by the CEO and its clear many clients will now have less positions open and hence less profit for the company. I would love to short this company at some point but IG dont allow this.

[nigelpm] 20/1/2018 08:31

There is absolutely no way they'd be willing to net he short and long exposure! If you think about it you could lose on both quite easily. No the new regulations are utterly stupid and will only line the pockets of the spreadbetters by Clients having to tie up more funds on margin. I wish these Muppets who engineer such scheme would think it through properly.

[gbh2] 20/1/2018 08:16

Interesting view hpcg, I'm not into serious SBetting; just invest in IG's shares and enjoy their dividends so I hope you're right.

[hpcg] 19/1/2018 17:08

Not really, though I think it might slow down the money losing for some people, which would be net bad for spread betters and IG. Personally I use about the same leverage as is suggested. Right now I am below 5:1 if you count shorts and long collectively. Currently I am leverage 2:1 short if they were netted out.

I will contribute to the ESMA in that regard, that the portfolio should be accounted for and that long / short should be netted and that a diversified portfolio should also allow more leverage overall, especially if that is a combination of equities, commodities, currency pairs, and to an extent indices. Obviously if one is long or short and index and hold some constituents the other way you are less at risk of something bad happening if one has random judgement. Nothing can prevent bad investors losing money.

[gbh2] 19/1/2018 16:36

Looks to be the end of PI spread betting if they go through as is!

[hpcg] 19/1/2018 15:53

Yes, they've been sending them out for a good while.

[gbh2] 19/1/2018 15:13

Anyone else had the email for IG re ESMA's new margin proposals?

[gbh2] 10/1/2018 08:38

That was a good opportunity to buy a few more ;)

[gbh2] 10/1/2018 08:19

Thanks gersemi.

[prokartace] 10/1/2018 08:12

Who was the 1 firm that showed due diligence?

[gbh2] 10/1/2018 08:07

More news that the PI will eventually catch up with ?