Statement re Short Selling

RNS Number : 8673D

IG Group Holdings plc

19 September 2008

 



19 September 2008

IG GROUP HOLDINGS PLC

Statement re Short Selling Financial Stocks

IG Group Holdings plc ('IG' or 'the Group') notes the introduction by the FSA of rules in relation to the shorting of certain financial stocks. 

In the first quarter of this financial year (being the period 1 June 2008 to 31 August 2008), less than £150,000 of IG's total revenue of £53m resulted from clients shorting the 29 financial stocks which have been identified by the FSA. This low number reflects the long bias that clients have in single stock positions.  More generally, in that quarter, approximately 23% of revenue related to single stock positions and approximately 3% of revenue related to positions (long and short) in the 29 financial stocks.  

IG therefore expects the introduction of the new rules by the FSA in relation to shorting financial stocks to have a negligible impact on its business. The introduction of similar rules by the SEC is also expected to have negligible impact.

For further information please contact:

IG Group                                     020 7896 0011

Tim Howkins, Chief Executive

Steve Clutton, Finance Director

Financial Dynamics                     020 7269 7200

Robert Bailhache

Nick Henderson

 

END

 

 

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