IG Markets Cements CFD Leadership StatusBy Ig Markets, PRNE
Wednesday, August 25, 2010
IG Markets Extends its CFD Trading Market Lead*
MELBOURNE, Australia, August 26, 2010 - An independent survey of Australia's CFD market has named IG Markets as
the number one choice for the highest number of active traders, with 29% of
CFD traders using them as their main provider. This cements IG Markets'
leadership status with the closest competitor some 9% behind.*
The number one ranking as main CFD provider comes at a time where market
volatility has increased interest in forex (
www.igmarkets.com.au/cfd/forex.html), indices and Australian blue chip
The fifth annual May 2010 CFD Report by Investment Trends Pty Limited, a
specialist market research organisation in the wealth management sector,
found that the number of CFD traders in Australia has grown significantly
over the past 12 months. The report attributed the growth to a combination of
new traders and a large number of dormant traders returning to the market.
CFD trader numbers in Australia were 39,000 as at May 2010, up 22% from
32,000 in 2009, with an additional 25,000 investors indicating they intended
to commence CFD trading (www.igmarkets.com.au/) within 12 months.
Current CFD traders cited the ability to short sell and leverage
investments as the main role CFDs played in their investment strategies.
According to the survey, almost half of active traders (47%) preferred
the Direct Market Access (DMA) model when CFD trading, pointing out
transparency and genuine market pricing as the main reasons for their choice.
The main driver behind those that preferred the Market Maker model was ease
Current CFD traders indicated that low commissions and best platform
features were the main service aspects they looked for when switching CFD
providers. Whereas, for the more frequent CFD trader, 24-hour trading, tight
spreads and platform reliability and were also given a higher weighting.
As the CFD industry is fiercely competitive, it is imperative that
providers keep an edge: clients receive the greatest benefit of this constant
need to innovate. Mr Tamas Szabo, IG Markets' Chief Executive Officer,
acknowledged that its range of trading and research tools, platform
reliability and 24 hour service, along with a strong focus on transparency
and client money protection, contributed to their number one ranking.
"We have focussed heavily in the last 12 months on giving traders all the
tools they need to make informed decisions, whilst offering competitive
spreads and maintaining a highly reliable trading platform."
"In terms of client recruitment, I think our stance on how we treat
client funds has helped. When CFD trading with IG Markets, client funds,
along with net running profits, are segregated into a regulated trust account
at top tier Australian banks and are not used to meet our trading obligations
or for IG Markets' own purposes, which is different to how other providers
"The launch of spread cuts to 1 point on our Australia 200 index, and 1
pip on the popular AUD/USD currency pair also contributed to strong
recruitment, with our internal figures showing the number of individual
clients trading up over 30% year-on-year."
"New platform features we have implemented include our free Autochartist
tool that automatically notifies clients of emerging trends. In addition, our
team of in-house market analysts provide a comprehensive range of market
reports featuring expert, up-to-date analysis from across the globe, added
around the clock to our website. The results of this strategy are evident -
according to the survey we received the highest client satisfaction scores in
the industry with respect to our CFD (www.igmarkets.com.au/) trading
platform and in terms of range of research and trading tools. Furthermore,
pleasing results have come from existing CFD traders; over a third of all
traders who left a provider in the last 12 months, but are still trading, are
now using IG Markets as their main CFD provider."
"We are thrilled to be viewed by so many traders as their first choice
when looking for a CFD provider. The research from Investment Trends backs up
the recent slew of awards IG Markets has won including Money magazine's Best
CFD Provider 2010, 5 star ratings from CANSTAR CANNEX as an Outstanding Value
CFD Provider, and The Bull website's Best CFD Provider 2010."
About IG Markets
IG Markets specialises in financial derivatives, principally Contracts
for Difference (CFDs) on over 7,000 global share CFDs, along with indices,
forex trading, commodities, options, binaries and more. IG Markets is part of
the IG Group, a UK FTSE 250 member with over 75,000 active clients worldwide.
For further information please call 1800 601 799.
*29% of CFD traders choose IG Markets as their main provider vs. 20% for
the next largest provider - Investment Trends May 2010 CFD Report.
Trading CFDs may not be suitable for everyone so please ensure that you
fully understand the risks involved. Please consider the IG Markets PDS
available from IG Markets before entering into any transaction with us.
Paul Daly +61398601742 Paul.Daly@igmarkets.com.au
Paul Daly, +61398601742, Paul.Daly at igmarkets.com.au
Tags: August 26, australia, Ig Markets, Melbourne