IG Group lifted by market volatility

It has seen a surge in client activity and new account openings as investors sought to take advantage of heightened volatility in equity and currency markets caused by the eurozone debt crisis.

IG Group said revenues rose 24 per cent in its final quarter, which had put it on course for annual underlying pre-tax profits of around 157m on sales 16 per cent higher at an estimated 298m.

IG opened 21,500 accounts in the three months to May 31, up on the 18,750 seen a year earlier.

Stock markets globally have been thrown into turmoil since debt woes in Greece sparked off fears of a Europe-wide crisis.

Around 13 per cent has been wiped off the FTSE 100 Index since mid-April, while the Dow Jones Industrial Average has slumped back below the key 10,000 mark.

IG said: "It remains difficult to predict future trends in volatility or customer reaction to changing market and economic conditions.

"Strong account opening and the continued development of the group's offering leave the group well positioned for further growth."

IG said business was higher across all its operations – in the UK, Europe, Australia and Japan.

The UK saw sales of 162m up 8 per cent year-on-year, boosted by a 17 per cent hike in the final three months.