Ig Buys Daily Fx

last updated on

Ig Buys Daily Fx

IG Buys Daily FX

IG Group Holdings plc has acquired the news and research portal of FXCM, the Daily FX, for $40 million. It surprised many in the industry as there was no information about the sale earlier. FXCM CEO Drew Niv stated the Daily FX was not targeted to sell, but an opportunity knocked on the door, and the company took advantage of it.

The CEO continued that there were no more plans to sell any other retail FX assets of the company. The acquisition of Daily FX may satisfy the outstanding debt of Leucadia National.

IG Group Overview

IG Group was founded in 1974 and is headquartered in London, the United Kingdom. It is an online trading provider and strictly regulated by the Financial Conduct Authority (FCA). It is a constituent of the FTSE 250 Index listed on the London Stock Exchange.

The company acquired Daily FX in September 2016 for $40 million after the appointment of its new CEO Peter Hetherington about a year ago who replaced Tim Howkins.

Daily FX Overview

Daily FX was launched in 2002. It was a free news and research website from the stable of the IG Group. Today, it is one of the leading sources for news and analysis on commodities, index trading communities, and global currencies.

The platform provides analysis reports daily covering the latest changes in the financial world. It simultaneously provides technical, economic and fundamental analysis. It is also considered one of the best sources for analysing market moves, economic explanation, technical and political factors, and more that drive the market.

The Daily FX is made available in a mobile app version and downloaded by over 60,000 traders. The app is available for both Android and iOS smartphones.

It operates in many cities, including London, Chicago, San Francisco, New York, Dallas, Melbourne, Shenzhen, Frankfurt, Cracow, Singapore, and Johannesburg. It is equipped with dozens of strategists and analysts who provide value-added analysis in various languages, including Chinese and German.

FXCM Overview

FXCM is the acronym for Forex Capital Markets, and it is headquartered in New York. The retail Forex brokerage house was founded in 1999 by Drew Niv. It allows speculating on the Forex market and simultaneously provides trading in CFD's on various commodities, including crude oil and gold, and major indices.

The company is presently based in London. It was banned in the United States for defrauding charges. Jefferies Financial Group now owns it, and the original name Leucadia National Corporation was dropped in 2018.

It agreed to pay a penalty of $7 million in February 2017 as settlement to the US Commodity Futures Trading Commission (CFTC). It withdrew the CFTC registration and has not re-registered.

IG Buys Daily FX Titbits

With the acquisition, a total of 34 Daily FX employees have been transferred to the IG Group. These employees were under the payroll of the Daily FX.

Meanwhile, it is learned the IG Group will be delegating the US and Canada leads to FXCM for an annual fee. It is expected the annual operation costs for IG would be about $6.5 million.

The IG Group currently has more than 152,600 active clients, and it is believed more new clients will be added through the Daily FX. It may even improve the retention rates of existing clients.

FX Overview

FX is the shortest foreign exchange acronym for Forex. It is a currency trading market and the largest globally, with more than a $6 trillion daily turnover. It is a 24-hour global market with high volatility and liquidity. Currencies are always traded in pairs in the Forex market. It is highly unpredictable and depends the least on one government, bank or authority. It is a decentralised marketplace, and the price movement of currencies is based on various factors, including the geopolitical condition of countries, breaking financial news and public sentiments.

IG Buys Daily FX Verdict

This article discussed the IG Group, the acquired Daily FX and FXCM, which was owned by Daily FX earlier. The deal was for $40 million. IG believes it will enhance the customer base and help retain the existing clients. FXCM CEO states the proceeds will help in paying off its debt.

Trending Stories