IG GROUP HOLDINGS PLC

ANNUAL REPORT 2024

IG Group Holdings plc

Annual Report 2024

Welcome to our

Annual Report

2024

Who we are:

IG Group is an innovative,

global fintech and an

established member

of the FTSE 250.

IG Group Holdings plc

Annual Report 2024

Contents

Strategic Report

FY24 Highlights 02

At a Glance 03

Business Model 04

Investment Case 06

Client Proposition 07

Chair’s Statement 08

Chief Executive Officer’s Statement 10

Market Trends 12

Year in Review 14

Key Performance Indicators (KPIs) 16

Sustainability Report 17

Our Approach to Diversity 19

Task Force on Climate-Related

Financial Disclosures 23

Streamlined Energy and Carbon Report 26

Governance 27

Non-Financial and Sustainability

Information Statement 28

Business Performance Review 29

Risk Management 36

Principal Risks and Risk Appetite 37

Going Concern and Viability Statement 42

Governance Report

Chair’s Introduction to

Corporate Governance 44

The Board 47

Governance Framework 51

Board Governance 53

Board Activities During the Year 55

Director Induction 56

Stakeholder Engagement 57

Understanding our Stakeholders 59

Section 172(1) Statement 65

Board Performance Review 66

Nomination Committee Report 68

Sustainability Committee Report 71

Audit Committee Report 73

Board Risk Committee Report 80

Remuneration Committee 84

Remuneration at a Glance 88

Directors’ Remuneration Policy (Summary) 89

Annual Report on Remuneration 97

Directors’ Report 106

Statement of Directors’ Responsibilities 109

Independent Auditors’ Report 110

Financial Statements 117

Shareholder

and Company

Information

Shareholder and Company Information 174

Appendices 175

Group-wide Key Performance

Indicator (KPI) Definitions 177

IG Group Board

Company Information

IG Group Holdings plc

Annual Report 2024

FY24 Highlights

Our year in summary

Financial

Non-Financial

Total revenue

£9 87. 3 m

(FY23: £1,022.6m)

Active clients

346,200

(FY23: 358,300)

Total dividend per share

46.2p

(FY23: 45.2p)

Profit before tax

£400.8m

(FY23: £449.9m)

Basic earnings per share

79.4p

(FY23: 86.9p)

Platform uptime

100%

(FY23: 100%)

Share buyback announced

£150m

Net own funds generated

from operation

£350.1m

(FY23: £350.9m)

A snapshot of our year

A solid set of results, delivered in softer market conditions

during a period of considerable leadership and organisational

change. We implemented an operational improvement

programme which helped us to control costs well to protect

the profit margin. The high quality and strength of our risk

management framework and controls was evidenced by a

significant reduction in our regulatory capital requirements in

the year. We remain highly cash generative, and returned

significant capital to shareholders through an increased

dividend and share buyback.

See appendices for reconciliation to statutory measures.

1 Numbers are presented on a continuing operations basis.

2 Total revenue is calculated as net trading revenue plus net interest income. See

appendices for reconciliation.

3 On an adjusted basis, earnings per share was 90.3 pence (FY23: 94.7 pence).

4 Represents the value of share buyback announced at the full year results.

5 On an adjusted basis profit before tax was £456.3m (FY23: £490.5m).

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Empowering our stakeholders to unlock a Brighter tureFu

At a Glance

Our strategy

Our strategy is to deliver sustainably

stronger growth through expansion into

new products and new geographies

Our purpose

To power the pursuit

of financial freedom

for the ambitious

Our strategic drivers

Our strategic drivers guide the decisions

we make and keep us on track to achieve

ourpurpose.

Our values

Our values inform all the decisions that

wemake, from the day-to-day with

colleagues or clients, through to

theboardroom.

Our Brighter Future Framework

The Brighter Future Framework is our

sustainability strategy. It identifies the key

benefits that we offer to our clients and our

communities, the key risks posed by our

business, as well as our commitment to

managing these in a responsible and

sustainable manner.

Every ambitious person Champion the client

Learn fast together

Raise the bar

Inspiring experiences

Tuned for growth

Products that power

See our website for more

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Business Model

A sustainable business model

Our resources Our products

Technology

OTC

Brand and reputation

People and culture

Market-leading technology is fundamental to the success of our

business. High-quality and reliable trading platforms have earned us a

strong reputation and differentiate our offering. Continued investment

in technology is necessary to maintain our competitive advantage. Key

areas of investment include:

 Resilience – our clients must be able to access their accounts and

trade at any time. We invest in building capacity on our platforms to

deal with periods of high demand and enhancing resilience against

external threats

 Product development – we continually develop new products and

services aligned to clients’ evolving needs

 User experience – we stay connected to user feedback to enhance

platform functionality and maintain a cutting-edge user experience

IG pioneered the development of retail over-the-counter (OTC)

derivatives in the 1970s, and we are now the largest provider of

these products to retail traders in the world. Through them, we

provide investors, including professional traders, access to around

19,000 underlying markets in a capital-efficient manner. Our OTC

products include:

 Contracts for difference (CFDs)

 Spread bets

 FX

 Options

Our OTC business model sets us apart within our industry and is

fundamental to our long-term success.

Netting client positions - IG is the counterparty to every trade

executed on our platform, which creates market risk. We

centralise exposure from all global trades and offset netted

positions on a real-time basis. Due to our scale and the volume of

trading, the vast majority of trades are naturally offset as clients

take opposing positions.

External hedging – Once all trades have been offset, we are left

with some residual market exposure, which we actively manage

to ensure it remains below our market risk limits. Market risk

moves throughout the day based on volatility and liquidity but is

strictly controlled within the Board-approved limits. Should our

exposure begin to approach this limit, we begin passive external

hedging to reduce our risk. In the event that we reach the limit,

we hedge aggressively to eliminate any additional exposure.

This model aligns us with our clients. Our revenue is driven by

spread, commission and overnight funding charges, it is not

driven by client losses. We want our clients to trade successfully

and provide extensive support to enable them to do so.

Our resources and strengths as a business come together to provide four product groups for our clients:

We are a global leader in online trading, and have built a strong

reputation over nearly 50 years based on our market-leading and

differentiated proposition including:

 High-quality trading platforms – our platforms are intuitive and

offer cutting-edge analysis, tools and charting functions

 Differentiated client service – we are available for our clients at a

time convenient to them and via their preferred channel, including

automated support, messaging interfaces or speaking directly with

one of our client support specialists

 Strong risk management – a laser focus on risk management has

been central to our success for decades

Our people are empowered to think laterally and challenge

conventions, and we always put clients at the heart of everything we

do. We attract a diverse range of ambitious people to the business and

provide ongoing development opportunities to help them grow.

Financial capacity

We have a long track record of revenue growth at attractive margins

and strong cash generation. This allows us to invest in the business to

drive future growth, return capital to shareholders and evaluate other

uses of capital, including acquisitions.

Stock trading and investments

Our stock trading and investments offering includes ISAs and SIPPs

and provides access to over 13,000 global equities and ETFs. IG Smart

Portfolios allow clients to invest via a portfolio designed by BlackRock.

We monitor and manage it based on a client’s goals and risk profile, at

a fraction of traditional wealth managers’ costs.

Clients who use both our derivatives and stock trading platforms tend

to be more active traders, and remain with the business for longer.

ETD

Exchange-Traded Derivatives (ETDs) are the fastest-growing part of our

business. Building on our strengths in trading and client servicing we

now have two such businesses:

 Options and futures (US) - tastytrade

 On-exchange leveraged securities (Europe) - Spectrum

Content and education

We have a comprehensive content and education service to support

clients with their trading and investing. This offering is available

through several channels, including IG Academy, IG TV and tastylive,

which provide:

 Over 10 hours daily live programming

 Market news and analysis

 Webinars and tutorials

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Business Model continued

Creating value for our stakeholders

We have several key stakeholder groups for whom we aim to create long-term value.

More detail on how we engage with them can be found in our Governance Report.

Link to Stakeholder Engagement

Investors Clients

Delivering attractive returns across an increasingly

diversified business from a strong financial position.

Link to Investment Case

Providing a high-quality global platform, excellent client

service and a range of distinctive educational content to

support our ambitious clients.

Link to Client Proposition

Communities

Playing our part to support our communities, with a focus

on empowerment through education.

Link to Brighter Future Fund/website

RegulatorsColleagues

We are the global leader in retail leveraged derivatives

trading, with regulatory licences in 16 countries. We work

closely with regulators in each jurisdiction to ensure that

our products and how we distribute them is appropriate.

Recruiting, engaging and inspiring our people through

an inclusive environment enables them to develop as

professionals with best-in-class resources, training

and support.

Suppliers

We value long-term mutually beneficial relationships with

our suppliers and look for the same high service levels

that we provide to our clients.

Trusted by

346,200

clients around the world.

Regulatory licences in

16 countries

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Multiple growth

levers

High-quality

client base

Resilient technology

and award-winning

platforms

Increasingly

diverse business

Strong

balance sheet

Investment Case

A strong case

for investment

Our strategy

Our strategy is to deliver sustainably stronger

growth through expansion into new products

and new geographies.

The business is well positioned to deliver

on the strategy, with a significant presence

in large, growing markets around the world,

a well-established brand and a strong

financial position.

Our approach sets us apart

 Well positioned to benefit from structural growth in self-directed trading and investing

 Multiple product offerings and revenue streams

 Large target addressable market opportunities

 Strict onboarding criteria ensure we welcome only appropriate clients

 Our clients are typically active traders, placing multiple trades per day

 Significant proportion of revenue generated from long-term clients

 Continued, steady investment in our platforms

 Sophisticated risk-management technology

 Engaging live and on-demand content and educational resources

 Increasingly diversified business through organic and inorganic growth

 Extensive geographic footprint across five continents

 Continued progress in product diversification

 Highly cash-generative business model

 Strong regulatory capital and liquidity positions

 Clear Capital Allocation Framework

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Client Proposition

Why our clients

choose us

Providing an outstanding

service to clients is at the

heart of everything we

do. Our client proposition

is differentiated in many

ways, including:

Market access

We provide access to around 19,000

markets globally including indices,

single-name equities, commodities,

FX, options, and digital assets.

Client servicing

We take a tailored approach to

supporting our clients, and we’re

available to them at the time they want,

via their preferred channel. This ranges

from automated online support to a

phone call with one of our team. We

build strong relationships with our

clients to support them on their

trading journeys.

Platform reliability

We pride ourselves on the reliability

of our platform, whatever the

market conditions. Throughout our

growth we have continued to invest

in capacity to ensure we can deal

with increased demand. Technology

threats are ever-evolving, so we

have appropriate governance and

risk mitigation frameworks in place

to manage these accordingly.

Reputation

Our strong reputation as global market

leader in the industry has been built

over 50 years. We lead the way in

breadth of offering of underlying assets

and have earned the trust of our clients

to safeguard their money and assets.

Superior trade execution

Our clients are active traders, often

dealing multiple times a day, and they

want high-quality trade execution.

This year, in our OTC business, we

filled 99% of orders at our clients’

desired price or better.

Content and education

We have a wide range of tools,

content and education for all levels

of experience. Our offering includes

live broadcasts and on-demand

content through to bespoke support

via premium client managers.

We want our clients to learn and

develop with us, making more

informed decisions as they go.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Chair’s Statement

Seeking efficiency

and simplification

We have delivered a

resilient performance

over the past year in

a more challenging

trading environment.”

We have delivered a resilient

performance over the past

year in a more challenging

trading environment, with

the Group reporting £987.3

million of total revenue.

While our foundations are solid, there

is work to do to accelerate growth.

There have been a number of changes

to the Board over the past year. Notably,

we welcomed Breon Corcoran to the

Company and Board as CEO at the end of

January, following the departure of June

Felix in August 2023 for health reasons.

Breon is already making an impact, re-

energising the business to increase the

pace and delivery of our strategy, and

bringing us ever closer to our clients

across all of our markets.

The Board remains comfortable with and

focused on the strategy we set in place in

2018 to grow through both existing and

new products and geographies. Under

Breon’s leadership this is accelerating

to build a simpler and more efficient

business that will be well-positioned to

capture opportunities for growth.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Chair’s Statement continued

Changes to the Board

In March, we announced that Charlie Rozes,

CFO and Jon Noble, COO would be stepping

down from the Board, and leaving IG Group.

On behalf of the Board, I would like to extend

a special thank you to Charlie for his support

and leadership of the Company during his

tenure as Acting CEO. We also wish Jon all the

best after 24 years of dedicated service at IG.

We were delighted to welcome Marieke

Flament to the Board as a Non-Executive

Director in early July. Marieke’s considerable

experience in scaling innovative, multinational

businesses, as well as deep financial

technology expertise, will be of great

benefit to the Group. Malcolm Le May’s

nine year tenure finishes in September.

I have appreciated working alongside

Malcolm as Chair for the past four years

and would like to take this opportunity to

thank him for the valuable contribution

and insight he brought to the Board.

Capital management

We have continued to prudently manage

our capital while also taking significant

action to pare back cost growth. I am

pleased that in spite of more challenging

markets, we have maintained a healthy

balance between delivering value for

shareholders, investing in the business,

and giving back to our communities

under our Brighter Future Framework.

The business remains strongly capitalised and

highly cash generative which allowed us to

return £422.7m of capital in the year across

dividends and buybacks.

Our ESG Committee is now the Sustainability

Committee, which better reflects the breadth

of our activities. A milestone of which I am

particularly proud is that this year over

300,000 people benefited from our Brighter

Future Fund charitable initiatives.

People

There is no doubt it has been a difficult year

for some of our people as we implemented

greater cost control measures and

streamlined the business. At the same time,

we have widened the scope of support and

benefits available globally. This includes

offering all our employees the opportunity

to become owners with the launch of an

all-employee Global Share Purchase Plan.

Throughout the year our people have

continued to maintain their usual

professionalism and high level of engagement.

I would like to take this opportunity

to thank my fellow Board members,

the Executive Committee and all our

people for their ongoing dedication

and work over the past year.

Mike McTighe

Chair

24 July 2024

300,000+

People benefited from

Brighter Future Fund initiatives

36%

Of our people participated in

our community programmes

£422.7m

Total capital returned

to shareholders

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Chief Executive Officer’s Statement

Q&A

Lots of work to do to

unlock our potential

We welcomed Breon Corcoran

as our new Chief Executive

Officer at the end of January,

and recently sat down with

him to hear about his first six

months in the role.

Q: How would you summarise

our Company performance

this year?

I joined mid-way through our third quarter

and recognise that revenue was down on

the prior year in the first half, particularly in

our OTC business. Performance improved in

the second half, reflecting more supportive

market conditions. My focus is on getting

closer to our customers and giving them

the products they want, more quickly and

efficiently. This will improve our positioning to

deliver structural growth through the cycle.

Q: Can you tell us a bit about

what you’ve changed since

you arrived, and why?

I spent time initially in ‘discovery’ mode,

getting up to speed and meeting as

many people as possible. This helped

me identify initial priorities and led to a

refresh of our organisational model to

enhance client centricity. We now have four

distinct, decentralised divisions - arranged

geographically - to better align our product

and marketing with local needs. There’s

a lot of great work going on and I’ve met

a lot of talented people who are excited

to be here. So while I take my role very

seriously, we’ll have fun along the way.

Q: Help us set the scene a bit,

what attracted you to IG Group?

It’s a business I’ve long admired. It’s a

privilege to join a company with such a

great history and market position. We have

a strongly cash-generative business and

a loyal client base - I’ve been a customer

myself for many years. I have a great interest

in consumer internet businesses that solve

problems for customers. Our success will

be dictated by how well we do that. Our

industry is changing rapidly and we need to

keep pace. We have a solid platform but lots

of work to do to take it to the next level.

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IG Group Holdings plc

Annual Report 2024

Chief Executive Officer’s Statement continued

Q: What is the current Group

strategy? Are you making any

changes?

Our strategy is evolving but hasn’t changed

radically. Our focus remains on growth via

product and geographical diversification,

but we must sharpen the focus on execution.

We must deliver better products that our

customers want, deliver them quickly and

constantly evolve with their needs. We

are focussed on customer relevance in

the pursuit of scale to drive faster growth.

Embedding change will take time, but there’s

an appetite to move quickly and achieve more.

Q: What are your priorities

for FY25?

There’s a lot of great work happening but

areas for improvement. We need a laser

focus on our customers, accelerating

product velocity and increasing efficiency.

I’m excited about the enthusiasm of our

people and their commitment to returning

the business to stronger growth.

Q: What new initiatives are

the most exciting for you?

We’ve recently launched our tasty US options

and futures products in the UK, as part of our

international expansion of this business. This

offering has considerable potential globally

and I look forward to developing it in response

to customer demand. I’m also excited

by the changes we’ve made to increase

client centricity, including decentralising

our product, engineering and marketing

functions. I’m confident these changes

put us on a path to increasing growth.

Q: What kind of rate of organic

growth do you think the Group

can achieve? And what are your

thoughts on M&A and inorganic

growth?

IG is made up of businesses at different

levels of maturity and market penetration.

tasty has potential for continued strong

growth, supported by the international roll-

out. I’m also excited by the potential of our

OTC business as we invest in our product

to grow market share and penetrate new

geographies. There’s a huge amount of

organic growth potential and my role is to

unlock it. I’ve also established a corporate

development team to ensure we stay ahead of

M&A opportunities which could help us build

scale and accelerate delivery of our strategy.

Q: How do you view the

competitive landscape?

We don’t underestimate our competitors.

There are a lot of great companies delivering

attractive products and constantly innovating

out there. We need to move faster to

strengthen our competitive position and move

ahead of the pack. It’s important to learn from

our peers, so I’m encouraging my leadership

team to be open minded, stay connected

and seek out opportunities to differentiate.

Q: What are the biggest

opportunities the Company has?

And any risks you see?

Our biggest opportunity comes from getting

as close as possible to our customers

and accelerating new product roll-out.

We’re evolving our business to do just

that. We have lots of work ahead of us,

but I’m confident we’re well positioned

to grow and succeed. If we don’t move

fast enough, build the best products

that customers want and capitalise on

opportunities, then our competitors will win.

Breon Corcoran

Chief Executive Officer

24 July 2024

We’re evolving our

strategy to address

the challenges we

face and build on

our strengths.”

Strategic Repot Governance Repot Financial Statements

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IG Group Holdings plc

Annual Report 2024

Market Trends

We’re

looking to

the future

We continue to evaluate

key trends in our industry

and beyond, to understand

the impact they may have on

our business, either to spot

opportunities, or to mitigate

risk. We’ve highlighted the

main trends and what they

mean for us.

What’s the trend?

What does it mean for us? What does it mean for us?

Structural shift to self-directed

trading and investing

With the evolution of technology and widely

available educational content, the financial markets

have never been as accessible to such a vast

potential audience. The industry has seen a shift

away from financial advisers and a move towards

self-directed trading and investing. Individuals

want more control over their finances and now

they have cost-efficient access to global financial

markets, and the content to learn how to trade

them. This is a global structural change, but with

many markets still at an early stage of adoption, we

see significant opportunities for further growth.

Our target market is ambitious, self-directed

individuals. We serve hundreds of thousands of

clients like this already, and have large addressable

market opportunities. We have a strong reputation

as the market leader in OTC derivatives, and

are building out our product offering, as well as

offering our products in more geographies.

We rely on our technology, platform reliability, risk

management expertise and our strong financial

foundations to continue to grow and improve as a

business, and to attract clients all over the world.

With the range of support features on our platform,

as well as our educational content and our

increasing product offering, we are well positioned

to attract clients from other platforms as they look

to upgrade, as well as newcomers to the industry.

To respond to the threat of new entrants, we

monitor changes in the competitive landscape

through local knowledge and market research.

We are continually innovating to keep ahead of

sector developments and anticipate the needs

of our clients. We use sophisticated search

engine optimisation techniques to ensure we

are the first choice for active traders in our

target markets. We listen and respond to the

needs of our clients so that we stay ahead.

When new client acquisition opportunities are

reduced, we shift our marketing spend towards

branding to ensure that when market conditions

are more favourable, prospects in our target

markets know where to come. The vast majority

of revenue generated each year is from clients

who traded with us in previous years, highlighting

the importance of customer satisfaction.

What’s the trend?

Sector developments

We operate in a highly competitive and

evolving market environment, with new market

entrants constantly challenging traditional

players. Regulatory change will also be a

constant feature of the landscape. Given

this backdrop, customer focus, new product

development and speed to market are critical

to maintaining competitive advantage.

Periods of low volatility can result in more

subdued demand and we have seen fewer new

traders enter the market over the past year.

Marketing spend has reduced across the industry

from the highs seen in recent years, as new

client acquisition opportunities are reduced.

Strategic Repot Governance Repot Financial Statements

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IG Group Holdings plc

Annual Report 2024

Market Trends continued

What’s the trend?

What does it mean for us? What does it mean for us?

Financial markets

Changing market conditions generate a variety of

opportunities to trade, which may be more or less

attractive to traders and therefore impact levels

of new client onboarding and trading activity.

In past years we have seen increased market

volatility from geopolitical events and

changing interest rates. We experienced

elevated levels of account applications and

trading activity during these events.

More recently, there has been less volatility

in financial markets which has presented

our clients with fewer trading opportunities.

Volatility increased towards historical norms

in the final few months of the financial year.

In general, our clients find opportunities to

trade in a wide range of market conditions.

However, lower volatility can be a headwind to

trading revenue due to more subdued client

acquisition and reduced activity per client.

Given that volatility has been below the long-

term average during FY24, there is potential

upside to trading activity in FY25 should market

conditions normalise. The long-term success

of our business has been driven by structural

drivers which remain firmly in place and we

are not reliant on volatility to deliver growth.

Higher interest rates have both a direct and

indirect impact on our business. The direct

impact is on the cash balances we hold on behalf

of our clients and our corporate cash. We have

a strong net cash position, so higher interest

rates mean that we earn additional income on

these balances. Interest on client balances is

recognised within total revenue, driving the top

line of the business, whereas interest on corporate

balances is recognised within finance income.

The indirect impact is seen in the trading

opportunities that changing inflation and interest

rate expectations can present. Our clients are

active traders who seek dealing opportunities,

which can often be created by macroeconomic

events. However, the higher inflation rates which we

have seen recently can reduce disposable income

and impair consumer confidence, which may lower

trading activity and reduce new client acquisition.

What’s the trend?

Interest rate movements

During the financial year, we saw elevated inflation

and interest rates across the most of our markets

around the globe. Following 15 years of historically

low interest rates, this has had significant

implications for our revenue and for our clients.

...customer focus,

new product

development and

speed to market

are critical...”

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Year in Review

Delivering in a

period of change

Summary

The Group delivered resilient results in FY24 in

slower cyclical market conditions, supported

by execution of our strategy to expand and

diversify by both product and geography.

Total revenue declined 3% on the prior

year, as lower trading revenue was largely

mitigated by stronger interest income.

Within total revenue, trading revenue

declined 10% as weaker OTC derivatives

revenue was partly offset by growth in

exchange-traded derivatives, with stock

trading and investments revenue flat.

Operating margins remained strong

and adjusted costs were relatively well

controlled in the year, increasing 4% on FY23,

reflecting the early benefit of efficiency

measures announced in October 2023.

The high quality and strength of our risk

management frameworks and controls was

evidenced by a significant reduction in our

regulatory capital requirements in the year.

OTC derivatives

OTC total revenue declined 9% driven by

lower trading revenue reflecting moderation

in active clients and lower revenue per

client. Active clients declined 6% in the

year, although weakness was largely seen

in Q1 and client numbers were broadly

stable over the rest of the period.

Lower trading revenue was partly offset by

increased interest income, reflecting higher

monetary policy rates in several countries.

These trends were broadly similar across most

geographies except Singapore which delivered

stronger trading revenue reflecting higher

volumes from some of our largest traders.

Trading revenue held up well relative to

the decline in volatility across a range

of asset classes as clients remained

engaged on our platform and continued

to seek trading opportunities. Trading

revenue continued to be driven by clients

onboarded in prior years and retention

was consistent with long-term trends.

Exchange-traded derivatives

Our exchange-traded derivatives (ETD)

business is dominated by tastytrade, our

US options, futures and equities business,

which generates approximately 94% of the

Group’s ETD revenue. Our ETD business

also includes Spectrum, the Group’s

European multi-lateral trading facility.

tastytrade

tastytrade total revenue increased 23% in

the year in US Dollars, reflecting trading

revenue up 10% and interest income up

53%. Stronger trading revenue was driven

by increased revenue per client. Average

market share of OCC options volumes

attributable to retail customers was up

modestly relative to the prior year.

Total client equity, which includes free

cash and the value of open positions,

reached $5.1 billion at the end of FY24, a

new record. Within this, interest-bearing

free cash balances were steady.

tastytrade’s performance gathered

momentum throughout the year. FY24 was

a record year for total revenue and trading

revenue, H2 was a record half on both

metrics, and Q4 was a record quarter.

Almost a third of new tastytrade accounts

come from outside the US, despite

no marketing historically, evidencing

international demand for US options and

futures. This is also reflected in client surveys

which show that our existing OTC clients are

interested in trading US options and futures.

During the year, we completed our

preparations to launch tastytrade in the

UK, which went live at the beginning of

June 2024. We plan to roll the offering

out to other international markets

where IG already has a presence.

Spectrum

Spectrum revenue is driven mainly by trading

activity and trading revenue declined 12%

in the year. This reflected a strong Q3 in

the comparative period, and a softer H1

in the current year. As a newer business,

with a smaller client base, revenue can be

more volatile than more mature parts of

the Group which are already operating at

scale. Active clients were broadly stable.

Upgrading our marketing capabilities

A key focus over the past couple of

years has been developing tastytrade’s

marketing capabilities to increase brand

awareness in the US. Around 18 months

following the launch of our first ever

national brand campaign, we are proud

to have increased our prompted

awareness from 11% to 19%.

The improvements in our marketing

strategy in the US have been supported

by the capabilities which exist within

the wider IG Group team. Global

marketing teams have been working

closely together to share ideas,

integrate marketing analytics, and

develop search engine optimisation

strategies tailored for our US business.

19%

Increased our prompted

awareness from 11% to 19%

Image: Presentation from IG

Stock trading and investments

Total revenue was up strongly reflecting

higher interest income, with trading

revenue broadly flat. Client numbers

were down 4% but assets under

administration (AUA) increased to £3.9

billion at the end of FY24, (FY23: £3.3

billion), driven by market performance.

Operational efficiency

During the year we launched an operational

improvement programme and recently

made changes to our organisational

structure and culture. These changes

will help us to bring new products to

market more quickly and efficiently.

Strategic Repot Governance Repot Financial Statements

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IG Group Holdings plc

Annual Report 2024

Year in Review continued

As part of the implementation of our

operational improvement programme, we

announced plans to reduce headcount

by approximately 300 which represented

around 10% of the total workforce at the

end of FY23. We have made good progress

implementing these changes, with headcount

at 31 May 2024 of 2,570 down 8% relative

to 31 October 2023, when the measures

were announced. In FY24, we incurred £19.1

million of non-recurring costs to achieve

these efficiency measures, in line with

guidance of approximately £18 million.

We expect further savings and headcount

reduction in FY25 as we focus on the

offshoring of some roles to our global centres

of excellence, following a period of dual

running, as new teams are onboarded.

We have implemented a flatter organisational

structure and moved several central

functions, including marketing, product

management and some technology teams,

into four geographically-aligned divisions

to enhance client centricity and product

velocity. We have continued to optimise the

way that our global centres of excellence

in Poland, India and South Africa support

the business and identify opportunities to

automate business processes. We are also

developing our culture to enhance ownership

and accountability across the organisation.

In the year, we also successfully migrated

our data centres to new locations, ahead

of schedule.

Capital allocation

We continue to allocate capital in line

with our Capital Allocation Framework.

Regulatory capital requirements

Our first priority is ensuring that we meet

our regulatory capital requirements. On

1 January 2022, the Group transitioned to the

Investment Firm Prudential Regime (“IFPR”). As

announced in September, following the first

Supervisory Review and Evaluation Process

(“SREP”) under the new regime, the Group’s

regulatory capital requirement reduced from

£497.4 million at 31 May 2023 to £289.8

million as at 31 August 2023, evidencing

the high quality and strength of our risk

management frameworks and controls.

As at 31 May 2024, our Group minimum

regulatory capital requirement was £298.6

million (31 May 2023: £497.4 million) and

regulatory capital resources totalled

£936.9 million (31 May 2023: £996.3

million), equating to headroom of £638.3

million (31 May 2023: £498.9 million).

Allocating capital across our stakeholders

We continue to allocate 1% of post-tax

profits to charitable causes. For FY24,

this equates to £3.5 million which will be

proposed to be donated to charities focused

on empowerment through education.

A proposed final dividend of 32.64 pence

per share represents a total dividend for the

year of 46.2 pence per share, an increase

of 1 pence on the prior year, representing

a progressive and sustainable increase.

Having assessed regulatory capital

headroom and alternative uses of capital,

we have announced a £150 million share

buyback which will start in the coming

weeks and complete by 31 January 2025.

I’m confident that we

have a solid platform

on which to build but

we have lots of work

to do to take it to the

next level.”

Breon Corcoran

CEO

Outlook and guidance

In FY25, the Group expects total revenue and

adjusted profit before tax to be in line with

market expectations, which can be found

on the IG Group website. The Group tax

rate is expected to be approximately 24%.

IG has solid positioning in large and growing

target addressable markets but there is much

more we can do to unlock our potential.

We have to get closer to our customers

to deliver better products tailored to their

needs more quickly, drive efficiency and add

scale in the pursuit of stronger growth.

IG mobile application in use

We are also developing our culture towards

greater ownership and accountability

across the organisation. Delivering against

these objectives will be key to growing

our market leadership and achieving

sustainable, stronger revenue growth.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

FY24 £987.3m

FY23 £1,022.6m

FY22 £973.1m

FY24 346,200

FY23 358,300

FY22

381,500

FY24 £254.7m

FY23 £216.3m

FY22 £157.1m

FY24 82%

FY23

87%

FY22

86%

FY24 46.2%

FY23 48.0%

FY22 51.1%

FY24 35%

FY23

35%

FY22

34%

FY24 £350.1m

FY23 £350.9m

FY22 £437.3m

Key Performance Indicators (KPIs)

We continually review our KPIs to ensure they best reflect our progress. This year we have updated

some measures to align with our strategy. The updated metrics include total revenue and total

revenue from non-OTC products to reflect growth of the business and our increasingly diverse

product range. We have also shown how each of our KPIs links to our various stakeholder groups.

Financial

Our financial metrics cover revenue, profitability, diversification and cash flow. Profit before tax

margin is presented on an adjusted basis, and net own funds generated from operations is a

management metric for cash flow.

Non-financial

Our non-financial KPIs reflect our strategic goals in relation to a wider range of stakeholders.

The below KPIs reflect our targets in relation to our clients, people and communities. Together

with our financial KPIs, we present a holistic view of our strategic direction.

Total revenue

£987. 3 m

Total number of active clients

346,200

Total revenue from

non-OTC products

£254.7m

Employee engagement score

82%

Stakeholders key

Adjusted profit before tax margin

46.2%

Gender diversity

35%

Net own funds generated

fromoperations

£350.1m

Total revenue is our new revenue metric and represents revenue

from products and services and interest on client money less

cost of hedging. This metric has been updated from total

operating income to only reflect revenue streams from clients.

This is a measure of overall client activity. As the Group

diversifies, the number of total active clients is the most relevant

metric for assessing penetration of our target market. This

metric has been updated from OTC clients.

Active clients decreased modestly in the year but remained

robust given challenging market conditions in the year.

Our diversification metric shows the growth of revenues from

outside our core product. OTC products remain our primary

revenue source. We have changed from a percentage metric to

an absolute metric, reflecting our focus on growth of all areas of

the business.

On an annual basis we run people surveys with our colleagues

around the world. Our engagement metric represents the

average score of several key questions. Employee participation

in the survey was 87%.

Our profitability measure indicates the extent to which we’re

able to convert our revenue into profit, as we maximise value for

shareholders while investing in growth and resilience. It is

presented on an adjusted basis.

The recent reduction in our profit margin reflects a reversion to

more sustainable levels following significant market volatility.

Our gender diversity metric represents the percentage of

females employed across the Group.

Our goal is to increase this number over time, and we have a

strategy in place to achieve this goal.

Our balance sheet strength metric measures the cash we

generate. It indicates our ability to keep meeting our financial

obligations as they fall due, including broker margin

requirements and dividend payments.

Investors

Clients

Communities

People

Regulators

Suppliers

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Sustainability Report

Introduction to our Sustainability Report

Our Sustainability KPIs

To ensure its long-term viability,

IG Group must pursue its goals

sustainably. We believe this means

operating ethically, minimising our

impact on the environment, and

playing our role in supporting a socially

mobile and inclusive community. This

mandate is enshrined in our Group-

wide sustainability strategy. Each

material sustainability issue receives

internal targets and roadmaps which

are tracked as KPIs with Executive

and Board Committee oversight.

Our Sustainability Strategy

To navigate the constant changes in our world, we

regularly iterate and update our sustainability strategy

and expect our sustainability KPIs to evolve over time.

For FY24, we have introduced two new KPIs. The first

relates to ethnic diversity. As with our gender data, this

data is self-reported by our colleagues on a voluntary

basis. The second relates to the percentage of our

colleagues participating in our community programme.

Participation includes utilising a volunteering day,

accessing our matched giving scheme, or participating

in a fundraising event for one of our charity partners.

Employee

engagement

score

Gender diversity Ethnic diversity Total emissions Community impact

87%

engagement

19%

women in

leadership roles

New for FY24

9.45

tCOe per

employee

95,876

beneficiaries

impacted

44%

colleagues

participating

in community

programmes

FY24

Targets

82%

engagement

22%

women in

leadership roles

12%

from ethnic

minority groups

in leadership

roles

13.7

tCO

e per

employee

302,158

beneficiaries

impacted

36%

colleagues

participating

in community

programmes

Maintain or

improve score

35%

by end of FY25,

40% by end of

FY28

20%

by December

2027, 25% by

end of FY29

Establish net zero

targets

1 million

beneficiaries

impacted for the

period 2024

– 2026

40%

colleagues

participating

in community

programmes

FY23

Our Awards & Recognition

Our progress and commitment to sustainability continues

to be recognised around the globe with a number of awards

and ratings. We are particularly proud to have maintained

our status as a Living Wage employer in the UK, to have been

recognised as a Top Employer in the UK and in South Africa.

We are also a constituent of the FTSE4Good Index,

improving our overall score in the process.

Strategic Repot Governance Repot Financial Statements

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IG Group Holdings plc

Annual Report 2024

35%

39%

52%

65%

61%

48%

Essential or nice to have Not impotant or other

roactive steps to reduce

pact on the environment

Commitme

nt to diversity and

inciples of inclusion

mpactful community

out

reach programme

58%

59%

48%

42%

41%

52%

Much more or

somewhat more likely

Indifferent or less likely

roactive steps to reduce

pact on the environment

Commitme

nt to diversity and

inciples of inclusion

mpactful community

out

reach programme

Sustainability Report continued

Our people: the most important resource

Nurturing talented, dedicated colleagues

enables us to deliver the products and

services that keep us at the forefront of our

industry. This has been a year of transition

for the Company which generates both

excitement and a degree of uncertainty

for our colleagues around the globe. It is

in this context of change and uncertainty

that we have seen our overall employee

engagement score fall for the first time in

several years. However, our strong company

culture and commitment to transparency

has helped us navigate through and we

finish the year in a position of strength –

with our people motivated and excited to

deliver the excellent service to our clients

that makes this Company so special.

A number of initiatives have stood out in

FY24. We are particularly proud of the

implementation of a Global Share Purchase

Plan which means that every employee

around the globe now can invest in IG

Group shares. The advantages of such

schemes are well documented but we

believe that enabling our people to share

in the successes of the Company, and

aligning the interests of our colleagues

with our shareholders, is not only sensible

business, but a sign of our commitment

to being an excellent place to work.

The wellbeing of our people remains

paramount and we continue to offer all

colleagues access to an employee assistance

programme and, in FY24, we trained a cohort

of 45 mental health first aiders across the

globe. All our employees are entitled to two

full days of volunteering leave per year. We

also encourage colleagues to participate

in community outreach work through

fundraising events, where we match any

funds raised up to £1,000 per individual.

Not only are these programmes excellent

for team building and mental wellbeing,

but our charity partners also really benefit

from the wide-ranging talents found across

our teams. We are immensely proud of

the fact that 36% of our colleagues have

participated in our community programme

– by either using volunteering leave or

getting involved in a fundraising initiative.

Listening to our stakeholders

For our clients:

How important are these factors when selecting a new trading/investment provider?

For our people:

To what extent do these priorities make you more or less likely to stay at IG Group?

Sustainability in the corporate context

encompasses a broad spectrum of issues,

risks and priorities. To ensure that our

sustainability programme successfully

represent the values and priorities of our

clients and our people, we introduced

sustainability questions into our bi-annual

client sentiment survey and conducted a

sustainability ‘pulse’ survey of a cohort of

our colleagues.

The results were interesting and provide us

a good benchmark to track attitudes over

time.

See our website for more

Muzna Qureshi: Head of D&I and Wellbeing

Strategic Repot Governance Repot Financial Statements

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IG Group Holdings plc

Annual Report 2024

D&I Targets and Data:

 Expanded the stretch targets for our senior

leadership team to include race/ethnicity targets

aligned with the UK Parker Review approach

 Gathered additional and more robust D&I data

from our people to track progress and inform

interventions

D&I Training:

 Continued to deliver our D&I behavioural change

programme (Powering Inclusion Programme),

including a bespoke training programme for the

Board, with plans for further sessions throughout

the year for our new Executive Committee

D&I Programmes:

 Implemented a Sponsorship Programme,

targeting our mid-level women deemed as critical

talent and pairing them with senior Sponsors

across the business to raise their visibility across

the organisation and ultimately retain and develop

this talent

 Partnered with Women in Banking and Finance UK

to leverage their network to build connections

and raise our visibility in the external market.

Through this partnership we have also had the

opportunity to leverage some of their existing

initiatives, such as their cross-Company

mentoring programme where we have our own

colleagues signed up as mentors and mentees

 Implemented a global Mental Health First Aid

programme to ensure our people have access to

support required. Altogether, we have 45 qualified

Mental Health First Aiders across 11 regions

 Our employee networks continued to connect

both internally and externally to raise visibility,

influence systemic change and work in

partnership with the D&I function

Enhancing Policies/Processes:

 Enhanced the UK Parental Leave and Shared

Parental Leave Policy to make it more competitive

for all our people to attract and retain talent

 Created a handbook for managers when

re-onboarding employees from long-term

absence, including parental leave, to ensure they

are able to integrate back into the workplace/

team effectively

 Integrated inclusion principles into core

processes such as performance management,

talent acquisition, and promotions to ensure

proportionate distribution

Achievements in FY24

Our approach to diversity: Embracing inclusion

Sustainability Report continued

Our Diversity and Inclusion (D&I) strategy is

to integrate inclusion into everything that

we do. It’s about having a leadership team

that reflects the diversity of our amazing

colleagues and fostering an inclusive culture,

with diversity of thought represented at all

levels, where everyone can feel safe and able

to contribute to the success of our Company.

By driving this strategy and approach, we’re

not checking boxes, we’re shaping a culture

where everyone feels valued, respected,

and empowered. We are now two years

into driving this refreshed strategy. There

is more work to be done, but this milestone

represents our unwavering continued

commitment to making IG Group an

even more inclusive place to work.

One of the key aspects of our strategy is

the integration of stretch targets to pull

through more diversity into our senior

leadership team. These targets are:

35% of our senior leadership team to be

female by FY25 and 20% of our senior

leadership team to be from ethnic minority

groups by December 2027. These are

regularly tracked with the involvement of

our Executive Committee and Board.

We do recognise that we have a lot of work

to do but we’re proud of the progress that

we’ve made in FY24. Currently, 35% of all

our colleagues are female and 39% are

from ethnic minority groups (in both cases

this is based on colleagues voluntarily

self-reporting and in locations where it is

legally permitted to ask for this data).

We remain focussed on increasing

representation across the Group and within

the senior leadership team and are committed

As a globally competitive

business, it’s increasingly

essential we create a culture

and environment that is

inclusive and fair so that we can

attract and retain the very best

talent and also build products

and services that meet the

needs of an increasingly

diverse customer base.

”

Barbara Duffy

Chief People Officer

to continued efforts on this to have a chance

of meeting our D&I goals of 35% women in our

senior leadership team by the end of FY25.

In the UK, our regulator – the FCA – is

recognising the importance of prioritising

D&I in the sector and will be integrating

this into their handbook later this year. We

are well-positioned for this coming change

thanks to the foundational work we have

been driving over the last two years.

In summary, D&I is about creating the best

team to allow us to build more innovative

products that truly resonate with our current

and future clients and cater to their unique

requirements. Together, we can create a more

inclusive and vibrant future for our industry.

Strategic Repot Governance Repot Financial Statements

Shareholder and

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IG Group Holdings plc

Annual Report 2024

Sustainability Report continued

Board and Executive Management gender data:

Number of

Board

members

Percentage of

the Board

Number of

senior

positions on

the Board

Number in

Executive

Management

Percentage of

Executive

Management

Male 8 73% 4 7 64%

Female 3 27% 0 4 36%

Not specified/prefer not to say 0 0% 0 0 0%

Board and Executive Management race/ethnicity data:

Number of

Board

members

Percentage of

the Board

Number of

senior

positions on

the Board

Number in

Executive

Management

Percentage of

Executive

Management

White British or Other White

(including minority White groups) 9 82% 4 11 100%

Mixed/multiple ethnic groups 0 0% 0 0 0%

Asian/Asian British 2 18% 0 0 0%

Black/African/Caribbean/Black

British 0 0% 0 0 0%

Other ethnic groups, including Arab 0 0% 0 0 0%

Not specified/prefer not to say 0 0% 0 0 0%

The Nomination Committee and the

Board carefully consider the diversity-

related reporting requirements set out in

the Listing Rules and recommended by

the FTSE Women Leaders Review. As at

31 May 2024, we have not met the Listing

Rules targets set out under LR 9.8.6R (9)

that at least 40% of our Board should be

women and at least one of the four senior

positions on the Board (Board Chair, Senior

Independent Director, CEO, CFO) is held

by a woman. We have met the target

that at least one individual on the Board

is from an ethnic minority background.

The Directors are committed to a diverse

organisation, including the Board. We

continue to appoint on merit, based on

the skills and experience needed on

the Board and by considering all forms

of diversity, and in the case of Non-

Executive Directors, independence.

We are committed to achieving the

targets for female representation on the

Board as soon as we can through our

succession planning and appointment

processes, and ensuring that we appoint

the right candidate for us based on merit.

1 Race/ethnicity data and gender data is voluntarily self-reported (using local census data categories and collected where legally

possible).

2 This includes two layers of management below and including the Executive Committee and includes directors of our subsidiaries.

3 Executive Management relates to the Executive Committee, including CEO, CFO and COO.

4 Senior Board positions are CEO, CFO, Senior Independent Director, and Chair.

Statement on listing rule compliance

Diversity data

The tables below analyse the gender and ethnic balances of Directors and employees within

IG Group as at 31 May 2024. We continue to aspire to increase diversity across and at every

level of our organisation, and our Diversity Commitment is available on our website.

Gender data

31 May 2024 31 May 2023

% changeNumber % Number %

Senior leadership

Male 81 77% 84 81% (4%)

Female 23 22% 20 19% 3%

Prefer not to say 1 1% 0 0% 1%

Total 105 104

Total employees Male 1,670 65% 1,654 65% 0%

Female 890 35% 881 35% 0%

Prefer not to say 10 0% 0 0% 0%

Total 2,570 2,535

Race/ethnicity data

31 May 2024 31 May 2023

% changeNumber % Number %

Senior leadership White 75 77% 70 74% 3%

Ethnic Minority 12 12% 12 12% 0%

No response/

prefer not to say 10 10% 13 14% (4%)

Total 97 95

Total employees White 689 35% 727 37% (2%)

Ethnic Minority 757 39% 719 37% 2%

No response/

prefer not to say 503 26% 495 26% 0%

Total 1,949 1,941

Strategic Repot Governance Repot Financial Statements

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IG Group Holdings plc

Annual Report 2024

Sustainability Report continued

Community

Social mobility

through digital skills

Case Study

In FY21 we pledged 1% of our post-tax

profits to charitable causes. We’ve now

completed two cycles of this initiative and

are building an exciting legacy of positive

impact in communities around the globe,

particularly in relation to our strategic theme

of ‘empowerment through education’. Here

are two examples of what we’ve achieved

in the last 12 months. This year we set

ourselves a target of reaching 250,000

beneficiaries – the first step towards our

three-year target of 1,000,000 by FY26.

For more details on how we have achieved

this, and to find out about our Theory of

Change, take a look at our Community

Impact Report on the IG Group website.

We’re proud to have had the

opportunity to support the

NASSCOM Foundation. It gives

me great satisfaction to know

that we’re positively impacting

the lives of those participating

in the programme and their

extended families. We look

forward to continuing our

engagement.”

Anand Kadur

Head of IG India - Global Service Centres

We believe that digital

skills are essential to drive

inclusive economic growth.

Our collaboration with the

NASSCOM Foundation

helps us give back to the

community and create

opportunities.

By many measures Bengaluru’s growth over

the last decade has been an incredible

success. But, as is often the case, certain

communities are marginalised and risk

getting left behind.

Recognising this to be pressing issue,

IG’s India office teamed up with the

NASSCOM Foundation – a national non-

profit linked to a national association of

India’s technology industry – to find a

way of tackling the problem. We piloted a

digital skills programme primarily aimed at

women and people with disabilities living in

communities on the outskirts of Bengaluru.

Over a ten-month period a cohort of over

300 beneficiaries participated in a series of

workshops, tutorials and work experiences to

boost their chances of finding employment

in the city’s booming tech industry. The pilot

exceeded all targeted outcomes and we are

scaling up the programme for a second year.

See our website for more

300+

beneficiaries over

a ten-month period.

India

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IG Group Holdings plc

Annual Report 2024

USA

Sustainability Report continued

We’re putting our money

where our mouth is on

our commitment to a

more inclusive future

for the industry, with a

$600,000 donation to

the Greenwood Project.

Case Study

Empowering Black and Latino futures

The financial services sector is notoriously

lacking in diversity – a challenge that in

Chicago is characterised in particular by a

lack of career pathways for Black and Latino

students. This is a problem for so many

reasons and a problem that IG Group has a

responsibility to address. We are doing so in

a number of ways and an exciting example

is a partnership that we’re developing

between tastytrade and the Greenwood

Project, a charity that has been doing

incredible work in this area since 2016.

Our new three-year partnership is founded

on a $600,000 unrestricted donation to

the Greenwood Project. This money will be

used to develop and deliver their fantastic

scholarship programme – benefiting three

annual cohorts of Greenwood Project

scholars. We will also find opportunities to

engage directly – by getting our wonderful

employees to provide careers insights talks

to groups of Greenwood Project scholars

and, of course, by hosting their Greenwood

Project scholars for summer internships.

The collaboration between tastytrade and

the Greenwood Project serves as a powerful

example of how corporations can have

multi-layered impact. By investing this time,

money and expertise, tastytrade is improving

the career prospects of many Greenwood

scholars, whilst also helping tackle the

financial sector’s diversity challenge. It is also

important to note how much our Company

benefits from engaging in programmes of this

type – we learn so much from the scholars

themselves and from the diversity of thought

that the partnership provides.

See our website for more

VIP guests: tastytrade and the Greenwood Project

announced their partnership at a ribbon-cutting held at

tastytrade’s new office in downtown Chicago. IL Governor

JB Pritzker attended and delivered a speech highlighting

the importance of innovation, financial services, and

technology to the Illinois economy, and commending

the important work that Greenwood is doing to prepare

students of colour for opportunities in the financial

services industry.

Strategic Repot Governance Repot Financial Statements

Shareholder and

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IG Group Holdings plc

Annual Report 2024

Community

Outreach

Diversity & Inclusion

Head of

D&I and

Wellbeing

Head of

Environment

Head of Social Impact

Employee networks

Community

Champions

Product

governance

and client

vulnerability

Accountable

leadership and

incentives

Ethical supply chain

Sustainability

risk

Grant Making

Panel

Human Rights

Responsible

investment

Community

Outreach

Community

Outreach

Data assurance

and sustainability

repoting

Net zero

Diversity &

Inclusion

Board

Sustainability Team

Executive Committee

Sustainability Committee

Audit

Committee

Board Risk

Committee

Remuneration

Committee

Sustainability Report continued

Task force on Climate-Related

Financial Disclosures

The technology industry is responsible for

1.5-4% of global greenhouse gas (GHG)

emissions. We recognise our contribution

to this and are committed to reducing our

footprint and to playing our role in supporting

a brighter, greener future. This section

provides our full TCFD disclosure consistent

with all 11 of the TCFD recommendations

and in accordance with Listing Rule 9.8.6R.

Governance

We manage our climate-related risks via two

methods: our operational risk registry, and

a bi-annual climate risk scenario modelling

exercise. Climate risks are recognised within

our framework and subject to oversight

from the Board (delegated to the Board Risk

Committee) and Executive (delegated to the

Executive Risk Committee) and follows our

approach to risk management. The day-to-

day monitoring and management of climate-

related risks is the responsibility of our Head

of Environment and Sustainability team.

The climate risk model uses scenarios from

the Network for Greening the Financial

Sector to estimate risks to our business

and greater macroeconomic conditions.

Risks are graded by severity, likelihood, and

velocity at which the risk could occur.

Key developments for FY24 and notes on

compliance with TCFD recommendations

 Oversight of climate-related risks have

now been integrated into our

operational risk monitoring with

assigned controls and accountability.

Risks and incidents get escalated to

Executive leadership when appropriate.

 We conduct annual audits and supply

chain due diligence for our Tier 1

suppliers. Engagement questionnaires

are drafted and validated in

collaboration with third-party

expertise.

 We worked with our environmental

consultants to refresh our climate-

related risks and opportunities register

twice during the year. We now consider

multiple physical risks from worsening

climate change are in our immediate

time horizon but remain unpredictable.

 We’ve improved our data maturity and

advanced our value chain emissions

inventory. We can now calculate the

emissions resulting from our held

cryptocurrency assets and emissions

associated with clients accessing our

products on their devices.

Sustainability governance structure

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Annual Report 2024

Australia

Sustainability Report continued

Task force on Climate-Related Financial Disclosures continued

Biodiversity

The world’s ecosystems are currently

being degraded faster than we can

restore them. Our industry can often

feel removed from natural ecosystems,

so environmental protection and

restoration has often been overlooked.

But it’s a critically important issue, and

we’re starting to better understand

and identify the role we can play in

addressing it. During FY24 we leveraged

community grants from our Brighter

Future Fund and volunteering leave to

support projects around the globe that

aim to regenerate natural ecosystems.

The most significant projects are our

support for urban tree planting in London

with Trees for Cities and urban tree

planting in Bengaluru with SayTrees.

See our website for more

Case Study

Sustainable workspaces

Our office in Melbourne is designed with

best practice environmental features that

we want to integrate across all our offices

including:

 Fitted with energy-efficient LED lighting

 External shading controls to reduce

energy demand and reduce glare

 Centralised recycling facilities

 90% of construction waste diverted

from landfill

 All scope 2 emissions from electricity are

met by renewable energy and the scope

1 and 3 emissions are then offset off-site

by accredited carbon offsets

 Sustainable and responsible sourcing of

steel, concrete, timber, PVC and building

products such as blinds, carpets, lifts,

ceiling tiles and partition walls

87. 5 %

total global energy consumption

was from renewable sources or

tariffs in FY24.

When searching for new office

space in Melbourne it was an

important consideration that

it operated to the highest

environment standards

reflecting our commitment

to sustainability and reducing

our carbon footprint.”

Matthew Davidson

Head of Australia

We sent these eight companies a supply chain

questionnaire and assessed them across

seven different categories: management,

human rights, safety and diversity, net

zero, natural resources, environmental

transparency, and product stewardship.

Their responses have helped us advance our

thinking in relation to our pathway to net zero.

We are also pleased to have added a new

category to our footprint – ‘product usage’.

We identified that there are emissions

associated with our customers using

our products on their smartphones and

computers – the energy used to power

these devices. Working with a consultant

we devised a method to estimate these

emissions and have included this in our

footprint for the first time. The accuracy

of this estimation will improve over time

and will also offer us useful insights to

inform our product design in the future.

Reduce: This year we have successfully

reduced our scope 1 and 2 emissions.

However, our overall footprint has increased.

This is partly because we have introduced

some new data categories to our scope

3 calculations and partly because some

of the previously reported categories

have increased. More information on

the reductions and the increases can

be found in the Streamlined Energy

and Carbon Report on page 26.

Offset: In FY24, we maintained our carbon

neutral status, offsetting our entire scope

1, 2 and upstream scope 3 emissions in

line with PAS 2060. All offsets are verified

by either the Gold Standard or UN Clean

Development Mechanism. In FY22 we also

offset our historic scope 1 and 2 emissions

to become lifetime carbon neutral.

Strategy

This year we have continued to pursue our

‘Learn, Reduce, Offset’ strategy:

Learn: It remains a top priority for us to

better understand our impact on the

environment. We have learned a lot over

the last 12 months. For example, we have

continued productive dialogue with eight

key suppliers. These were selected because

they are amongst our most significant

spends, and because they represent a good

cross section of our key services – such as

business travel, cloud services and client

relationship management services.

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Sustainability Report continued

Task force on Climate-Related Financial Disclosures continued

Risk management

The impact of rising energy costs along

with risks of damage to our servers and

IT infrastructure from extreme weather

events are currently considered to be our

highest climate-related risks. In FY24, we

developed a more sophisticated system for

classifying and managing climate-related

risks. We consider some of the climate risks

identified to be material to our business.

However, for now, none of these meet our

internal criteria to be considered ‘principal

risks’. We will closely monitor this situation

and these risks will be upgraded if and

when we consider it necessary. Notably, we

now recognise physical risks from climate

change as material due to their immediacy

and unpredictability. Transition risks such

as policy, legal, and market changes are

also considered to be material due to the

likelihood and expected impacts. Our Board

Risk Committee receives periodic updates

regarding our climate risk registry.

Metrics and targets

We assess climate-related risks and

opportunities by looking at absolute and

intensity-based energy and greenhouse

gas (GHG) emission metrics, using ‘tCOe

per employee’ as our intensity metric. This

is one of our key sustainability metrics, and

this is how we monitor our impact on the

environment, alongside absolute emissions.

Net zero: We had hoped to have net zero

targets set by the end of FY24 but are not

yet ready to make this commitment. There

have been a significant number of changes

to our structure and people – changes that

were not anticipated when we set our FY24

target. These changes require us to re-visit

roles, responsibilities and governance around

net zero before commitments are made. We

believe this is more responsible than setting

the target before we are totally ready.

Risk Description Term Control

Policy Risks

New policies are constantly

being introduced, with three

new regulations to come into

effect within two to three years

As climate regulations expand, so too

do our responsibilities to meet the

requirements, creating greater risk of

non-compliance if adequate systems

are not in place.

Near

Every quarter, we review potential regulations that could

pull us into scope, and determine what actions are

required. It is frequently monitored, and we aim to begin

preparations as soon as regulations become active. Our

reviews, changes, and risk inventories are reported to our

Board Risk Committee, Sustainability Board Committee,

and Audit Committee. We also manage policy risks directly

in our Operational Risk Registry, with bi-annual risk and

control audits.

Energy Risks

South Africa and India already

experiencing significant energy

issues; Poland must actively

transition away from fossil fuels

Rising energy costs and disruptions

pose risks to our core business

operations – impacting our offices,

data centres, and homes where

our employees operate. We also

recognise that markets are

susceptible to these risks and

could impact our business.

Near We’re actively engaging with our building managers,

landlords and energy providers to move to directly-sourced

renewable energy for our offices. We’ve moved our data

centres to co-location providers who operate on 100%

renewable energy. These efforts will drive our costs down

and hopefully mitigate any unexpected issues/incidents.

We regularly monitor energy risks through our Business

Continuity Plan, which has set defined controls to manage

any disruptions. We also account for energy risks in our

Operational Risk Registry defined under climate-related

risks, with dedicated Risk and Control owners.

Physical Risks

Extreme heat and increasing

temperatures

India is already experiencing

record-breaking heat waves and will

continue to worsen each year; global

temperatures will rise annually, and all

our office locations will be impacted

imminently and unpredictably.

Near These risks to our business operations are controlled

through our Business Continuity Plan. We are working

toward building controls for more granular incidents

and employee hazard protections.

Physical Risks

Storms and natural disasters

Each of our operating regions rank in

the top 50 of the Global Climate Risk

Index. We are already seeing more

frequent and severe storms around

the world, and they will increase as

climate change worsens.

Near While unpredictable, we’ve elevated the importance of

these risks and are working to develop the right controls to

manage and mitigate any impacts. Our offices in Asia,

notably Japan, India and Singapore, are at higher risk, and

we are aiming to create controls that account for these

heightened risks and potential impacts. These risks to our

business operations are controlled through our Business

Continuity Plan. We’re working toward building controls for

more granular incidents and employee hazard protections.

1 Near-term is 3-5 years.

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Sustainability Report continued

Our carbon footprint for FY24 has been

prepared by an external consultant, Energise,

and includes our scope 1, 2 and 3 emissions

across all our businesses, locations, and all

of our subsidiaries. The data was quantified

in line with the GHG Protocol standard

and applying the most relevant emissions

factors sourced from the Department for

Environment, Food and Rural Affairs’ 2020

UK Greenhouse Gas Conversion Factors for

Company Reporting, and other equivalent

data sources for our emissions outside

of the UK. Where data is not available,

standard estimation methods have been

applied to account for these emissions.

Our Streamlined Energy Carbon Report

highlights both progress and setbacks.

We’re proud to have achieved significant

emissions reductions across scopes 1 and

2. In part this was achieved by increasing

our use of renewable energy, but we did

not take any principal energy efficiency

measures. In FY24, 100% of the electricity

that we purchased in our Poland, Spain, and

Australia offices and 80% of the electricity

that we purchased in our India office is

either directly from renewable sources

or purchased through renewable tariffs.

These offices join our UK locations which

have been operating on renewable tariffs

for several years, and means that 87.5% of

our total global energy consumption was

from renewable sources or tariffs in FY24.

Conversely, our scope 3 emissions

have increased significantly. This is

predominantly due to the introduction

of new emissions categories that we

had not previously had adequate data

to calculate or categories for which

there had not previously been a recognised calculation methodology. The enhanced data we’ve been able to collect are: scope 3 category

2 emissions associated with capital goods expenditure, scope 3 category 4 emissions associated with upstream transportation and

distribution, and scope 3 category 15 emissions associated with the cryptocurrency assets that we hold. The new methodology relates

to scope 3 category 11 – for the first time, we have been able to include emissions from our customers using one of our products on their

smartphones and computers, and plan to expand this to all our products (see the TCFD report on page 23 for more information). As we improve

our data maturity and emissions profile, we also improve our capacity to make informed decisions and more precise net zero targets.

GHG Protocol Scope Sub-category 31 May 2024 31 May 2023 YOY Change

Scope 1 179.8 723 -75.1%

Fugitive emissions 68.9 521.9 -86.8%

Combustion 110. 9 201 -44.9%

Scope 2 Purchased electricity 274.3 401.1 -31.6%

Scope 1 and 2 454.1 1124 -59.6%

Intensity ratio 0.17 0.42 -59.5%

Global energy use 8,975,696 kWh 10,206,432 kWh -12.1%

Overseas energy use 875,199 kWh 1,179,267 kWh -25.8%

UK energy use 8,100,497 kWh 9,027,165 kWh -10.3%

Scope 3 36,701.6 25,084.8 +46.3%

Purchased goods and services 26,628.3 22,124.5 +20.4%

Capital Goods 4 ,511.6 – –

Investments 1,743.9 – –

Business travel 1,14 3 .6 522 +119.1%

Employee commuting 1,691.5 5 47.5 +7.7%

Fuel and energy-related services 722.5 779.6 -7.32%

Use of sold products 103.7 – –

Waste generated in operations 89.7 88.4 +1.5%

Upstream transportation and

distribution 67. 0 – –

Emissions per employee (intensity ratio) 13.7 9.45 +39.6%

Grand total 37,155.7 26,208.9 +41.8%

Streamlined Energy

Carbon Report

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Annual Report 2024

Governance

Product governance and responsible

investment

Product governance refers to the systems

and controls we have in place to design,

approve, market and manage our products

throughout the products’ lifecycle to ensure

they meet legal and regulatory requirements.

Good product governance ensures our

products meet the needs of our target market

and deliver appropriate client outcomes,

enabling us to meet our obligations under

Consumer Duty in the UK and “powering the

pursuit of financial freedom for the ambitious”

across our product offering around the world.

Our approach to product governance

spans the entire product lifecycle from

design to distribution. To find out more,

you can download our Product Governance

statement from the IG Group website.

We provide access to a wide range of financial

instruments for clients within our target

market that can demonstrate they have the

relevant understanding of our products. We

offer market-making and brokerage services

and do not make trading or investment

decisions on behalf of our clients. Therefore,

Sustainability Report continued

Helen Stevenson: Non-Executive Director

Collaboration space: Frankfurt

our approach to responsible investment

focuses on the governance around

onboarding clients, and on the custody and

investment of the Group’s own funds and

segregated client money. For more details you

can download our Responsible Investment

Statement from the IG Group website.

Business ethics, transparency and

accountable leadership

We conduct our business in an ethical manner,

protecting the principles of human rights in all

of our operations. We abide by the UK Bribery

Act 2010 and we have a Dealing Policy, a

Disclosure Committee and associated policies

to ensure that we meet the requirements

of market abuse regulations. We also have

global policies to comply with anti-bribery and

anti-corruption laws, including those covering

employee gifts and hospitality. We do not

make or endorse facilitation payments. Every

year employees receive mandatory anti-

bribery and corruption training and market

abuse training, through an e-learning module

which includes a knowledge assessment. This

ensures that these principles of business ethics

are fully integrated into our business. We do

not make contributions to political parties.

We are committed to being open and

transparent. One way we achieve this is

to publish policy documents and reports

on the IG Group website ‘Download

Centre’, including information about our

tax strategy. This year we paid £140.9

million (2023: £161.3 million) to tax

authorities globally. We paid £102.9 million

in corporate income taxes (2023: £116.6

million). More details on our taxes paid

and on our effective tax rate for FY24 can

be found in the Financial Statements.

We continued to ensure the leadership team

is incentivised to deliver on our commitment

to sustainable and responsible business. For

more details about how sustainability is

integrated into the Sustained Performance

Plan and the bonus, see page 92.

Board Committee oversight

Our Board Committees play an absolutely

critical role in the governance of IG Group.

More information about these committees,

their roles and responsibilities and how

they have fulfilled these responsibilities

can be found on pages 51 and 68 to

87 and a table showing how these

committees oversee our sustainability

agenda can be found on page 23.

Consumer Duty

Our existing core focus on good client

outcomes has led to no major changes across

all FCA prescribed dimensions of Consumer

Duty, with only minor enhancements

implemented to ensure our clients achieve

good outcomes based on consideration of

price and value.

Strategic Repot Governance Repot Financial Statements

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Annual Report 2024

Non-financial and sustainability

information statement

Section 414CA of the CA2006 requires the

Company to include within its Strategic

Report a non-financial and sustainability

information statement setting out such

information as is required by Section 414CB

of the CA2006. The table to the right and the

information it refers to are intended to help

stakeholders understand our position on key

non-financial and sustainability matters As

well as the pages referenced in the table,

more information about these policies and

procedures can be found on the download

centre on the IG Group website.

Reporting requirement Policies and standards governing our approach Find out more about these topics

Environmental and climate-

related matters

TCFD (including CFD) statement See pages 23-24

SECR statement See page 26

Our people Diversity and Inclusion Policy See pages 19-20

Anti-Discrimination and Harassment Policy Recruitment Policy See page 18

Absence Management Policy See page 18

Annual Leave Policy See page 18

Parental Leave Policy See page 18

Group Whistleblowing Policy See page 18

Transitioning at Work Policy See page 18

IG Health and Safety Policy See page 18

Human rights Statement on Slavery and Human Trafficking (Modern Slavery) See page 27

Vendor Management Policy (including vendor due diligence processes) See page 27

Vendor Management Statement See page 27

Anti-bribery and corruption IG Group Anti-Bribery Policy See page 27

IG Group Gifts and Hospitality Policy See page 27

IG Share Dealing Code See page 27

IG Personal Account Dealing Policy See page 27

Group Market Abuse Policy See page 27

Group Conflicts of Interest Policy See page 27

PEPs and Sanctions Policy See page 27

Client Risk Categorisation Policy See page 27

Group Whistleblowing Policy See page 27

Group Global Anti-Money Laundering

(including Counter Terrorist Financing)

See page 27

Community and social matters Community Impact Report See pages 21-22

Description of principal risks and

impact on business activity

Risk Management Framework See pages 37-41

Description of business model See page 4-5

Non-financial KPIs See page 16

Sustainability Report continued

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IG Group Holdings plc

Annual Report 2024

Business Performance Review

Our business

performance review

Summary Group Income Statement

£m FY24

FY24

adjusted FY23

FY23

adjusted

Change

Change adjusted

Net trading revenue 844.9 844.9 941.8 941.8 (10%) (10%)

Net interest income 142.4 142.4 80.8 80.8 76% 76%

Total revenue 987.3 987.3 1,022.6 1,022.6 (3%) (3%)

Betting duty and other operating income

1.5 1.5 0.8 (2.5)

Net operating income 988.8 988.8 1,023.4 1,020.1 (3%) (3%)

Total operating costs

2,3

(619.6) (564.1) (584.9) (541.0) 6% 4%

Operating profit 369.2 424.7 438.5 479.1 (16%) (11%)

Other net losses (3.5) (3.5) (2.6) (2.6)

Net finance income 35.1 35.1 14.0 14.0

Profit before tax 400.8 456.3 449.9 490.5 (11%) (7%)

Tax expense (93.1) (106.0) (86.2) (94.0) 8% 13%

Profit after tax 307.7 350.3 363.7 396.5 (15%) (12%)

Weighted average number of shares

for the calculation of EPS (millions) 387.8 387.8 418.7 418.7 (7%) (7%)

Basic earnings per share (pence per share) 79.4 90.3 86.9 94.7 (9%) (5%)

1 FY23 adjusted betting duty and other operating income excludes £3.3 million of income for the reimbursement of costs relating to the sale of Nadex.

2 Operating costs include net credit losses on financial assets.

3 FY24 adjusted operating costs exclude £55.5 million of one-off items and recurring non-cash items (FY23: £43.9 million).

£9 87. 3 m

Total revenue in FY24

£456.3m

Adjusted profit before tax from

continuing operations in FY24

All results are presented on a continuing

operations basis which excludes items

related to the sale of Nadex operations

which completed in FY22 and was classified

as a discontinued operation. In FY23, the

Group subsequently disposed of assets

related to Nadex.

The following analysis on the income

statement is presented on an adjusted basis,

which excludes certain one-off items and

recurring non-cash items. Further detail on

these adjustments and a reconciliation of

alternative performance measures used in

this report is contained in the appendix.

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Business Performance Review continued

Total revenue

Total revenue consists of net trading revenue and net interest income. Total revenue was £987.3 million in FY24, down 3% on FY23.

Total revenue by product

Total revenue (£m)

FY24 FY23

Change

OTC derivatives 732.6 806.3 (9%)

Exchange-traded derivatives 214.4 186.5 15%

Stock trading and investments 40.3 29.8 35%

Total revenue 987.3 1,022.6 (3%)

OTC derivatives total revenue was £732.6 million, down 9% reflecting softer market conditions in the period, and lower levels of client activity.

Exchange-traded derivatives total revenue was £214.4 million, up 15% on the prior period. This includes tastytrade total revenue of £200.6 million,

up 18%, as higher interest rates increased interest income, and net trading revenue increased 5%. Stock trading and investments total revenue

was £40.3 million, up 35% on FY23, reflecting higher interest rates, while net trading revenue was flat. Non-OTC products contributed total

revenue of £254.7 million in FY24, up from £216.3 million in FY23.

Net trading revenue

Net trading revenue was £844.9 million, 10% lower than FY23 due to a reduction in OTC derivatives revenue.

Net trading revenue performance by product

Net trading revenue (£m)

FY24 FY23

Change

OTC derivatives 681.0 782.0 (13%)

Exchange-traded derivatives 141.1 137.1 3%

Stock trading and investments 22.8 22.7 0%

Net trading revenue 844.9 941.8 (10%)

Net interest income 142.4 80.8 76%

Total revenue 987.3 1,022.6 (3%)

Active clients (000) Net trading revenue per client (£)

FY24 FY23

Change

% FY24 FY23

Change

OTC derivatives 179.1 189.5 (6%) 3,803 4,126 (8%)

Exchange-traded derivatives

92.5 91.6 1% 1,526 1,490 2%

Stock trading and investments 86.9 90.8 (4%) 263 250 5%

Total

346.2 358.3 (3%)

1 Exchange traded derivatives revenue per client calculation excludes revenue generated from the Group’s US market maker in FY23.

2 Total Group active clients have been adjusted to remove the clients who are active in more than one product category (multi-product clients) to give a unique client count. In FY24 there were 12,200

multi-product clients, compared with 13,700 in FY23.

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Business Performance Review continued

First trades (000)

FY24 FY23

Change

OTC derivatives 41.1 45.5 (10%)

Exchange-traded derivatives 24.0 21.9 10%

Stock trading and investments 8.5 9.6 (12%)

Total

69.9 72.6 (4%)

1 Total Group first trades have been adjusted to remove the clients who traded in more than one product category to give a unique first trade count.

OTC derivatives

OTC derivatives net trading revenue of £681.0

million was down 13%, reflecting a reduction

in client activity, with active clients declining

6% on FY23 and average revenue per client

down 8%. The reduction in active clients was

observed in Q1, with clients remaining stable

since. Lower demand in the market resulted

in first trades reducing by 10% on FY23.

OTC derivatives trading revenue declined

year-on-year in all geographies, with the

exception of Singapore, where trading

revenue of £72.1 million increased 6%,

reflecting an increase in trading from

our larger clients. Average revenue

per client increased 31%, offsetting

a 20% reduction in active clients.

UK and EU trading revenue was £342.5

million, down 14%. Within this, active

clients declined 7% year-on-year and

revenue per client was down 8%.

Australia OTC derivatives net trading

revenue of £80.9 million decreased 15%,

reflecting lower active clients and revenue

per client, down 5% and 10% respectively.

Japan OTC derivatives net trading revenue was

£78.5 million, down 21% against the record

FY23 performance. Active clients were down

2% and revenue per client was down 19%.

US OTC derivatives net trading revenue

decreased 19% as net trading revenue

per client declined 22% year-on-year,

while active client numbers were up 4%.

Exchange-traded derivatives

Net trading revenue from exchange-traded

derivatives was £141.1 million, up 3% on FY23.

In US Dollars, tastytrade’s net trading

revenue was up 10% year-on-year to $160.1

million. In reporting currency, tastytrade’s

net trading revenue in FY24 was £127.4

million, up 5% on the prior year. Active

clients increased by 1%, while revenue

per client increased 4%. First trades in

the period increased by 10% on FY23.

Spectrum’s net trading revenue was £13.8

million, 12% lower than FY23. Active clients

increased by 1%, with average trading

revenue per client down 13%. First trades in

the period increased 10% on FY23.

Stock trading and investments

Net trading revenue from stock trading and

investments was £22.8 million, in line with

FY23. Active clients reduced by 4% on the

prior period while average revenue per client

increased by 5%. Assets under administration

increased to £3.9 billion at the end of FY24,

up from £3.3 billion at the end of FY23. First

trades were down 12% on FY23.

Net interest income

Net interest income on client balances

in FY24 was £142.4 million, up 76% on

the prior year total of £80.8 million as

interest rates remained elevated. Interest

income represented 14% of total revenue,

increasing from 8% in FY23, reflecting the

consistently high interest rates across the

period and significant client balances.

In our US businesses, client cash balances at

the end of the period were $1.9 billion (31 May

2023: $1.9 billion). This contributed £75.6

million of interest income (FY23: £50.4 million).

Outside the US, client balances of £2.7 billion

were in line with prior year (31 May 2023:

£2.7 billion). This included £380.3 million

of qualifying money market funds (31 May

2023: nil) for which the interest is recognised

in net interest income and £430.5 million of

client funds on the balance sheet (31 May

2023: £420.4 million) for which the interest

is recognised within net finance income.

Interest income earned on the segregated

client money balance and money market

funds was £66.8 million compared with

£30.4 million in FY23.

Adjusted operating costs

Adjusted operating costs exclude £55.5

million of one-off items (FY23: £43.9

million) and recurring non-cash items in

order to present a more accurate view of

underlying performance. A reconciliation

of alternative performance measures used

in this report is shown in the appendix.

Adjusted operating costs for FY24 were

£564.1 million, 4% higher than FY23.

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Business Performance Review continued

Adjusted operating costs

£m FY24 FY23

Change

Fixed remuneration 199.1 188.5 6%

Advertising and marketing 83.1 93.5 (11%)

Revenue related costs 57.5 47.9 20%

IT, structural market data and communications 51.5 42.5 21%

Depreciation and amortisation 44.5 29.6 50%

Legal and professional 31.9 25.9 24%

Other costs 50.4 63.1 (20%)

Variable remuneration 46.1 50.0 (8%)

Total operating costs 564.1 541.0 4%

Headcount – average 2,695 2,616 3%

Headcount – year-end 2,570 2,672 (4%)

FY24 fixed remuneration was £199.1 million,

up 6% on FY23. This reflects inflationary

salary increases, a 3% increase in average

headcount across the period as we continued

to invest in the Group’s strategic and

incubator projects, and a reduction in the

capitalisation of salary costs in year, which

decreased £3 million on FY23. Following

the launch of the operational efficiency

programme in October 2023, headcount

reduced in H2, with year-end headcount of

2,570, down 4% on FY23 (FY23: 2,672).

Advertising and marketing spend in the

year was £83.1 million, a decrease of 11%

as acquisition spend was scaled back in

line with lower market demand. Further

savings were realised as a result of more

targeted resource allocation to enhance

marketing return on investment.

Revenue-related costs include market data

charges, client payment charges, provisions

for client and counterparty credit losses and

brokerage trading fees. Revenue-related

costs increased by 20% to £57.5 million,

due to higher client and counterparty credit

losses (increasing to £15.5 million, from £1.1

million in FY23). This was due to an isolated

provision for debts arising from a small

number of professional clients. All other

costs in this category decreased year-on-

year, reflecting lower levels of client activity.

IT maintenance, structural market data

charges, and communications costs

were £51.5 million, increasing 21% on

FY23, reflecting ongoing investment in

technology including security enhancements,

deployment of our cloud strategy and

projects to support future growth.

Inflationary pressures on contract renewals

also increased costs in this category.

Depreciation and amortisation increased

by £14.9 million to £44.5 million in FY24.

Our organisational restructure led to a

reprioritisation of certain investment and

development activities. As a result, the

remaining value of the dailyfx.com domain

name has been impaired and certain

intangible work in progress has been

derecognised leading to non-recurring

costs of £11.1 million. The increase also

reflects the full year impact of the Small

Exchange, Inc. intangible assets acquired

in March of FY23 and an increase in capital

expenditure and internal development in

prior periods to support operational projects,

including the data centre migration.

Legal and professional fees were £31.9

million, an increase of 24%, reflecting

higher costs in relation to strategic and

operational projects and ongoing litigation.

Other costs, which include travel and

entertainment, regulatory fees and

irrecoverable VAT, decreased by 20%

to £50.4 million, reflecting a reduction

in irrecoverable VAT, regulatory fees,

and lower staff-related costs.

Variable remuneration of £46.1 million

includes the general bonus accrual, share

schemes and sales bonuses. The charge

for the general bonus pool was £21.8

million, down 21% reflecting the Group’s

performance against internal targets relative

to the comparative period. Share scheme

costs, which relate to long-term incentive

plans for senior management, increased by

12% to £18.8 million (FY23: £16.8 million)

including one-off acceleration of charges

for outgoing executives’ share awards.

Net finance income

Net finance income in the period was £35.1

million, up from £14.0 million in FY23. Within

this, finance income was £59.9 million

(FY23: £30.2 million), partly offset by finance

costs of £24.8 million (FY23: £16.2 million).

Group finance costs are largely fixed,

however finance income, which reflects

the interest earned on corporate balances

including client funds on balance sheet,

benefited from higher interest rates.

Profit before tax

Profit before tax was £456.3 million on

an adjusted basis, down 7% (FY23:

£490.5 million).

Taxation

The adjusted tax expense of £106.0 million

(FY23: £94.0 million) is higher than the

prior year, despite lower profit before tax,

due to the increase in the effective tax

rate from 19.2% in FY23 to 23.2% in FY24

reflecting the increase in the UK Corporate

Tax rate from 19% to 25% on 1 April 2023.

The effective tax rate continues to be lower

than the main rate of UK Corporate Tax

as a result of lower tax rates in overseas

jurisdictions where the Group operates

and through the Group’s use of standard

tax incentives in line with its tax strategy

which is available on the IG Group website.

The Group is not expected to be significantly

impacted by the implementation of a

global minimum effective tax rate of 15%.

The effective tax rate will continue to

be sensitive to several factors, including

taxable profit by geography, tax rates levied

in those geographies, and the availability

and use of tax incentives and tax losses.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Business Performance Review continued

Earnings per share

Basic earnings per share reduced to 90.3

pence (FY23: 94.7 pence) on an adjusted

basis. This was due to a reduction in adjusted

profit after tax of 12%, which was offset by a

lower weighted average number of shares,

reducing from 418.7 million shares in FY23 to

387.8 million shares in FY24, as a result of the

ongoing share buyback.

Return of shareholder funds

In line with the Capital Allocation Framework,

for FY24 the Board has recommended a

progressive final dividend per share of 32.64

pence (FY23: 31.94 pence). This will be paid

on 17 October 2024, following approval at

the Company’s Annual General Meeting, to

those shareholders on the register at the

close of business on 20 September 2024.

This represents a total FY24 dividend of

46.20 pence per share (FY23: 45.20 pence).

During FY24, the Group has also

repurchased 35,727,693 shares for total

consideration of £247.5 million (including

related costs of £4.0 million) as part of the

approved share buyback programme.

Summary Group Balance Sheet

The Group continues to operate with a strong and liquid Balance sheet, with net assets at 31 May 2024 of £1,889.5 million (31 May 2023: £2,014.6

million). The Balance sheet is presented on a management basis which reflects the Group’s use of alternative performance measures to monitor its

financial position. A reconciliation of these alternative performance measures to the corresponding UK-adopted International Accounting

Standards balances is shown in the Appendix.

£m 31 May 2024 31 May 2023

Change

Goodwill 599.0 611. 0 (2%)

Intangible assets 216.6 276.5 (22%)

Property, plant and equipment

20.3 17.6 15%

Operating lease net liabilities (2.3) (2.2) 5%

Other investments 1.8 1.2 50%

Investments in associates 9.9 12.5 (21%)

Fixed assets 845.3 916.6 (8%)

Cash

912.3 795.2 15%

Net amounts due from brokers 783.1 825.3 (5%)

Own funds in client money 47. 3 75 .1 (37%)

Financial investments 115 .7 234.1 (51%)

Liquid assets 1,858.4 1,929.7 (4%)

Issued debt (299.5) (299.3) –

Client funds held on balance sheet (430.5) (420.4) 2%

Turbo warrants (4.5) (2.7) 67%

Own funds 1,123.9 1,207.3 (7%)

Working capital (55.2) (74.4) (26%)

Net tax receivable 2.2 2.7 (16%)

Net deferred income tax liability (26.7) (37.6) (29%)

Net assets 1,889.5 2,014.6 (6%)

1 Excludes right-of-use assets.

2 As per the Consolidated Statement of Cash Flows.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Business Performance Review continued

The Group continues to be highly cash

generative, with £360.0 million (FY23: £221.4

million) generated from operations. For

management purposes the Group measures

the strength of its liquidity position using an

own funds measure rather than cash, which

is a combination of assets held by the Group,

which already are, or can be deployed to

meet its liquidity requirements, less restricted

cash or amounts payable to clients. This

broader measure is a more stable metric

to assess the Group’s liquidity position.

The Group saw a decline of £71.3 million in

the carrying value of its fixed assets in the

period. Most of the Group’s intangible assets,

including goodwill, are US Dollar assets and

foreign exchange movements resulted in a fall

in the value of fixed assets by £16.5 million.

There was also continued amortisation

of intangible assets associated with the

tastytrade acquisition of £31.3 million and

depreciation of the Group’s tangible assets

of £18.9 million. Organisational changes

during FY24 which included allocating

technology and marketing resources from

central teams into divisional teams, resulted

in a reprioritisation of internal development

activities, and the derecognition of £3.1

million intangible work in progress. The

decision to discontinue investment in

the dailyfx.com website led to an £8.1

million impairment of the domain name.

The impact on net assets of the fall in value

of fixed assets and own funds was offset

by a £19.2 million decrease in working

capital requirements and a £10.4 million

fall in current and deferred tax liabilities.

Working capital requirements at 31 May

2024 were lower than at 31 May 2023 due

to a lower bonus reflecting the Group’s

performance for the year, and higher interest

receivable on Group cash balances due to

continued higher interest rates. Current

and deferred tax liabilities have reduced

predominately from the unwinding of a

deferred tax liability which was recognised

upon the acquisition of tastytrade.

The Group’s own funds decreased by £83.4 million during FY24 due to a £71.3 million decrease in liquid assets and a £10.1 million increase in client

funds on balance sheet. The ongoing share buyback continues to be a key driver in the reduction of the Group’s own funds balance. The Group

made cash payments of £245.6 million (FY23: £175.2 million) to acquire and cancel shares in the period.

£m (unless stated) FY24 FY23

Own funds generated from operations 453.0 4 67.5

As a percentage of operating profit 123% 107%

Income taxes paid (102.9) (116. 6 )

Net own funds generated from operations 350.1 350.9

Net own funds generated from/(used in) investing activities 11. 9 (18.8)

Purchase of own shares held in Employee Benefit Trust (13.3) (14.6)

Payments made for share buyback (245.6) (175.2)

Equity dividends paid to owners of the parent (178.3) (188.1)

Net own funds (used in) financing activities (437. 2) (377.9)

Decrease in own funds (75.2) (45.8)

Own funds at the start of the period 1,207.3 1,253.8

Decrease in own funds (75.2) (45.8)

Impact of movement in foreign exchange rates (8.2) (0.7)

Own funds at the end of the period 1,123 . 9 1,207.3

Liquidity

The Group maintains a strong liquidity position, ensuring sufficient liquidity under both normal circumstances and stressed conditions to meet its

liquidity requirements. These liquidity requirements include broker margin, regulatory liquidity and working capital needs of its subsidiaries, and

the funding of adequate buffers in segregated client money accounts.

£m 31 May 2024 31 May 2023

Change

Liquid assets 1,858.4 1,929.7 (4%)

Broker margin requirement (6 77.7) (678.2) –

Cash balances in non-UK subsidiaries (381.1) (383.5) (1%)

Own funds in client money (47.3) (75.1) (37%)

Available liquidity 752.3 792.9 (5%)

Available liquidity is a measure of the Group’s ability to meet additional liquidity requirements at short notice, typically increases in broker margin.

Balances such as non-UK cash balances and own funds in client money are excluded from this measure as these cannot be immediately allocated.

The Group optimises its liquidity position by centralising funds within the UK, where the majority of market risk resides. This ensures sufficient

liquidity can be deployed as required. The Group continually reviews and optimises the return on deploying this liquidity, through fixed income

instruments, money market funds and bank deposits. Significant time has been invested into developing strong banking relationships to ensure

competitive interest rates on bank deposits.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Business Performance Review continued

The Group’s available liquidity is supported

by its strong and diverse funding profile. This

includes £328.7 million of liquidity through

title transfer arrangements. The Group has

a £400.0 million revolving credit facility and

a £250.0 million committed repo facility

providing the ability to quickly and efficiently

convert financial investments into cash.

The Group’s funding profile is further

supported by its £1.0 billion Euro Medium-

Term Note programme, from which it has

£300.0 million notes in issue, maturing

November 2028. The Group maintains an

active dialogue with a variety of debt

stakeholders, leading to the Group’s long-

term credit rating from Fitch being placed on

positive outlook in September 2023.

In addition to the cash recognised on the

balance sheet, as at 31 May 2024, the Group

held £2,282.6 million (31 May 2023: £2,303.9

million) of client money in segregated bank

accounts and qualifying money market funds,

which are held separately from the Group’s

own cash balances. Client balances are

excluded from both the Group’s balance

sheet and liquid assets as the Group does not

have control over these balances.

Regulatory capital

The Group is supervised on a consolidated basis by the UK’s Financial Conduct Authority (FCA), which requires it to hold sufficient regulatory

capital at both Group and in its UK-regulated entities to cover risk exposures. The Group’s capital headroom was £638.3 million (31 May 2023:

£498.9 million).

£m 31 May 2024 31 May 2023

Shareholders’ funds 1,889.5 2,014.6

Less foreseeable/declared dividends (118 . 0) (127.6)

Less remaining share buyback (29.7) (22.5)

Less goodwill and intangible assets (76 7. 3) (829.9)

Less deferred tax assets (24.6) (23.2)

Less significant investments in financial sector entities (11. 7 ) (13.7)

Less value adjustment for prudent valuation (1.3) (1.4)

Regulatory capital resources 936.9 996.3

Total requirement 298.6 497. 4

Headroom above minimum capital requirement 638.3 498.9

The Group’s regulatory capital resources, which totalled £936.9 million at 31 May 2024 (31 May 2023: £996.3 million) are an adjusted measure

of shareholders’ funds. Shareholders’ funds comprise share capital, share premium, retained earnings, translation reserve, merger reserve and

other reserves.

The Group’s regulatory capital requirement as at 31 May 2024 was £298.6 million (31 May 2023: £497.4 million), which has reduced significantly

compared to the previous year. The FCA completed its Supervisory Review and Evaluation Process during the year and the outcome was a

reduction in the overall regulatory capital requirement. This reduction reflects the removal of the transitional Individual Capital Guidance, and

regulatory capital is now based on the Group’s own assessment of capital requirements which varies daily with our internal risk assessment.

The main factors which drive the Group’s internal risk assessment are market, credit and operational risks. Credit risks include potential client

debts in the event of a sudden market move as well as exposure to hedging counterparties and banking counterparties should one or more of

them default. Operational risk covers a wide range of potentially severe events, from a ransomware attack to a manual error when entering a trade

on the dealing system. Market risk varies on a daily basis since the Group is counterparty to a high volumes of trades from clients around the world

and positions are changing constantly. The largest daily movement in capital requirements during FY24 was £32.6 million.

The Group also has regulated entities in overseas jurisdictions which are subject to the rules set by other regulators. These regulations are

calculated on a different basis to the FCA regulations and may result in incremental capital requirements or the holding of additional buffers.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Board and designated sub-Committees

IG Group Holdings (IGGH)

Management

Client Money and Assets Committee Remuneration Risk Committee

First Line

Business functions

Risk management

Responsible for identification,

assessment and management

of risks faced in line with

approved policies and

procedures.

Second Line

Risk and Control functions

Advisory and oversight

services

Maintain risk management

and control policies, analyse

and monitor risks against

risk appetite.

Third Line

Internal Audit

Assurance

Provide independent,

objective assurance reviews

of appropriateness and

effectiveness of controls,

governance structures

and processes.

Risk Committee Technology Risk Committee

Executive Risk Committee

Best Execution Committee

Transaction Repoting CommitteeVendor Risk Management Committee

Audit Committee

Board Risk

Committee

Remuneration

Committee

Board Risk Committee

Audit

Committee

Information Security

Technology Committee

Risk Management

Our approach to risk management is centred around an

embedded Risk Management Framework which flexes and

scales to meet our business objectives and client demand,

whilst preserving our financial position, regulatory

reputation and ensuring good outcomes for both clients

and markets. The Board is ultimately responsible for

maintaining a strong risk management culture.

Risk Management

Risk Management Framework (RMF):

Building resilience through structure

We have an established framework to

proactively identify, measure, manage,

monitor, and report the risks faced by our

business. This includes the risk that our

conduct may pose to the achievement of

good outcomes for clients, or to the sound,

stable, resilient, and transparent operation

of financial markets. The RMF provides the

Board with oversight and assurance that

our risks, including the risks relating to the

achievement of our strategic objectives,

are understood by all our stakeholders, and

drives resilience across the business in line

with our appetite and set tolerance levels.

The RMF is supported by numerous

policies and frameworks covering all areas

of our business from our management

of market, credit, and liquidity risk to the

systems and controls we put in place to

manage and oversee our technology,

operational and conduct risks.

Risk culture: Nurturing risk ownership

Embedding a sound Risk culture is

fundamental to the effective operation

of our RMF and sets the tone, alongside

our core value of ‘Champion the Client’,

for conduct in all business activities and

expected behaviours. Central to our risk

culture is a commitment to integrity and

to principles of responsible business. This

is driven by individual accountability, with

defined roles and responsibilities prescribed

across the Group as detailed under the

Senior Managers Certification Regime in

the UK. We operate aThree Lines Model,

with segregation of responsibilities as

detailed in the diagram to the right.

Risk governance: enabling

strategic oversight and adaptability

Non-Executive oversight of the RMF

has been delegated by the Board to the

Board Risk Committee, with executive and

operational oversight provided through

the Executive Risk Committee (ERC).

There are weekly Risk Committees to discuss

thematic, emerging, and evolving risks

requiring executive and management

oversight, with the frequency reflecting the

commitment of senior management to play

an active role in day-to-day risk management.

Specific sub-committees are delegated

additional oversight with membership

comprised of senior management with

subject matter expertise.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Principal Risks and Risk Appetite

Principal Risks

Principal Risk

Business Model Risk

The risk we face arising from the nature

of our business and business model,

including market, credit and liquidity

risks, and capital adequacy adherence.

Risk appetite

In pursuit of our business goals, we have an appetite for running

modest levels of market risk to facilitate instant execution of client

orders whilst accepting that periodic client credit losses will occur

in normal business activity. We maintain a measured approach to

managing liquidity and regulatory capital risk and actively support

opportunities to drive growth in our day-to-day operations.

Emerging and evolving risks

We monitor the emergence of significant events or topics which

could, if unmanaged, have a material impact on our business.

Such matters include the ongoing global political tensions, war

in Ukraine and Gaza, the resultant humanitarian crisis, trade wars,

changes of government, political and legislative changes and any

other matters which may lead to macro market movements.

Where such events or topics emerge, as a matter of course we

consider client margin requirements, market risk limits, broker

positions, and cash and capital held at each individual entity to

ensure we remain within our risk appetite as the external

environment and risks we face change.

Risk types Mitigation and controls

Market risk – trading book

and non-trading book

The risk of loss due to movements in market prices

or interest rates arising from our net position in

financial instruments.

 The inherent conflict in OTC trading is mitigated at IG through the design of our

business model being based around the internalisation of client trading and

hedging of residual exposures more than the predefined Board approved limits.

In short, our long-term interests align with those of our clients

 Additionally, our order execution system price improves client orders where the

underlying market has moved against them while the order is being processed.

We operate a real-time market position monitoring system

 Our scenario-based stress tests are performed on an hourly basis

 We have predetermined, Board-approved, market risk limits

 Our dynamic approach to limit management makes full use of highly liquid markets

in core hours, reducing in less liquid periods

Credit risk – client

The risk that a client fails to meet their obligations to us,

resulting in a financial loss.

 Our approach to setting client margin requirements is centred on protecting our

clients from poor outcomes, taking into consideration underlying market volatility

and liquidity, while simultaneously protecting IG from exposure to credit losses

 Client positions are automatically liquidated once they have insufficient margin

on their account – this not only protects IG against credit losses, but importantly

protects our clients

 Our client education offering provides information on how to manage their

risk portfolio

Credit risk – financial institution

The risk of loss due to the failure of a financial institution

counterparty.

 We undertake credit reviews of financial institutional counterparties upon account

opening, which is updated periodically (or ad hoc upon an event) to ensure that

they remain credit worthy and viable

 Our credit exposures to each of our broking counterparties are actively managed

in line with limits

 We perform daily monitoring of counterparties’ creditworthiness

Liquidity

The risk that we are unable to meet our financial

obligations as they fall due.

 Active liquidity management within the Group is central to our approach, ensuring

sufficient liquidity is in the right places at the right times

 We conduct monthly liquidity stress tests

 We have access to committed unsecured bank facilities and debt capital markets

Capital adequacy

The risk that we hold insufficient capital to cover

our risk exposures.

 We conduct daily monitoring of compliance with all regulatory capital

requirements. With our ICARA (Internal Capital Adequacy and Risk Assessment),

we conduct an annual capital and liquidity assessment including the application of

a series of stress-testing scenarios, based against our financial projections, all of

which is approved by the Board

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Principal Risk

Commercial Risk

The risk that our performance is affected

by adverse market conditions, failure to

adopt an effective business strategy, or

competitors offering more attractive

products or services.

Risk appetite

There is little appetite for activities that threaten efficient delivery

of any core initiatives or that can diminish our reputation, although

acceptance of some strategic risk is necessary to foster innovation.

Emerging and evolving risks

This year saw subdued economic growth, a period of lower than

usual volatility in financial markets, regulatory changes, and

consumer demand for a divergence of product sets. This has

driven an innovative and rapid response to deliver product

changes quickly, to meet client demand across a range of

markets and trading conditions.

Risk types Mitigation and controls

Strategic delivery

The risk that our competitive position weakens or that our

profits are impacted due to the failure to adopt or

implement an effective business strategy, including the

risk of failing to appropriately integrate an acquisition.

 Reacting to sustainable growth opportunities in a timely manner ensuring we

adapt our product to changing client demands in a rapidly evolving marketplace

 We are split into four regional divisions so strategic decisions made with most

relevance to the local customer base and can be implemented by local jurisdiction

at pace

 Projects managed via a phased investment process, with regular review periods,

to assess performance and determine if further investment is justified

 Regular strategy updates to the Board from the Executive Directors throughout

the year detailing the strategic progress of the business

Financial market conditions

The risk that our performance is affected by client

sensitivity to adverse market conditions, making it harder

to recruit new clients and reducing the willingness of

existing clients to trade.

 Review of daily revenue, monthly financial information, KPIs and regular

reforecasts of expected financial performance

 Forecasts used to determine actions necessary to manage performance and

products in different regional divisions, with consideration given to changes in

market conditions

 Regular updates to investors and market analysts to manage the impact of market

conditions on performance expectations

Competitor

We operate in a highly competitive environment and seek

to mitigate competitor risk by maintaining a clear

distinction in the market. This is achieved through

compelling and innovative product development and

quality of service, all while closely monitoring the activity

and performance of our competitors.

 Our approach to conduct demands we put the client at the heart of our decision

making. We do not engage in questionable practices, regardless of whether they

would prove to be commercially attractive to clients

 Ensuring that our product offering remains attractive, considering the other

benefits that we offer our clients, including brand, strength of technology and

service quality

Principal Risks continued

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Principal Risk

Conduct and Operational Risk

The risks that our conduct poses to

the achievement of fair outcomes for

consumers or the financial markets, and

the risk of loss resulting from inadequate

or failed internal processes, people,

systems, or external events.

Risk appetite

Operational risk is present in the normal course of business,

anditis not possible, or even desirable, to eliminate all risks

inherent inour activities. We have no appetite for poor

conduct-related events.

Emerging and evolving risks

The cyber threat landscape continues to evolve, with malicious

actors and ransomware groups constantly changing and maturing

their attack methods and targets. The incorporation of Artificial

Intelligence (AI) and Machine Learning (ML) capabilities to improve

efficiency, productivity, enhance quality and accuracy could result

in threats to data security, ethical considerations and create

scenarios that require legal and regulatory responses. All AI and

ML outputs are suggestive and reviewed by employees prior to any

release to production. The impact of climate change poses risks to

business continuity and, therefore, potential harm to our people

and the communities in which we operate.

Risk types Mitigation and controls

Platform availability

The risk that our operations are affected, or clients

receive a degraded service or are unable to trade

due to an operational outage or system limitations.

 Maintenance of a 24/7 incident management function

 Regular disaster-recovery capability testing

 Capacity stress testing

 Our Change Management and Quality Assurance functions undertake risk

assessments, utilise defined maintenance windows and help deploy new products

and services

 Distributed Denial-of-Service (DDoS) mitigation services

Information security

Technology threats can evolve from poor internal

practices and systems or from the continuously

evolving cyber landscape.

 Security operations function with 24/7 strength-in-depth capabilities to monitor,

prevent and triage cyber threats

 We invest in strength-in-depth capabilities to mitigate the ever-present and

changing cyber threats

 Regular penetration testing, vulnerability scanning, and a bug bounty programme

ensures vulnerabilities are identified and addressed

 A.I. is being adopted to leverage the processing capabilities it can perform.

Specific governance, guidance, legal review and monitoring is in place to ensure

that the risks are understood and managed

Financial crime

The risk of failing to identify and report financial crime.

Inadequate oversight and client due diligence can result in

clients attempting to use us to commit fraud or launder

money, third parties trying to access client or corporate

funds, or employees misappropriating funds if an

opportunity arose.

 A mature control framework for identifying and reporting on suspicious

transactions, which is designed to protect the integrity of the financial markets

and provide a stable and fair-trading environment for our clients

 Appropriate onboarding processes for different client types and vendors with

enhanced due diligence and monitoring processes where appropriate

 Segregated duties within processes to ensure adequate oversight and control

over internal fraud

Trading

The risk related to any issues around our internal hedging,

client trading, and process for corporate actions,

dividends, and stock transfers.

 A 24/7 approach with trading desks located in London, Frankfurt, Limassol and

Melbourne provide 24-hour coverage. We apply Board-approved Market Risk

Limits and operate under a robust control framework to mitigate our exposure to

loss through operational risk events which may impact trading. Our OTC order

execution processes not only comply with all regulatory requirements, but go

over and above in filling client orders, on an asymmetrical basis, to provide

best execution

Principal Risks continued

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Principal Risks continued

Principal Risk

Conduct and Operational Risk

continued

Risk types Mitigation and controls

Client life cycle management

This is the risk related to issues in the client life cycle

spanning the customer agreement, account set-up,

interactions, and appropriateness of account types

and product offerings.

 Bespoke onboarding processes ensure we only offer products and services to

clients with sufficient means and a clear understanding of the risks involved.

Regular assessments of services identified as being critical to clients to ensure

their operational resiliency. Single points of failure identified, and contingency

plans set in place

 Adherence to relevant regulations which protect clients such as consumer duty,

best execution, client money and asset regulations, operational resilience and

more, alongside our corporate value of ‘Champion the Client’, ensures clients are

at the forefront of all that we do

 The use of KPIs to monitor levels of service provided and act where needed

 We offer a range of high-quality, easily accessible educational material to ensure

clients can improve their understanding of our products and the financial markets

 We monitor for client behaviours which may indicate levels of vulnerability and

proactively engage with them to minimise poor outcomes

Financial integrity and

statutory reporting issues

The risk of production issues which could lead to

untimely, incomplete, or inaccurate financial statements,

transaction reporting, tax filing, regulatory capital, and

forecasting.

 Our operational risk framework provides the base from which our robust control

environment reduces operational risk events from manifesting

 Our automated systems enable us to flex with client trading volumes

 Dedicated specialist steering committees manage and oversee niche areas, such

as transaction reporting, financial crime, financial reporting and forecasting,

climate responsibilities, our ICARA and Annual Report production

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Principal Risks continued

Principal Risk

Regulatory Environment Risk

The risk of enhanced regulatory scrutiny,

intervention, enforcement, or risk that

the legislative or regulatory environment

in any of the jurisdictions which the

Group currently operates in, or may wish

to operate in, changes in a way that has

an adverse effect on the our business

or operations, through reduction in

revenue, increases in costs, or increases

in capital and liquidity requirements.

Risk appetite

We have no appetite to breach financial services regulatory

requirements and we strive to always comply with applicable

laws and regulations.

Emerging and evolving risks

The regulatory landscape continues to evolve, and we need

to react and ensure adherence to incoming regulations in

a timely manner across all regulatory domains in which the

Group operates. Less well-developed regulatory frameworks,

posing heightened risk to our business, are actively monitored

for any changes where we may need to adapt strategic roll-

outs. Conversely, more embedded regulatory frameworks may

need to react to changes in industry and practices which shift

expectations and enforcement agendas. We continue to prioritize

adaptability to preserve our business lines. The introduction of the

FCA’s Consumer Duty principle is an example of how we planned

for change by identifying workstreams with owners who are

responsible for updating steering committees on progress. Many

of the concepts in the FCA’s Consumer Duty are already practiced

and well-embedded. We welcome the introduction of incoming

regulations and look forward to Group’s strategic adoption of

them while upholding our purpose, strategic drivers, and values

such as being ‘Tuned for Growth’ and ‘Champion the Client’.

Risk types Mitigation and controls

Regulatory risk

The risk that we are subject to enhanced regulatory

scrutiny and therefore face a higher chance of

investigation, enforcement or sanction by financial

services regulators. This may be driven by internal

factors, such as the strength of our control framework

or our interpretation, awareness, understanding or

implementation of relevant regulatory requirements.

It may also be heightened by external factors, such as

regulatory or political focus, broader sector scrutiny or the

identification of emerging risks with firms in our sector.

 Governance and organisation structure designed to ensure sufficient local

compliance expertise and commercial accountability for applying local regulatory

standards and managing regulatory risk in each jurisdiction in which we operate

 Continuous monitoring of operations to ensure they adhere to regulatory

requirements and expected standards

 Continuous review of all regulatory incidents and breaches with deep dives

performed on common themes

 Policies and procedures are embedded across the Group with a regulatory-

compliant mindset

Regulatory change

The risk of governments or regulators introducing

legislation or new regulations and requirements in any of

the jurisdictions in which we operate which could result in

an adverse effect on our business or operations, through

reduction in revenue, increases in costs or increases in

capital and liquidity requirements.

 We foster strong relationships with key regulators, with whom we actively seek to

converse to keep abreast of, contribute to, and correctly implement regulatory

changes

 We pay close regard to relevant public statements issued by regulators that may

affect our industry

 The Board Risk Committee receives regular reports of current and emerging risks

which timeline incoming, and potential incoming, changes

 The Board Risk Committee has received regular updates on UK Consumer Duty

regulation, from the early consultation stage through to approval of the final

implementation plan

Tax change

The risk of significant adverse changes in the way

we are taxed.

A prime example is the imposition of a financial

transactions tax, which could severely impact the

economics of trading and developments in international

tax law.

 We monitor developments in international tax laws to ensure continued

compliance and ensure stakeholders are aware of any significant adverse

changes that might impact us

 Where appropriate and possible, we collaborate with tax and regulatory

authorities to provide input on tax policy, or changes in law

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Going concern and viability statement

Going Concern and Viability Statement

Going concern

The Directors have prepared the Group

Financial Statements on a going concern

basis which requires the Directors to have

a reasonable expectation that the Group

has adequate resources to continue in

operational existence for a period of at

least 12 months from the date of approval

of the Group Financial Statements.

The Directors’ assessment has considered

future performance, solvency and liquidity

over a period of at least 12 months from the

date of approval of the Financial Statements.

The Board, following the review by the Audit

Committee, has a reasonable expectation

that the Group has adequate resources for

that period, and confirm that they consider

it appropriate to adopt the going concern

basis in preparing the Financial Statements.

The Group meets its day-to-day working

capital requirements through its available

liquid assets and committed banking facilities.

The Group’s liquid assets exclude all monies

held in segregated client money accounts.

In assessing whether it is appropriate to

adopt the going concern basis in preparing

the Financial Statements, the Directors have

considered the resilience of the Group,

taking account of its liquidity position and

cash generation, the adequacy of capital

resources, the availability of external credit

facilities and the associated financial

covenants, stress-testing of liquidity and

capital adequacy that takes into account the

principal risks faced by the business. Further

details of these principal risks and how they

are mitigated and managed is documented

in the Risk Management section in the

FY24 Group Annual Report on page 36.

Viability statement

The UK Corporate Governance Code requires

the Directors to make a statement regarding

the viability of the Group, including explaining

how they have assessed the prospects of the

Group, the period of time over which they

have made the assessment and why they

consider that period to be appropriate.

The Group has changed its period for

assessing viability from four years to three

years which is the length of time over

which the Board strategically assesses

the business. This follows a change in the

Group’s approach to financial planning, with

a shorter forecasting period being used

in response to factors both driven by, and

impacting, the industry and the Group. The

pace of product and technological innovation

by competitors, the timeframe over which

the impact of regulatory changes can be

seen and constantly evolving consumer

expectations need to be met with enhanced

focus on faster delivery of products. As a

result, the Group now has a forecasting and

planning cycle consisting of a strategic plan,

an annual budget for the current year and

financial projections for a further two years.

The first year of the planning period has a

greater degree of certainty. It is therefore

used to set detailed financial targets across

the Group. It is also used by the Remuneration

Committee to set targets for the annual

incentive scheme. Caution about the degree

of certainty needs to be exercised – in the

short term, the performance of the Group’s

business is impacted by influences such as

market conditions and regulatory changes

that it cannot control.

The further two-year period provides

less certainty of outcome but continues

to provide a robust planning tool against

which strategic decisions can be made.

These forecasts are also considered

when setting targets for the executive

and senior management remuneration.

The Group’s revenue in the current year,

which is driven by client transaction fees,

is down against the prior year as a result

of market conditions. The reduction has

been partially offset by the interest earned

on client money balances, reflecting the

continued high interest rate environment.

Projections of the Group’s revenue have

conservatively considered financial market

volatility for the three-year period based on

historical levels which exclude exceptional

events. Projections include assumptions on

interest rates which are expected to remain

flat before decreasing, based on market

expectation of future interest rates. The

forecasts include revenue from investments

in new products and markets that may

be less successful than assumed by the

financial forecasts and are dependent on

regulatory applications being successful.

This output from the Group’s forecasts is used

in the Group’s capital and liquidity planning,

and the most recent forecasts are for the

three-year period ending May 2027.

No significant changes to regulatory capital

and liquidity requirements have been

assumed over the forecasting period.

The Group undertakes stress-testing

on these forecasts through the Internal

Capital Adequacy and Risk Assessment

(ICARA) and Recovery Plan, providing the

Board with a robust assessment of the

possible consequences of principal risks

facing the Group, including those that

would threaten its business model, future

performance, solvency and liquidity.

The scenarios used include a global financial

crisis, fines from legal proceedings or

regulatory findings, unexpected global

economic event followed by a market

dislocation, internal operational failures

and poor performance from loss of clients.

The ICARA also includes a contingency

funding plan, outlining management

actions to improve the Group’s capital

and liquidity position if needed. Using

appropriate management actions, the

forward-looking scenarios showed that

the Group was resilient to all severe,

but plausible, scenarios considered.

Additionally, the Group has undertaken

reverse stress-testing to understand the

circumstances under which the Group’s

business model would no longer be viable.

The amount of capital and the amount of

liquidity required to ensure an orderly

wind-down have been calculated based on

these reverse stress tests, and form the base

for our minimum regulatory requirements.

Scenarios are reviewed at least annually

to ensure they remain relevant, with

any updates being incorporated

into the ICARA accordingly.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Going Concern and Viability Statement continued

The Directors are satisfied that these and other

uncertainties have been assessed, and that the

financial forecasts reflect an appropriate

balance of the potential outcomes.

The Group continues to actively monitor

and refine its comprehensive business

continuity plan. The Group’s long-term

investment in communications and

technology infrastructure enables the

Group to continue to operate in a hybrid

working environment, with all employees

given the opportunity to work from home,

whilst the Group continues to provide the

best possible service for its clients when

they choose to trade the financial markets.

Overall, the Directors consider the Group

well-placed to manage its business risks

successfully, having taken into account the

current economic outlook, the possible

consequences of principal risks facing the

business in severe but plausible scenarios,

and the effectiveness of any mitigating

actions on the Group’s profitability, liquidity

and capital adequacy. The Group’s business

model provides the Directors with comfort

that the business is being run in a sustainable

way, acting in the interest of its clients and

acting responsibly in managing relationships

with other stakeholders.

The Board regularly assesses the principal

risks facing the Group. These risks include

regulatory, legislative, or tax changes which

may detrimentally impact our business in

the jurisdictions in which we operate or

seek to operate. In particular, a change

that impacts the Group’s ability to sell or

trade OTC derivative products may have a

fundamental effect on the viability of the

Group and its businesses, although this risk

is lower than in previous years due to the

continued diversification of the Group’s

product offering. Further details of these

principal risks and how they are mitigated

and managed is documented in the Risk

Management section on page 36 . The

Board receives reports on these and new

emerging risks through the Risk Management

Framework. On the basis of these and other

matters considered and reviewed by the

Board during the year, the Directors have

reasonable expectations that the Group

will be able to continue in operation and

meet its liabilities as they fall due over the

three-year period ending 31 May 2027.

The Strategic Report up to and including page

43 was approved for issue by the Board on

24 July 2024 and signed on its behalf by:

Charles A. Rozes

Chief Financial Officer

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Holding ourselves

accountable

Chair’s Introduction to Corporate Governance

I am pleased to report

that we have achieved

another strong year of

embedding governance

best practice in support

of our Company strategy

and with a focus on our

stakeholders.

”

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Chair’s Introduction to Corporate Governance continued

Board changes and focus

My reflection on FY24 is that it has been a

year of unexpected and unprecedented

change that has resulted in the Group

being faced with challenges, which the

Board and the Executive Committee

have overcome together. The most

significant and time-critical challenges

related to Directorate changes.

June Felix took ill at the start of the financial

year, which resulted in her taking medical

leave and, unfortunately, culminated in her

stepping down as CEO of the Group on

29 August 2023. During that period, Charlie

Rozes stepped up as Acting CEO, while

continuing as our CFO, and performed both

roles commendably under very difficult

circumstances. The contingency planning

that had already been undertaken by

the Nomination Committee accelerated

into CEO succession planning. After an

extensive search that included both internal

and external candidates, Breon Corcoran

was appointed CEO. Breon joined the

Group on 29 January 2024. Information

about the succession planning process,

including the executive search agency

that supported us, and our engagement

with stakeholders on this is provided in the

Nomination Committee Report on page 68.

Jon Noble stepped down as COO on 13 March

2024, having been with the Group for over

24 years. We are grateful to Jon for his

long service and the pivotal role that he

played in positioning IG as the global market

leader in our industry. When Jon left, the

Board agreed that the COO role would no

longer be an Executive Director position.

Charlie has also decided to step down as

CFO and Executive Director and he will leave

us on 31 July 2024. The Board is grateful

to Charlie for his service on the Board

and as part of the Executive Committee.

He made an outstanding contribution to

the Company’s growth in his role as CFO

and more recently as Acting CEO. We’ve

enlisted the help of another executive search

agency to identify his successor. Further

details can be found in the Nomination

Committee Report on page 68.

Malcolm Le May will reach nine years’

tenure this year and will be stepping down

at the Company’s AGM on 18 September

2024. I would like to take this opportunity

to thank him for his commitment and

the significant contribution that he has

made during his time with the Group.

Diversity and Inclusion are key themes for

the Group, and the Board fully recognised

the consequences of June’s departure and

Breon’s appointment on Board diversity.

Breon’s appointment was made on merit,

taking account of the specific skills,

knowledge and experience needed for

the role. The Board remains committed

to achieving the optimal blend and

balance of diversity possible, including

40% female representation on the Board.

With that in mind, as well as the feedback

from the prior year’s Board Evaluation on

skills, experience and know-how areas

that would benefit the Board in future

appointments, we commenced a search for

a new Non-Executive Director to succeed

Malcolm, supported by an executive search

agency that specialises in diverse Board

appointments. We were pleased to announce

the appointment of Marieke Flament, with

effect from 4 July 2024. Marieke brings to

the Board technology and crypto experience.

More information on the search process

is provided in the Nomination Committee

Report on page 68 and her biography

is provided on the Group website.

Malcolm also Chaired the Board of IG US

Holdings, Inc. until 9 July 2024. We believe

that this cross-directorship between the

Group and this key subsidiary continues

to add value and enable effective Group

oversight, so we will continue with it. Susan

Skerritt, an existing IG US Holdings Inc. Board

Member with extensive US experience,

has strong relationships with the North

America team and was appointed Chair of

the US Board with effect from 9 July 2024.

Jonathan Moulds, our Senior Independent

Director (SID), was appointed to that Board

on 9 July 2024, in order that we can also

draw on his extensive US experience.

Ensuring appropriate governance during

such a period of change has required an

increased time commitment from our

Non-Executive Directors this year, as you

will see from the number of Board and

Nomination Committee meetings provided

on page 53. I’d like to thank my colleagues

for their dedication and continued energy.

Statement of compliance with the 2018

UKCorporate Governance Code

The 2018 UK Corporate Governance

Code (the ‘2018 Code’) emphasises the

value of good corporate governance to

the long-term sustainable success of

listed companies, and our Board is

responsible for ensuring that we have the

appropriate frameworks to comply with

its requirements.

We have applied the principles and

complied with all the provisions of the

2018 Code during FY24, and both this

Governance Report and the Strategic

Report set out how we have applied them

throughout the year.

A copy of the 2018 Code is available on

the Financial Reporting Council’s (FRC’s)

website at frc.org.uk.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Chair’s Introduction to Corporate Governance continued

Recently, the Company moved to a divisional

organisational model, to bring our people

and operations closer to our clients globally,

and to provide greater insight and be able to

respond better to the needs of our clients in

different markets. We took the opportunity

to move skills across the business and into

the divisions. In FY25, the Board will receive

updates from each divisional head so that we

can get closer to the business. This year, the

Board has benefited from detailed sessions

on a range of topics to help enhance our

knowledge and understanding of the business

and in terms of horizon scanning, including

corporate governance reforms, strategic

options, diversity and inclusion, sustainability,

and accounting matters. Outside of Board

meetings, Directors continued to meet

with potential successors to Executive

Committee members. We also benefited

from meeting with the employee networks,

and that practice will continue in future

years. More information on Board activities

during the year is available on page 55.

Governance structure

Last year, we successfully completed a review

of Board composition for both regulated

and unregulated entities across the Group.

The changes that we made have worked

effectively this year. I am also pleased that

the Subsidiary Governance Framework

has embedded across the Group.

We cancelled our Board offsite in support

of the Group-wide operational efficiency

measures announced during FY24. We remain

committed to meeting as many of our people

as possible because we know how impactful

it is to be immersed in the business, to gain a

deeper understanding of the opportunities

and challenges and we are keen to learn

about key strategic initiatives for the divisions.

We plan to visit several locations during FY25,

but to reduce the impact of hosting the Board

on those offices and to ensure that we can

visit as many sites as possible between us, our

Non-Executive Directors will coordinate their

visits in small groups, with the intention of a

group of us visiting each division this year.

We recognise the importance of D&I to our

business, culture and people, and last year,

we made its oversight a Matter Reserved

to the Board. We believe that our collective

oversight will allow us to benefit from the

diverse perspectives and experiences

around our boardroom table to achieve

the appropriate outcomes in this key area.

Although we have not met the Listing Rules

requirement that at least 40% of the Board

is comprised of women and that at least one

of the four senior positions on the Board is

held by a woman, we are very conscious of,

and agree with, the drivers behind it, whilst

also seeing it as critical for us to have the

right talent in roles and to continue to recruit

on merit. You can find more details in Our

Approach to Diversity on page 19, which

relates to our people. This report also includes

our statement on Listing Rule Compliance,

relating to Board diversity, on page 20.

The Board Performance Review was

conducted internally this year following an

extensive externally-facilitated review last

year. The results of the review were positive

and demonstrated a collective recognition of

the progress that had been made since last

year’s review and the desire to continue in

that vein. You can find a full report on the

process and outcome on page 66.

To ensure that we spend the Board’s

time as effectively as possible, we have

continued to evolve the Terms of Reference

for each Committee to make sure that we

delegate appropriately and sufficiently to

Non-Executive Directors who are able to

focus on these more specialised areas. We

have also maintained oversight of the IG

US Holdings Inc. by having two IGGH Non-

Executive Directors on the Board, which

was established to oversee the tastytrade

business and our US OTC FX business.

We remain committed to ensuring high

standards of governance throughout the

Group and to further strengthening our

governance arrangements. The Sustainability

Committee, in partnership with the Executive

Committee, has developed our Sustainability

Strategy to ensure we continue to be a

responsible and sustainable business. The

intention is for the Executive Committee

to continue to evolve the Sustainability

Strategy in FY25. We continue to be proud

of the impact that our 1% pledge and

community outreach programme is having

in our communities. Our Board members

have participated in various activities to

support our partners, including a visit to

a Teach First school in May 2024. You can

find further details of our stakeholder

engagement activity on page 61.

Mike McTighe

Chair

24 July 2024

Priorities for the year ahead

 We will continue to monitor and

respond to corporate governance

developments, including preparation

for the recent changes to the 2024 UK

Corporate Governance Code (the ‘2024

Code’) that will apply to us from FY26

 We will continue to enhance our

stakeholder engagement. We will take

advantage of opportunities to engage

with our clients, continue to support

Teach First initiatives to support the

community, continue to have our

designated Non-Executive Director

attending People Forum Meetings and

representing the views of our people

during Board discussions, and

continue to meet with and support

the employee networks

 We will continue to maintain regular

dialogue with shareholders. This will

involve a structured programme of

engagement spanning multiple

roadshows across key investment

centres and attendance at leading

industry conferences, alongside ad

hoc meetings resulting from outreach

and incoming demand

 We will gain a deeper understanding of

the opportunities and challenges facing

the four divisions by connecting with

each divisional head and by visiting a

site in each region in small groups of

Non-Executive Directors this year

 With our new CEO in position, we will

work closely with him on redefining

Board and Executive Management

relationships and will continue to

strengthen our relationship with him.

FY25 will be an important year for

further progressing the delivery of the

Company’s strategy. My colleagues

and I look forward to partnering with

Breon and his team on this

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

The Board

The Board is responsible for

determining the Group’s

strategy and for promoting

our success, through

creating and delivering long-

term value for shareholders

and other stakeholders.

The Board’s size, and the skills and experience

of its members, have a significant impact on

its effectiveness, and it is essential that an

appropriate balance of skills and experience is

maintained. The breadth of skills and

experience on the Board includes key areas

such as listed environments, international

financial services, finance and accountancy,

strategy, financial services regulation,

marketing, risk management, investor

relations and technology.

A Board Skills Matrix can be found

onpage 67

All data in The Board section as at 31 May

2024.

Marieke Flament was appointed to the Board

on 4 July 2024. Her biography is available on

the Group website and will be included in

AGM Notice of Meeting.

Mike McTighe

Chair

Nationality: British

Ethnicity: White

Date of appointment: 3 February 2020

Key strengths and contribution

Mike has a wealth of leadership, board, and

regulatory experience from both public and

private companies.

Current external appointments

Mike is the Chair of Openreach Limited and

Together Financial Services Limited. He also

chairs the boards of Press Acquisitions Limited

and May Corporation Limited, the respective

parent companies of the Telegraph Media

Group and The Spectator (1828) Limited.

He was appointed as Chair of the Telegraph

Media Group Limited in March 2024.

Previous experience

For over 20 years, Mike has held various

non-executive director roles in a range of

regulated and unregulated industries while also

spending eight years on the board of Ofcom and

one year on the board of Postcomm. He has also

held many Chair positions over the years,

including chairing several UK and US public

company boards.

Mike spent most of his executive career at Cable

& Wireless, Philips, Motorola and GE.

He holds a BSc (Eng) honours degree in Electrical

Engineering.

Charlie Rozes

Chief Financial Officer

Nationality: British/American

Ethnicity: White

Date of appointment: 1 June 2020

Key strengths and contribution

Charlie has a proven track record in financial

control and reporting, accounting, tax, M&A,

investor relations, risk and compliance, and audit.

He is a highly experienced finance leader having

held executive director roles in the financial

services sector and led substantial change

programmes in the UK and internationally.

Current external appointments

Charlie has no current external appointments.

Previous experience

Charlie began his professional career with

PricewaterhouseCoopers LLP, becoming a

Partner in 2001 in the US management

consulting practice, followed by senior executive

roles at IBM and Bank of America. In 2007, he was

appointed Chief Financial Officer of Barclays UK

Retail and Business Bank and was Global Head of

Investor Relations from 2011 to 2015, and Group

Finance Director at Jardine Lloyd Thompson plc

from 2015 to 2019.

Charlie has an undergraduate degree from Tufts

University and an MBA from the Southern

Methodist University.

Breon Corcoran

Chief Executive Officer

Nationality: Irish

Ethnicity: White

Date of appointment: 29 January 2024

Key strengths and contribution

Breon brings strong and impactful leadership

experience as a Chief Executive Offier (CEO) to

the Group. He has ledteams in businesses in

Europe, Australia, andthe US.

Current external appointments

Breon has been the Chair at Auction Technology

Group since 2020.

Previous experience

Breon held the position of CEO at Zepz from

2018 to 2022. Prior to Zepz, he was CEO at Paddy

Power Betfair, where he led the merger of Betfair

and Paddy Power in 2016. His career began as

Vice-President in Equity Derivative Trading at J.P

Morgan and he has also worked at Bankers Trust.

In 2016, Breon was awarded the UK Sunday

Times’ “Business Leader of the Year” award.

He holds a BA in Mathematics from Trinity

College, Dublin, and an MBA from INSEAD.

Committee membership

Audit

Board Risk

Disclosure

Sustainability

Nomination

Remuneration

C Chair

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

The Board continued

Rakesh Bhasin

Non-Executive Director

Nationality: American/British

Ethnicity: Indian

Date of appointment: 6 July 2020

Key strengths and contribution

Rakesh brings extensive technology and global

markets experience, specifically in the Asia-

Pacific region.

Current external appointments

Rakesh is a Non-Executive Director for a portfolio

of companies in multiple sectors and is Chair of

CMC Networks, a Carlyle Group investment

company based in Africa.*

Previous experience

Rakesh was previously the Chief Executive

Officer of Colt Technology Services, a

Fidelity-owned company providing network,

voice and data centre services globally. He

was the Non-Executive Chair of KVH, an

Asian-based technology company and Non-

Executive Chair of Market Prizm, a financial

services-focused technology company.

He has also previously held senior positions

within AT&T, including Head of AT&T Asia-Pacific’s

managed network services business, President of

AT&T Japan Limited and Senior Managing Director

of Japan Telecom Company Limited.

Rakesh has a BSc in Electrical Engineering from

George Washington University.

* Rakesh resigned as Chair of CMC Networks on

2 June 2024.

Jonathan Moulds

Senior Independent Director

Nationality: British

Ethnicity: White

Date of appointment: 20 September 2018

Key strengths and contribution

Jonathan has extensive experience in financial

services in the UK, US and Asia from his 25+ year

executive career.

Current external appointments

Jonathan currently Chairs Citi’s largest global

subsidiary CGML, Financial Markets Standard

Board Limited and Litigation Capital Management

Limited.

Previous experience

Jonathan spent the majority of his career at

Bank of America where he became Head of

Bank of America’s International businesses and

subsequently European President of Bank of

America Merrill Lynch and the CEO of Merrill

Lynch International following the merger of

the two companies. He was recently Group

Chief Operating Officer at Barclays Plc.

He has also served on key industry associations,

including the International Swaps and Derivatives

Association as Chair, Association for Financial

Markets in Europe as a Director, and Capital

Markets Senior Practitioners of the UK Financial

Services Authority and the Global Financial

Markets Association as a Member.

Jonathan has a first class honours degree in

Mathematics from the University of Cambridge

and was awarded a CBE in the 2014 Honours List

for services to philanthropy.

Board profiles

Tenure

0 – 3 years 18.2%

4 – 6 years 72.7%

7+ years 9.1%

Ethnicity

Chinese 9.1%

Indian 9.1%

White 81.8%

Gender

Female 27.27%

Male 72.73%

Nationality

America 9.1%

British 63.6%

British/

American 18.2%

Irish 9.1%

Andrew Didham

Non-Executive Director

Nationality: British

Ethnicity: White

Date of appointment: 19 September 2019

Key strengths and contribution

Andrew brings extensive skills and experience in

auditing, finance, international markets, risk

management and the listed company

environment.

Current external appointments

Andrew is currently Chair of GCP Infrastructure

Investments Limited, Chair of the N.M. Rothschild

Pension Trust, a Non-Executive Director and the

Audit Committee Chair of Shawbrook Group plc.

Previous experience

Andrew was previously a Senior Independent

Director of Charles Stanley Group plc, where

he also served as Non-Executive Chair of its

principal operating company, Charles Stanley &

Co. Limited. He was also a Non-Executive Director

and Chair of the Audit and Risk Committees

of Jardine Lloyd Thompson Group plc and a

Director of N.M. Rothchild & Sons Limited.

He was a Partner at KPMG from 1990 to 1997

and is a Fellow of the Institute of Chartered

Accountants in England and Wales. Upon leaving

KPMG in 1997, he served as Group Finance

Director of the worldwide Rothschild group

for 16 years. From 2012, he has served as an

Executive Vice Chair in the Rothschild group.

Andrew has a BA (Hons) in Business Studies

(Finance).

Committee membership

Audit

Board Risk

Disclosure

Sustainability

Nomination

Remuneration

C Chair

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Committee membership

Audit

Board Risk

Disclosure

Sustainability

Nomination

Remuneration

C Chair

Sally-Ann Hibberd

Non-Executive Director

Nationality: British

Ethnicity: White

Date of appointment: 20 September 2018

Key strengths and contribution

Sally-Ann has an extensive background in

financial services and technology.

Current external appointments*

Sally-Ann currently serves as the Chair of Clear

Group and as a Non-Executive Director of Lowell

Group, where she chairs the Risk and

Sustainability Committees.

Previous experience

Sally-Ann previously served as Chief Operating

Officer of the International Division, and latterly

as Group Operations and Technology Director of

Willis Group. She has also held several senior

executive roles at Lloyds TSB.

Sally-Ann has been a Non-Executive Director of

Shawbrook Group plc, Equiniti Group plc and The

Co-operative Bank plc, serving as Chair or a

member for several committees, including Risk,

Audit, Nomination and Remuneration.

Sally-Ann holds a BSc in Civil Engineering from

Loughborough University and an MBA from CASS

Business School.

* Sally-Ann was appointed as a Trustee of Beyond

Words on 8 July 2024.

Wu Gang

Non-Executive Director

Nationality: British

Ethnicity: Chinese

Date of appointment: 30 September 2020

Key strengths and contribution

Wu Gang has a strong strategic and financial

advisory background and a wealth of

international experience gained from a career

of over 25 years in investment banking in Asia

and Europe.

Current external appointments

Wu Gang is a Non-Executive Director of Tritax

Big Box REIT plc and Ashurst LLP, where he

also chairs the Risk Committee.

Previous experience

Wu Gang has held senior leadership positions

at a number of leading China-based and global

financial services firms, including establishing

and leading the London-based European

investment banking group at CITIC CLSA, the

international platform of CITIC Securities. Prior

to this, he led M&A and General Industrials’

client coverage groups at ICBC International.

He also held senior level positions at the Royal

Bank of Scotland, HSBC and Merrill Lynch in

Hong Kong and London. Wu Gang started his

investment banking career at Goldman Sachs.

He was previously a Non-Executive Director of

Laird plc.

Wu Gang has an MBA from INSEAD, an MA

from SOAS, and a BA from Fudan University.

Director Independence

Board Composition

Executive Directors 18.2%

Independent Non-Executive Directors 81.8%

The Company is compliant with the UK Corporate

Governance Code, which requires that at least

half of the Board, excluding the Chair, should be

made up of Non-Executive Directors who the

Board determine to be independent.

The Nomination Committee considers the

independence of the Non-Executive Directors

on behalf of the Board, and this is reviewed

annually. Factors such as length of tenure

and relationships or circumstances that

are likely to affect, or may appear to affect,

the Directors’ judgement are considered in

determining whether they remain independent.

Following this year’s review, the Board,

supported by the Nomination Committee,

concluded that all the Non-Executive Directors

continued to be independent in character and

judgement and are free from any business

or other relationships that could materially

affect the exercise of their judgement.

The Board continued

Malcolm Le May

Non-Executive Director

Nationality: British

Ethnicity: White

Date of appointment: 10 September 2015

Key strengths and contribution

Malcolm has broad experience and knowledge

of the financial services and investment

sectors, along with extensive experience on the

boards of publicly listed companies. He chairs

the Board of IG US Holdings Inc., which has

responsibility for our North America business.

Malcolm was Remuneration Committee Chair

and the Senior Independent Director of IG

Group Holdings plc from 2015 to 2020.

Current external appointments

Malcolm has no significant external appointments.

Previous experience

Malcolm announced his retirement as CEO of

Vanquis Banking Group plc in January 2023,

having previously been its Senior Independent

Director and the Interim Executive Chair.

He has previously served as a Non-Executive

Director and the Remuneration Committee

Chair of Hastings Group Holdings plc, Senior

Independent Director of Pendragon plc, and

a Non-Executive Director and the Investment

Committee Chair at RSA Insurance Group

plc. Prior to this, Malcolm held various

executive roles at Morgan Grenfell plc, Drexel

Burnham Lambert, Barclays de Zoete Wedd

Holdings, UBS AG, ING Barings Limited,

Morley Fund Managers (now Aviva Investors),

Matrix Securities Limited, and JER Partners

Limited, where he was European President.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Committee membership

Audit

Board Risk

Disclosure

Sustainability

Nomination

Remuneration

C Chair

Helen Stevenson

Non-Executive Director

Nationality: British

Ethnicity: White

Date of appointment: 18 March 2020

Key strengths and contribution

Helen brings extensive marketing and digital

experience from a range of industries,

together with strong customer focus. She

is an experienced Non-Executive Director

with experience in remuneration matters.

Current external appointments

Helen currently chairs RM plc. She is also a

Governor of Wellington College.

Previous experience

Helen was previously the Senior Independent

Director of Reach plc, a Non-Executive Director

of Skipton Building Society and she served on

the board of Kin and Carta as Remuneration

Committee Chair and Senior Independent

Director. She was a member the Henley Business

School Strategy Board until March 2024.

She was also the Chief Marketing Officer UK

at Yell Group plc from 2006 to 2012 and, prior

to this, Lloyds TSB’s Group Marketing Director.

She started her career with Mars Inc., where

she spent 19 years, culminating in her role as

European Marketing Director leading category

strategy development across Europe.

Helen has a BA (Hons) degree in Chemical

Engineering from Cambridge University.

Susan Skerritt

Non-Executive Director

Nationality: American

Ethnicity: White

Date of appointment: 9 July 2021

Key strengths and contribution

Susan is a commercial banker, industry

consultant and corporate treasury professional

with expertise in global financial markets,

regulatory matters and strategic project

management. Susan is an Independent Non-

Executive Director of IG US Holdings Inc. which

has responsibility for our North America business.

Current external appointments

Susan is a Lead Director of Community Financial

Systems Inc. and an Independent Director of

Tanger Inc. in the US as well as a Non-Executive

Director of Falcon Group. She is Audit and Risk

Committee Chair at Falcon Group and Audit

Committee Chair at Tanger.

Previous experience

Susan previously served as Chair, CEO and

President at Deutsche Bank Trust Company

Americas, a Non-Executive Director and the

Human Resources and Corporate Governance

Chair at Royal Bank of Canada US Group, and an

Executive Board Member at Deutsche Bank USA

and Bank of New York Mellon Trust Company.

She is also a Trustee of the Village of Saltaire.

Susan has an MBA in Finance and

International Business from New York

University Stern School of Business and a

BA in Economics from Hamilton College.

The Board continued

Conflicts of interest

Directors have a statutory duty to avoid situations

in which they may have interests that conflict

with those of the Group. Directors are required

to disclose both the nature and extent of any

potential or actual conflicts at the beginning

of every Board and Committee meeting.

In accordance with the CA2006, the Company’s

Articles of Association allow the Board to

authorise potential conflicts that may arise,

and to impose such conditions or limitations

as it sees fit. During the year, potential

conflicts were considered and assessed by

the Board and approved, where appropriate.

The Board has access to independent

professional advice, at the Company’s

expense, as required.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Governance Framework

Board oversight

Management accountability

The Board

The Board provides leadership by setting our strategic direction and overseeing management’s execution of our strategy. It is responsible

for establishing our purpose and values, and for ensuring that our culture and behaviours are both appropriate and consistent. It provides

robust challenge, within a framework of prudent and effective risk management and internal controls.

The Board delegates certain matters to its five principal Board Committees:

Corporate Development Committee

IG People Forum

Executive Risk Committee

Executive Committee

Pricing Committee

Client Money & Assets Committee

Risk Committee Technology Risk Committee

Best Execution Committee

Information Security

Committee

Technology Committee

Transaction Reporting

Committee

Vendor Risk Management

Committee

Remuneration Risk Committee

The Board delegates the execution of our strategy and day-to-day management of the business to the CEO and the

Executive team. Several management committees support the Executive team, which, in turn, are supported by

sub-committees.

Sustainability

Committee

Provides oversight and advice to the

Board in relation to our ESG strategy.

Audit

Committee

Oversees our corporate reporting,

maintains an appropriate relationship

with the Internal and External Auditors,

and monitors our internal controls.

Nomination

Committee

Ensures the Board and Board

Committees have the appropriate

balance of skills, knowledge, diversity,

experience, and independence.

Board Risk

Committee

Reviews and monitors our principal and

emerging risks and the effectiveness of

our risk management systems.

Remuneration

Committee

Establishes our Remuneration Policy and

ensures there is a clear link between

performance and remuneration.

See the full report

on page 68

See the full report

on page 73

See the full report

on page 71

See the full report

on page 80

See the full report

on page 84

There is a comprehensive schedule of Matters

Reserved to the Board. These include

agreeing the strategy, approving major

transactions, annual budgets, and changes to

our capital and governance structure. In

addition, our annual Board calendar provides

for regular reviews of operational and

financial performance, succession planning

for the Board and senior management,

setting our risk appetite, and approving any

changes to our Risk Management and Internal

Control Framework. We also have a Board

Standing Committee to consider Board-

reserved matters at short notice or for

administrative matters that do not warrant

a full Board meeting.

In addition to the five principal Board

Committees, our Board has established a

Disclosure Committee to make decisions on

its behalf concerning the identification of

Inside Information, and to decide how and

when the Company should disclose that

information in accordance with our

Disclosure Policy.

The Matters Reserved to the Board and all

Board Committee Terms of Reference are

available on the Group website.

Our shareholders and other key stakeholders

play an important role in monitoring and

safeguarding our governance. You can find

further information on how we engage with

them on pages 57-64.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Governance Framework continued

Division of responsibilities

We have an appropriate combination of

Executive Directors and Non-Executive

Directors, such that no individual or small

group of individuals can dominate the Board’s

decision-making.

The division of responsibilities between the

Chair and the CEO, and the role descriptions

for the Chair, CEO and the SID are available

on our Group website.

See our website for more

 Leadership of the Board and promoting

the highest standards of corporate

governance

 Setting the tone and culture for an

effective Board, facilitating productive

meetings

 Supporting and challenging

management in the development of our

strategy and commercial objectives

 Setting the Board agenda, allowing

appropriate time for open and

constructive discussion and challenge

 Engaging with major shareholders to

understand their views on governance

and strategy

Chair

 Developing and executing the strategy

 Specific authority for day-to-day

decision-making relating to the

management of our business,

including:

– Delivering financial performance in

line with the agreed budget

– Organisational design of our

operations

– Recruitment, leadership and

development of our Executive

Committee

– Proposing our approach to vision,

values, culture, diversity and

inclusion to the Board

– Maintaining relationships with key

internal and external stakeholders

Chief Executive Officer (CEO)

 Acting as a sounding board for the

Chair

 Serving as an intermediary for the

other Directors when necessary

 Being available to shareholders and

other stakeholders as an alternative

communication channel if required

 Evaluating the performance of the

Chair with the other Directors

Senior Independent Director (SID)

 Supporting the CEO in implementing

the strategy and financial management

 Recommending the annual budget and

three-year financial plan to the Board

 Managing our internal financial control

systems, including those relating to

safeguarding of client money and

assets

 Providing oversight of liquidity

 Maintaining relationships with key

stakeholders

Chief Financial Officer (CFO)

 Constructively challenging and

assisting in the development of

strategy

 Scrutinising, measuring and reviewing

the performance of Executive Directors

and senior management against

agreed performance objectives

 Reviewing the succession plans for the

Board and key members of senior

management

 Determining appropriate levels of

remuneration for senior executives

 Reviewing the integrity of financial

reporting and the systems of risk

management and internal controls

 The Chair of the Audit Committee has

responsibility for Internal Audit,

including ensuring the independence

of the function

 The Chair of the Board Risk Committee

has responsibility to safeguard and

oversee the independence and the

performance of the Risk and

Compliance functions

Non-Executive Directors (NEDs)

 Responsible for supporting the Chair

and ensuring appropriate Board

procedures are in place

 Facilitating the accurate, timely and

clear information flow to and from the

Board, its Committees, and between

Directors and senior management

 Facilitating Directors’ induction and

training programmes

 Considering the Board’s effectiveness

in conjunction with the Chair

 Advising and keeping the Board

updated on corporate governance

matters and developments

 Providing advice and support to all

Directors

 Responsible for organising the

Company’s AGM

Group Company Secretary

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Board Governance

Leadership and responsibilities

The role of the Board

The Board provides leadership by setting

our strategic direction and overseeing

management’s execution of our strategy. It

is responsible for establishing our purpose

and values, and for ensuring that our culture

and behaviours are both appropriate and

consistent. It provides robust challenge within

a framework of effective risk management

and internal control. The Board receives

timely and comprehensive information so

that it can discharge its responsibilities, to

encourage strategic debate, and to facilitate

robust, informed and timely decision-making.

In addition, Directors receive briefings from

the CEO, CFO and other members of the

Executive Committee in between meetings.

The Board is also collectively responsible

for promoting our long-term sustainable

success for the benefit of our shareholders,

through the creation of long-term value and

contribution to wider society. The Board

understands the importance of stakeholder

engagement and works hard to ensure as

much effective engagement as possible

with our clients, shareholders, people,

suppliers, regulators and communities,

as well as considering the impact of our

activities on the environment. You can read

more in the Stakeholder Engagement and

Section 172 (1) sections on pages 57-65.

As a collective body and as individual

Directors, the Board is responsible for

ensuring that it has the appropriate skills,

knowledge, diversity and experience to

perform its role effectively and independently.

How the Board operates

The Board meets regularly, at least six times a

year. It also meets when necessary to discuss

important ad hoc emerging issues that

require consideration between scheduled

Board meetings. During FY24, the Board held

six scheduled and six ad hoc meetings. The ad

hoc meetings included those to consider the

Board changes that were necessary during

the year. Senior Executives are invited to

attend meetings to present and discuss

matters relating to their business areas and

functions, allowing the Board the opportunity

to debate and challenge initiatives directly

with the senior management team.

Each Director commits the appropriate

amount of time to their duties during the

financial year. The Directors met the time

commitments that are expected of them, as

overseen by the Nomination Committee.

Currently, none of our Non-Executive

Directors undertake external executive roles.

The CEO holds an external Non-Executive

Chair position at a FTSE 250 company. More

information is available about our Directors’

external positions on pages 47-50.

The Chair and Non-Executive Directors

regularly meet in the absence of the Executive

Directors, and separately with the CEO.

During the year, the Board, led by the SID,

met without the Chair present, to evaluate

his performance.

You can find a summary of the Board

Activities on page 55

Attendance at Board and Committee meetings

The number of Board and Committee meetings attended by each Director during the year

is set out below. Where Directors are unable to attend meetings, they give the Chairs their

views on the matters to be discussed in advance of the meeting. The majority of apologies

were received for ad hoc meetings, as set out in the notes below.

Board

Nomination

Committee

Sustainability

Committee

Audit

Committee

Board Risk

Committee

Remuneration

Committee

Chair

Mike McTighe 12 of 12 18 of 18 – – – 7 of 7

Independent Non-Executive Directors

Jonathan Moulds

10 of 12 17 of 18 – – 6 of 6 7 of 7

Rakesh Bhasin 12 of 12 – 4 of 4 5 of 5 – –

Andrew Didham

11 of 12 – – 5 of 5 6 of 6 7 of 7

Wu Gang

12 of 12 17 of 18 – – 6 of 6 –

Sally-Ann Hibberd 12 of 12 – 4 of 4 – 6 of 6 7 of 7

Malcolm Le May

11 of 12 – 3 of 4 5 of 5 – –

Susan Skerritt

12 of 12 – – 4 of 5 6 of 6 –

Helen Stevenson

12 of 12 17 of 18 4 of 4 – – 7 of 7

Executive Directors

Breon Corcoran

2 of 2 – – – – –

June Felix

1 of 3 – – – – –

Charlie Rozes 12 of 12 – – – – –

Jon Noble

9 of 11 – – – – –

1 Jonathan Moulds sent apologies for ad hoc Nomination Committee meetings on 23 August 2023 and 29 February 2024

due to prior commitments. He also sent his apologies for ad hoc Board meetings on 31 August 2023 and 7 December

2023 due to prior commitments.

2 Andrew Didham sent his apologies for an ad hoc Board Meeting on 11 August 2023 due to a prior commitment.

3 Wu Gang sent his apologies for an ad hoc Nomination Committee meeting on 4 December 2023 due to a prior commitment.

4 Malcolm Le May sent apologies for a Sustainability Committee meeting on 10 July 2023 and an ad-hoc Board meeting on

25 August 2023 due to prior commitments.

5 Susan Skerritt sent apologies for an Audit Committee meeting on 17 January 2024 due to a prior commitment.

6 Helen Stevenson sent apologies for an ad hoc Nomination Committee Meeting on 15 September 2023 due to a prior

commitment.

7 Breon Corcoran was appointed to the Board on 29 January 2024.

8 June Felix resigned from the Board on 29 August 2023. June did not attend one scheduled and two ad hoc Board

meetings as she was on medical leave.

9 Jon Noble resigned from the Board on 13 March 2024. He sent apologies for ad hoc Board meetings on 11 August 2023

and 7 December 2023 due to prior commitments.

10 The Board held six scheduled and six ad hoc meetings during the year.

11 The Nomination Committee held four scheduled and 14 ad hoc meetings.

12 The Audit Committee held four scheduled meetings and one joint meeting with the Board Risk Committee.

13 The Board Risk Committee held five scheduled meetings and one joint meeting with the Audit Committee.

14 The Remuneration Committee held six scheduled and one ad hoc meeting.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Board Governance continued

Succession planning and appointments

to the Board

The Nomination Committee has specific

responsibility for considering the

appointment of Executive and Non-

Executive Directors and recommending

new appointments to the Board. It takes

a proactive approach to succession

planning. You can find more information

on the work of the Nomination Committee

in the Nomination Committee Report

on page 68. The whole Board is also

involved in overseeing the development of

management resources across the Group.

Ongoing professional development

To facilitate greater awareness and

understanding of our business and

operating environment, all Directors

are given regular updates on relevant

changes and developments.

Training opportunities are provided through

internal meetings, workshops, presentations

and briefings by internal advisers and

management, as well as by external advisers.

The Group Company Secretary regularly

updates the Board on any relevant legislative

and regulatory corporate governance-related

changes. There is more information on Board

activities during the period on page 55.

The Directors meet with Executives to

receive further insights into the operations

of the business in the jurisdictions where

we operate. The Chair ensures that

the Directors continually update and

refresh their skills and knowledge.

Subsidiary Boards

Our IG Group Holdings plc Directors also

serve on the Boards of our three UK regulated

subsidiaries: IG Index Limited, IG Markets

Limited and IG Trading and Investments

Limited. Malcolm Le May and Susan Skerritt

continue in their roles on the Board of our US

entity, IG US Holdings Inc. Jonathan Moulds

joined the US Board in July 2024 in readiness

for when Malcolm retires in September 2024.

At that time, Susan will assume the role of

Chair. This crossover of Directors on our

Group Board and other key subsidiary Boards

is designed to ensure effective information

flows and escalation of any issues.

Board accountability

Financial and business reporting

The Strategic Report on pages 2–43

describes our purpose, strategy and business

model, which guide how we generate and

preserve value over the long term and deliver

our objectives.

A Statement of the Directors’ Responsibilities

in respect of the Financial Statements is set

out on page 109. The Going Concern and

Viability Statement is set out on pages 42–43.

Risk management and internal control

framework

We are exposed to a number of business

risks in providing products and services

to our clients. The Board is responsible

for establishing and approving the overall

appetite for these risks, which is detailed in

the Principal Risks and Risk Appetite section

set out on pages 36-41, and for ensuring

the maintenance of, and annually reviewing,

our risk management and internal control.

Our Risk Management Framework is

supported by a system of internal controls,

designed to embed the effective management

of our key business risks. The risk management

and internal control framework is designed to

manage, rather than eliminate, the risk of

failure to achieve business objectives, and

provides reasonable assurance against

material misstatement or loss.

Through reports from the Board Risk

Committee and the Audit Committee, and

consideration of the ICARA and Wind-Down

Plans, the Board regularly reviews and

monitors our risk management and internal

control framework and systems, and the

effectiveness with which we manage the

emerging and principal risks that we face.

The Directors confirm that the Board,

supported by the Board Risk Committee, has

carried out a robust assessment of the

principal and emerging risks that we face,

including those that would threaten our

business model, future performance,

solvency or liquidity.

There is an ongoing process for identifying,

evaluating and managing the principal

risks faced by the Company . The systems

have been in place for the year under

review and up to the date of approval

of this report and they are regularly

reviewed by the Board Risk Committee.

We outline the risks to which we are exposed

and the framework under which these risks

are managed, including a description of

the risk management and internal control

framework, in the Risk Management section

on page 36, and in the Going Concern and

Viability Statement on pages 42-43.

An annual formal review of the effectiveness

of our risk management and internal

control framework has been carried out

which supports the statements included

in this Annual Report and Financial

Statements, in accordance with the Code

and FRC guidance. It considered the key risk

assessment and monitoring activities, as

well as the processes and controls in place

to manage our principal and emerging risks,

and for escalating exceptions highlighted

by the risk management processes.

No significant failings or weaknesses

were identified during the year.

Based on recommendations from the Board

Risk Committee and the Audit Committee,

the Board can report that, throughout

the year and up to the date of this report,

the Company operated an effective risk

management and internal control framework

that provides reasonable assurance of

effective operations covering all controls,

including financial and operational controls,

and compliance with laws and regulations.

The Board received a presentation from

external legal counsel on Corporate

Governance Reforms during the year, with key

internal executive stakeholders in attendance.

This included the changes and the additional

requirements of the 2024 UK Corporate

Governance Code.

Internal controls over financial reporting

Our financial reporting process has been

designed to provide reasonable assurance

regarding the reliability of the financial

reporting and preparation of Financial

Statements, including consolidated Financial

Statements, for external purposes in

accordance with UK-adopted International

Accounting Standards. The assessment of the

overall effectiveness of the governance and

risk and control framework included reviews

of systems and controls relating to the

financial reporting process.

Internal controls over financial reporting

include procedures and policies that:

 Relate to the maintenance of records that,

in reasonable detail, accurately and fairly

reflect the transactions and disposals of our

assets and liabilities

 Provide reasonable assurance that

transactions are recorded as necessary to

permit the preparation of Financial

Statements, and that receipts and

expenditures are being made only in

accordance with authorisations of

management and respective Directors

 Provide reasonable assurance regarding

prevention or timely detection of

unauthorised acquisition, use or disposal of

assets that could have a material effect on

our Financial Statements

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Board Activities During the Year

Board meeting agendas

addressed key areas of

strategy, governance, risk

and financial performance

inline with the schedule

ofMatters Reserved to

theBoard and the

forwardplanner.

Our governance processes are designed to

ensure that Directors receive accurate, timely

and clear information throughout the year

from a range of sources. This allows our Board

and Committees to monitor and provide

feedback on key matters and to make

informed decisions in the best interests of the

Company and our stakeholders.

The Board actively engages to ensure we

consider outcomes for our stakeholders, and

its decision-making reflects the importance

of maintaining high standards of business

conduct and acting fairly between our

shareholder groups.

Board meeting focus during FY24

 While we welcomed our new CEO

during the year, our existing strategy

remained in place. The Board held

discussions on strategic initiatives and

the strategic development of the

business throughout the year,

including via a dedicated session

Strategy

 Appointed Breon Corcoran as CEO to

lead our business, following an

extensive search. Find out more on

pages 68-69

 Oversaw changes in Executive

management

 Appointed Marieke Flament as a

Non-Executive Director to replace

Malcolm Le May who will step down at

our AGM in September 2024 after

nine years of service

 Considered the employee engagement

survey results

 Received an update on the Diversity

and Inclusion strategy. Find out more

on pages 19-20

People and leadership

 Reviewed our investor relations

strategy and monitored our share

price performance

 Hosted our 2023 AGM and

participated in shareholder

interactions

Investor relations

 Conducted the Board and Committee

performance review. Find out more

on page 66

 Received reports from Board

Committee Chairs and the Chair of

the Board of IG US Holdings Inc. at

each Board meeting

 Approved the Group Whistleblowing

Policy

Governance

 Monitored financial performance

against the budget, prior year, and

analyst consensus

 Approved all financial results

announcements and the FY23 Annual

Report

 Reviewed the risks and opportunities

for the FY24 budget, and agreed the

direction of travel for the FY25 budget

and the three-year plan

 Recommended the FY23 final

dividend for shareholder approval and

approved the FY24 interim dividend

Performance

 Oversaw an extensive operational

efficiency programme to simplify and

streamline the business. Find out

Company Information

IG Group Holdings plc

Annual Report 2024

Director Induction

An effective induction

programme is integral to a

Director’s ability to quickly

thrive in their role.

Each Director receives a comprehensive,

formal induction upon appointment, which

is tailored to their individual experience.

The induction is designed to enable new

Directors to familiarise themselves with our

business operations, risk and governance

arrangements. It includes briefings on

industry and regulatory matters, our strategy

and business model, risk management and

risk appetite, and meetings with senior

management in key areas of the business.

These are supplemented by induction

materials such as recent Board papers and

minutes, organisational structure charts,

governance matters, and relevant policies.

New Directors also meet our External

Auditor, brokers and advisers, and

attend a presentation from the Group

Company Secretary and the external legal

counsel on the roles and responsibilities

of a UK-listed company director.

During FY24, we welcomed Breon Corcoran

to the Board as CEO. His induction was based

on IG’s Induction Programme and tailored as

appropriate to his experience and role.

Internal meetings

 Board Chair

 Senior Independent Director

 Non-Executive Directors, including Board Committee Chairs

 Executive Committee members, including the CEO, CFO, Regional CEOs, Chief Operating

Officer, Chief People Officer, Chief Technology Officer and the Chief Risk Officer

 Others, including Group General Counsel, Chief Compliance Officer, Head of Investor

Relations, Head of Communications, Chief of Staff, Head of Internal Audit, Head of

Reward and Group Company Secretary

Induction topics

 Financials

 Tax

 Dealing

 Strategy

 Operations

 Liquidity

 Risk Management

 Regulatory Risk and Customer Outcomes

External meetings

 External Advisers, including legal counsel and corporate brokers

 External Auditor

 Investors

Site visits

 Offices outside the UK Head Offices

IG Induction Programme

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Stakeholder Engagement

We work closely and

proactively with our

stakeholders to make sure

we meet their needs, today

and in the long term. We

value trust, transparency

and collaboration, just like

they do. Discover our key

stakeholders and how and

why we engage with them.

Why we engage

Our clients want a seamless experience

across our products, service and content, and

we put them at the heart of everything we do.

We’re proud of our customer loyalty and want

them to be completely satisfied.

How we engage

Our customer experts are based all around the

world, so we can speak to customers round

the clock, in their language where possible.

We invest in high-quality communication

technology because we know how important

it is for our clients to connect to us.

Our platforms offer many tools and features

for clients to interact with a wide range of

content and education for all experience levels.

What’s more, we value client feedback and

take any opportunity to hear it so we can

continually improve our service.

What matters most

Products: We diversify and evolve our

award-winning products in response to

clients’ needs.

Knowledge: We understand how important

high-quality, relevant content is, and ours cuts

through the noise to guide and support our

clients. Our demo accounts bring our

products to life in a low-risk environment.

Technology reliability: A stable, secure,

reliable platform is non-negotiable. Our teams

work hard to deliver flawless trade execution

every time.

Support: Round-the-clock trading coverage

means our clients can rely on us whenever

they need assistance.

Why we engage

Our people are the foundations of everything

we do. An engaged, motivated, talented team

means we can stand out and deliver

excellence for our clients.

How we engage

We recognise that our people are all

individuals, and we engage with them in as

many different ways as possible, from social

channels to surveys, town halls to smaller

workshops, and everything in between. Our

home-grown employee networks promote

inclusion and help us better understand all

employee experiences.

Our more formal People Forum encourages

feedback and connects employee voices

with Board decision-making. Chaired

by our Chief People Officer (CPO) and

attended by Non-Executive Director Sally-

Ann Hibberd, employee representatives

are democratically elected by our people

and participate for two-year terms.

What matters most

A continuous two-way dialogue means we get

the best from our people, which in turn means

the best for our clients.

We’re also passionate about being recognised

as a top workplace and employer.

Why we engage

Creating value and delivering for our

investors is critical. We aim to develop

long-term relationships with our investors,

so it is important that investors understand

our business, and that their expectations

for the future are in line with ours. Staying

informed of investor views helps us to

tailor our messaging to the market.

How we engage

In a post-pandemic world, a hybrid model of

both in-person and virtual meetings is the

norm. This offers the best of both worlds

between relationship-building and flexibility.

Our open dialogue with investors can

range from one-to-one or group meetings,

webcasts and roadshows, conferences, and

questions submitted on an ad hoc basis. Our

Board stays on top of investor feedback,

and any investor changes, and incorporates

these into their decision-making.

What matters most

Our experienced and well-informed Investor

Relations team are always available, and

any topic can be on the table: financial

performance, strategy, capital allocation,

client characteristics, cost control,

regulation, and competitive position. We

know that investor trust is key, and we

are always receptive to both existing and

prospective shareholders and bondholders.

Our clients Our people Our investors

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Stakeholder Engagement continued

Why we engage

Our unwavering commitment to being a

responsible member of the communities

in which we operate is a driving force

for our business, purpose and culture.

It informs our approach to issues of

sustainability and social responsibility.

How we engage

Every one of our people is entitled to

two days’ paid volunteering leave per

year, and up to £1,000 of matched

funding for any charitable fundraising

activities they participate in. We also

encourage attendance at talks and events

delivered by our charitable partners.

We are very proud of our Brighter Future

Fund. We continue to pledge 1% of annual

post-tax profits to charitable initiatives, and

are building partnerships with regional and

global charities focused on the theme of

empowerment through education.

Our dedicated ESG and Community teams,

overseen by our ESG Board Committee, drive

us forward every step of the way.

What matters most

We’re in this for the long run. Our aim is to have

the biggest impact and sustain the biggest

benefits for our communities as possible.

Why we engage

Regulations influence how we can operate in

the marketplace. We work proactively with

our regulators to help them understand our

products and our business model, so we can

continue our existing activity and grow into

new markets. We value our relationships with

them and the insight they bring into upcoming

changes and how we can best respond.

How we engage

We understand the importance of

transparency and know our regulators value

this. Our regular two-way dialogue ensures

that our actions and business model are

consistent with regulatory expectations. From

new business proposals to assisting with

regulatory requests and investigations, we

engage proactively and openly every time.

What matters most

Regulators aim to safeguard individuals’ best

interests and ensure that all clients are

treated fairly. They also focus on protecting

the integrity of financial markets and capital

and liquidity issues. We work to respect and

follow both the letter and spirit of the

regulations set out by local regulators to

demonstrate that we share their vision.

Why we engage

We recognise that suppliers are crucial to

the quality of our service and products,

and we enjoy mutually beneficial and

lasting relationships with our vendors.

Our supply chain is key in delivering

our ESG strategy, and we expect our

suppliers to embody our commitments

to responsible business, education and

the communities in which we operate.

How we engage

We prioritise selecting partners that

have effective controls and high-quality

standards. Our robust screening process

ensures we meet the high standards our

clients expect. Frequent dialogue with our

suppliers, whether informal discussions

or more official exchanges, means both

sides get value from the relationship.

What matters most

Like them, we want long-term partnerships.

This means providing clarity on our

expectations of the relationship and the

services they provide, along with timely

and reliable payment. Our suppliers

also appreciate fair, open and honest

two-way communication and value

the feedback we can give them.

Our communities Our regulators Our suppliers

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Understanding our Stakeholders

The Board recognises the

importance of maintaining

good and constructive

communication with our

stakeholders and has a

comprehensive programme

of engagement throughout

the year.

Our Directors engage directly and indirectly

with our stakeholders. This enables them to

be kept informed of material issues and to

take stakeholder interests into account

when setting our purpose, values and

strategy. Consideration of our stakeholders

is an integral part of the Board’s decision-

making process.

You can find out more on our key

stakeholder groups and how we

engage with them on page 57

Our Section 172(1) Statement

is on page 65

Engagement with our investors

As part of our ongoing investor relations

programme, the CEO and CFO regularly

meet with investors and analysts to discuss

market developments, business strategy

and financial performance. This programme

includes presentations by management,

investor roadshows, attendance at investor

conferences and other events. Following

the debt issuance, the programme also

includes debt investors and rating agencies,

as appropriate. Materials and presentations

used during these events are available

on the Group website. Our website also

provides a range of other useful information

for existing and prospective investors.

To ensure that Board members understand

the views of major shareholders, feedback

is provided to the Board through regular

reporting detailing the opinions or

concerns expressed by shareholders. The

Directors also receive regular updates

on the market, share price performance,

shareholder activity, significant equity

analyst research and analyst consensus.

During the year, the Board Chair met with

a number of existing and prospective

investors to answer questions on the

Directorate changes which took place

during the year, and what this means for the

future direction of the business. For further

information on how Directorate changes

have been managed, please see page 45.

The Board Chair, the Senior Independent

Director and Board Committee Chairs

are available to shareholders on request

and also during the AGM, to discuss

specific governance matters.

Investor engagement cycle FY24

 IR Roadshow in US and Canada

 FY23 Results announcement

 FY23 Annual Report and Accounts

 Investor Roadshow with acting CEO/CFO following FY23 Results

 Debt investor roadshow with CFO, IR and Treasury in attendance

 Q1 Trading Update

 2023 AGM

 IR Roadshow in US and Canada

 Investec Conference – acting CEO/CFO and IR investor meetings

 HY 24 Results announcement

 Half year investor roadshow with CFO following HY24 Results

 Debt investor roadshow with CFO, IR and Treasury in attendance

 In-person Frankfurt roadshow with IR Management

 In-person Jersey roadshow with IR Management

 In-person US and Canada roadshow with CFO and IR Management

 Citi FinTech Conference – New York – IR Management

 KBW FinTech Conference – New York – IR Management

 Q3 Trading Update

 JP Morgan Pan-European SMID cap conference – London – IR Management

 Berenberg UK corporate conference – London – IR Management

 UBS Pan European Small and Mid-Cap Conference

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Understanding our Stakeholders continued

Engagement

with employees

The Board recognises that our

people are integral to the

success of our business.

Here are some of the ways in which we

engage with our people.

The People Forum

The People Forum is a direct link between

the Board and our people globally, and we

recognise how valuable this feedback loop

is. Sally-Ann Hibberd, Non-Executive Director

and Chair of the Board’s Sustainability

Committee, joins each meeting and provides

updates at Board meetings, so that employee

views and voices from various locations

are appropriately reflected in the Board’s

discussions and decision-making. People

Forum members are nominated for a two-

year term, and gender, ethnicity, geography,

age and length of service are carefully

considered to ensure that we have a diverse

and wide-ranging group of individuals to

represent our people. The People Forum

meets regularly to discuss key matters and

provides an opportunity for members to

raise any issues. This year, these included

the office lease renewal in London, transport

provisions in Bengaluru, reviews of the new

Global Share Purchase Plan, IG Employee

Networks, Global Employee Loyalty Scheme

proposal, results of the Pulse Survey and

the Employee Engagement Survey results.

Diversity and Inclusion (D&I)

The Board is focussed on offering a safe,

welcoming environment where everyone can

be themselves and achieve their full potential.

As such, it has taken the view that D&I should

be a matter for the whole Board to discuss

and provide input on. Due to its importance,

and the Board’s commitment to it, oversight

of D&I is a matter formally reserved to the

Board. For more information, please see Our

Approach to Diversity on pages 19–20. During

the half-day Powering Inclusion Programme,

Board members also received valuable insight

on how diversity and inclusion play a pivotal

role in effective decision-making.

Town halls

Throughout the year, the Executive Directors

ran town halls for all of our employees to

discuss our financial performance following

the release of our results and to explain the

operational efficiency measures announced

at the end of October 2023 in order to ensure

that our people were as well informed as

possible during what was a very challenging

time for many, and to address CEO succession

which became a necessity this year.

Employee Engagement Survey

Every year, the Board reviews the results of an

externally-facilitated employee engagement

survey to gain valuable insight into how

our people are feeling globally. In FY24, we

received an employee engagement score

of 82%, which was three percentage points

above the Financial Services benchmark

and three points below the upper quartile.

The FY24 score was five percentage points

lower than FY23, but the score was positive

overall, given the significant amount of

organisational change. Our managers

received particularly positive feedback

and are perceived to be highly supportive

and to take a genuine interest in colleague

wellbeing. This year we will focus on

managing complexity and re-engaging our

people around our organisational priorities.

By attending the People Forum and

reporting back after each session, I can

keep the Board informed on what matters

to our people and help ensure our decision-

making takes them into account.”

Sally-Ann Hibberd

Non-Executive Director and Chair of theBoard’s SustainabilityCommittee

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Understanding our Stakeholders continued

Non-Executive

Director

stakeholder

engagement

casestudies

Like our Executives, our Non-Executive

Directors are also committed to engaging

with our stakeholders. Here are some

examples of how they engaged this year.

Case study 1:

Site visit to the Japan office

Mike McTighe, Rakesh Bhasin

and Sally-Ann Hibberd visited

our Japan office in October

2023, which was the first visit

to the office from our Non-

Executive Directors.

The itinerary included meetings with local

management, a town hall, discussions on

local growth strategy, local clients and their

needs, and the regulatory environment, an

IG INSPIRE women’s network session, a

meeting with local sustainability champions,

and a meeting with the Counsellor for

Economics and Finance at the British

Embassy in Tokyo. Mike, as Board Chair, also

had an introductory meeting with the

Japanese regulator, JFSA.

“The visit was a great success and gave

us an excellent opportunity to engage

in person with our people and other

stakeholders in what we, as the Board,

consider to be a key market for us.”

Mike McTighe

Board Chair

“It was a great, long-awaited

opportunity for the whole of the

Japan office to discuss with, and to learn

from, Board members in person. We

discussed key issues and opportunities

in this large, unique market, in a way

that was fully reflective of the IG culture

– without any reservation. It is critical for

the local business to be aligned with the

senior management of the Group, and

this trip certainly helped.”

Tomoharu Furuichi

Head of Japan

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Shareholder and

Company Information

Stakeholders key

Investors

Clients

Communities

People

Regulators

Suppliers

IG Group Holdings plc

Annual Report 2024

Understanding our Stakeholders continued

Case study 2:

IG Employee Networks

Our Non-Executive Directors attended sessions

hosted by some of IG’s Employee Networks: IGU,

IG INSPIRE, IG Black and IG Open.

“The Board expressed support

and a desire to be involved in our

upcoming activities, advocating for

a top-down approach to ensure the

achievement of IGU’s objectives.

Rakesh, Sally-Ann, and Mike offered

to talk about their personal

experiences to raise the profile of

mental health, neurodiversity, and

disabilities at IG. As suggested by

the Board, our next goal is to

investigate methods of attracting

neurodiverse talent to offer

unique skills and cognitive abilities,

allowing for better problem solving

and approach tasks differently to

their team members.”

Awande Nojoko

Co-Chair of IGU

“IG Group’s INSPIRE network is dedicated to

supporting the growth and attraction of top female

talent. With the Non-Executive Directors, we discussed

the importance of promoting diversity of thought.

Backed by evidence, it is shown that this is not only

an impactful mechanism to unlock female potential,

but also a powerful way to achieve holistic progress

across the business. The Non-Executive Directors

fully engaged with us, not only in eagerness to look

beyond our data statistics and to understand real life

experiences of female talent at IG, but to also discuss

tangible mechanisms to make progress. It was a

fantastic discussion which has stretched the network

to aim even higher in the coming financial year.”

Faraneh King

Co-Chair of IG INSPIRE

“We discussed the progress and

challenges of our LGBT+ network.

The session was fruitful and constructive,

with discussions centred around IG’s

LGBT+ people and the incredible support

received by the network allies. We

appreciate the collaborative spirit and

the invaluable support extended to us

during the session. It is through such

partnerships and advocacy that we can

continue fostering an inclusive and

thriving environment for all of our

employees.”

Pablo Cremades

Co-Chair of IG Open

“We were grateful for the opportunity to connect

with our Non-Executive Directors in a session that

spotlighted IG Black’s history, objectives, and the

challenges we face. It provided a platform for us to

share our aspirations and gain valuable insights on

diversity and inclusion from our Non-Executive

Directors’ extensive professional backgrounds.

The follow-up session with Wu Gang and Sally-Ann

Hibberd was particularly beneficial and has given us

the impetus to embrace “industrial tourism.” We are

now connecting with other corporate employee

networks and D&I teams to learn and implement best

practices here at IG to best serve the Black Network.

This session was a milestone in our endeavour to

elevate the visibility and career success of Black

employees within IG.”

Jerome Johnson

Co-Chair of IG Black

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Understanding our Stakeholders continued

Case study 3:

Women in Finance

Sally-Ann Hibberd

and Helen Stevenson

participated in an expert

panel discussion organised

by the IG INSPIRE women’s

network in collaboration

with their London corporate

partner, Women in Banking

and Finance.

With an audience of around 50 senior

business leaders from IG and the wider

industry, they provided insight, advice, and

opinions on how to prepare for and embark

upon a non-executive or advisory board

career. The panel event was well received

and triggered an engaging Q&A session,

which was followed by an opportunity to

network. Although it was predominantly an

event targeted at women, male attendees

acknowledged how gender-agnostic

the content had been, and feedback

following the session was very positive.

“It was a privilege to share

my experiences with so

many talented female leaders,

both within IG and our wider

community, as part of IG’s

commitment to furthering the

development of a diverse and

inclusive industry.”

Sally-Ann Hibberd

Non-Executive Director

Case study 4:

Learning

with Parents

Wu Gang and Sally-Ann Hibberd joined

industry leaders and Business for Societal

Impact (B4SI) at an event hosted by IG

Group to showcase and celebrate its

transformation partnership with Learning

with Parents to tackle educational

inequality. At the event, IG Group shared

the learning from the Brighter Future Fund,

and then Learning with Parents provided

insights from their financial literacy pilot.

“By hearing from and speaking

to industry leaders at the event,

I was able to experience first-

hand the positive impact the

Board’s commitment to the

Brighter Future Fund was

having on our community and

understand the importance of

continuing to work closely and

collaboratively our charity

partners.”

Wu Gang

Non-Executive Director

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Understanding our Stakeholders continued

Case study 5:

Teach First

school visit

Following the success of last

year’s Teach First school visit,

Wu Gang, Sally-Ann Hibberd

and Helen Stevenson visited

the Oasis Academy Coulsdon

to see the excellent work

Teach First continues to do,

supported by IG Group.

“The visit was a fantastic

opportunity to meet pupils

and teachers to gain a

valuable insight into how

we can continue to engage

effectively and successfully

with them through our

partnership with Teach First.”

Helen Stevenson,

Non-Executive Director and Chair of

Remuneration Committee

Case study 6:

Client Event at

The Globe Theatre

Our Events team run several

client events throughout the

year and Board Members

join them where possible

to engage directly with our

clients. Susan Skerritt joined

one such event at The Globe

Theatre this year.

“By joining our client event

for the evening, I was able to

speak to our clients in person

to learn about, and from, their

experience with us and share

this insight with other Board

members.”

Susan Skerritt,

Non-Executive Director

The Directors received a warm welcome

by the pupils who took them on a tour of

the school. As with the last visit, there was

an interactive ‘speed networking’ session

led by Teach First, rotating around small

groups of Year 10 students to share their

career journeys and answer a host of

questions from enthusiastic pupils. The

visit closed with a Q&A session with the

Principal and her leadership team to learn

more about the school and the impact that

the Teach First was making with support

from businesses like ours.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Section 172(1) Statement

We are committed to

upholding the highest

standards of conduct. All

the decisions we make are

for the long-term success

of our business.

We believe that our business will continue

to grow and prosper if we understand

and respect the needs and views of our

stakeholders. We have a robust governance

framework which includes the delegation of

day-to-day decision-making to our people.

Under Section 172(1) of the Companies Act

2006 (CA2006), a Director of a Company must

act in a way that they consider, in good faith,

would most likely promote the success of the

Company for the benefit of its members as a

whole. In doing this, amongst other matters,

the Directors must have regard to:

The likely consequences of any

decision in the long term

The interests of the Company’s

employees

The need to foster our business

relationships with suppliers,

customers and others

The impact of our operations on the

community and the environment

The desirability of the Company

maintaining a reputation for high

standards of business conduct

The need to act fairly between

shareholders of the Company

Our key stakeholders

We value all of our stakeholders and consider

their needs and the impact our decisions have

on them. The sections below illustrate how

our Directors drive the long-term success of

our business, whilst striving to deliver the best

outcomes for all:

 Stakeholder Engagement (pages 57-58):

we identify our key stakeholders and how

we engage with them

 Our Sustainability Report (pages 17–28):

we describe the progress with our ESG

strategy, including diversity and inclusion,

our community outreach activities, and our

Task Force on Climate-related Financial

Disclosures (TCFD) report

 Board Activities (page 55): we give examples

of how our Board interacts with our

stakeholders and makes decisions with

them in mind

 Understanding our Stakeholders (pages

59–64): we outline how our Directors

engage with our stakeholder groups

Long-term decision making

Our strategy is to sustainably generate and

preserve value for stakeholders and wider

society over the long term by facilitating

a wider range of trading and investment

opportunities for ambitious people around

the world. This long-term view drives how

we set objectives for our employees. Our

risk-management procedures identify the

potential consequences of short, medium and

long term decisions, classifying appropriate

levels of identification, mitigation, reduction,

management or elimination in the best

interests of the Group and our stakeholders.

The Board considers Section 172(1) matters

through Board information, discussion and

decision-making.

Key Board decisions in FY24

CEO Succession

Description

The Board approved the appointment of Breon Corcoran as CEO.

Relevant Section 172(1)

decision criteria

Relevant stakeholders

Decision-making process

 Following June Felix’s departure due to ill health in August 2023, the Board,

through its Nomination Committee, undertook an extensive search for a

new CEO with the assistance of an external search agency, Russell

Reynolds Associates

 The Board collectively interviewed a shortlist of four candidates identified

by the Nomination Committee

 The Board formally approved Breon’s appointment as CEO in January

2024, on the recommendation of the Nomination Committee and subject

to receipt of regulatory approval

 Further information can be found in the Nomination Committee Report

on page 68

Operational Efficiency Measures

Description

The Board reviewed and considered the operational efficiency measures

announced on 31 October 2023, designed to simplify and streamline the

business. This comprised of headcount reduction and other efficiency

measures, including expanding the use of the Group’s global centres of

excellence.

Relevant Section 172(1)

decision criteria

Relevant stakeholders

Decision-making process

 A project was undertaken in the summer of 2023 to consider operational

efficiency measures to create a leaner, more agile business and to further

enhance the Group’s flexibility to innovate and deliver a world-class client

experience

 The Board supported the cost-management proposal when discussed in

July 2023. It received regular updates on the project, and delegated

authority to Mike McTighe (Board Chair) and Sally-Ann Hibberd (Non-

Executive Director and Chair of the Board Sustainability Committee) as a

sub-Committee to support and, where needed, constructively challenge

the Executives to achieve the best possible outcome for our stakeholders

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Board Performance Review

Each year, the Board

monitors and seeks to

improve its performance

byreflecting on the

effectiveness and quality of

its activities and decisions.

FY24 internal Board performance

reviewprocess

Following the extensive externally facilitated

Board and Committee Performance Review

conducted in FY23, we conducted an internal

review in FY24 using a questionnaire, in line

with our three-year cycle.

Three-year Board Performance Review cycle:

Year Method Next review

1 Internal evaluation via

questionnaire

FY24

2 Internal evaluation via

questionnaires and individual

interviews with Directors, as

appropriate

FY25

3 Externally facilitated

evaluation

FY26

FY24 Board performance review process

Step 1:

Questions agreed with

the Board Chair

Step 2:

Questionnaire answered

by each Board member

Step 3:

Output of the review presented

to the Board and Committees

during May 2024

Step 4:

Actions agreed by the Board

and its Committees

Key Insights from the FY24 PerformanceReview

 There was consensus among Board members that the Board was effective and had

strong dynamics, whereby members worked cohesively, while retaining their ability to

think independently

 The Board felt it was of the right size, and many responses on the collective strengths

of the Board highlighted the Board’s openness and the diversity of skills and experience

it has

 Board performance over the last 12 months scored very highly and the top priorities

identified by Board members for the next 12 months centred around continuing to build

constructive relationships with the CEO and his new executive team

 Suggestions for Board or Committee training topics included technology (including AI),

cryptocurrencies, market/competitor dynamics, D&I, and regulation

 Feedback was positive on how the Board was kept informed. Suggestions for further

improvement included more time with the new CEO and his executive team, continued

focus on ensuring that information given to the Board reflected the global nature of

our business and more information on customers, the competitive landscape, and

regulatory relationships

 Scores were positive on the enablers of Board decision-making, including the quality and

timeliness of Board and Committee papers. It was felt that the Board and its Committees

had agendas which covered the right topics and met regularly enough to discharge their

responsibilities

 Responses were very positive for questions on controls, which covered feedback on

regulatory issues, range of risks and controls the Board considered, and the adequacy

of the risk management and internal control systems

 Feedback was positive overall on stakeholder oversights. Better understanding of clients

and their experiences was a suggested area for further Board focus

Key Actions from the

FY24 Performance Review

 Sustain the positive momentum that

was achieved as a result of the actions

from the external Board Performance

carried out in FY23

 Develop the Board’s relationship with

the CEO and his new executive team

 Enhance the Board’s understanding of

our clients and core customer groups

 Schedule dedicated training or Board

discussions on D&I, cryptocurrencies

and Artificial Intelligence (AI) in the

context of our business

Board Committees

Overall, the Board felt that it had the right

Committees with clearly defined Terms of

Reference to support them, and the division

of responsibilities between the Committees

was clear and appropriate. Committee-

specific findings were all positive and

results were discussed at the respective

Committee meetings in May 2024.

Chair performance

Scores and feedback were very positive

on how the Board Chair had performed

during the year. The performance of the

Board Chair was also evaluated by the SID

in a dedicated private session, which took

place in May 2024. The result confirmed

that Mike McTighe continued to lead the

Board effectively and had demonstrated

strong leadership and direction.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Board Performance Review continued

Progress on actions from the FY23 Performance Review

Good progress was made against the actions from the externally-facilitated review

conducted in FY23. Responses from the FY24 review confirmed that the Board was

satisfied that the actions had been addressed effectively:

Action point Progress /Actions taken

Commit and invest to

becoming an even higher

performing Board and

Executive Leadership Team.

Each Director has invested their personal time outside of Board and

Committee meetings to build and strengthen their relationships with each

other. That has increased their mutual trust, respect and understanding of

one another and contributed to an even higher performing Board.

The Nomination Committee and the Board also committed to and invested

in its future performance during the CEO succession planning process,

which demonstrated the high calibre of internal candidates in the Executive

Leadership Team. The Executive Leadership Team and the Board worked

together to support the business during the challenging circumstances of

the prior CEO taking ill and eventually stepping down. At the end of a robust

process, the Board appointed a new CEO to lead the business for the next

phase of its growth.

During the year, the Nomination Committee also commenced the search

for a new Non-Executive Director and a CFO. The Board considered the future

opportunities for the business and has sought to further strengthen the way

that it can support it and how it can enhance its own performance with this

appointment. The search for a Non-Executive Director has concluded with the

appointment of Marieke Flament. The CFO search is ongoing.

Continue to keep Board

composition under review,

particularly from D&I and

skills perspectives.

The Nomination Committee keeps the Board composition, including various

forms of D&I, under review during the year and the Chair reports back to the

Board on the discussions it has had.

From a skills and experience perspective, the findings from the FY23 Board

Performance Review were used as a starting point for the role profile for the

Non-Executive Director search currently underway, to succeed Malcolm Le

May who will retire at the 2024 AGM, having served nine years on the Board

by then.

D&I considerations have been integral to the Nomination Committee and

the Board’s succession planning processes during FY24 and will continue

into FY25. Search firms have been instructed to present a diverse pool of

candidates for consideration. All forms of diversity are considered and while

the Board remains committed to achieving more female representation in

particular, it will continue to appoint based on merit.

Work to better align the

Board on the most

appropriate level of

governance given our

strategic direction.

The Board has worked with the new Group Company Secretary to achieve

the appropriate balance of governance for the organisation during FY24.

The Board Chair and the Group Company Secretary will continue to keep

governance practices under review so that they remain appropriate for

the Group.

Continue to look at the

allocation of the Board’s

time, especially in terms of

our customers and markets

as we deploy our

diversification strategy.

The Board is comfortable with its time allocation but keeps this under review at

each meeting when it considers its Forward Look Agenda. The Board usually

has two strategy sessions per year, though strategic initiatives are also

discussed outside of these sessions on an event-driven basis.

The Board has requested various deep dives in order to better support as the

business executes its strategy.

Skills Matrix

The Skills Matrix below is based on each Director’s self-evaluation against a list of capabilities.

This was conducted as part of the FY24 Board Performance Review in April 2024.

Auditing

3/9

Cryptocurrencies 1/9 3/9 5/9

Data and Cyber Security Governance 3/9 5/9 1/9

Digital and Technology 4/9 4/9 1/9

ESG/Sustainability/CSR 2/9 7/9

Finance 6/9 2/9 1/9

International Markets 7/9 2/9

People/Talent Management 6/9 3/9

Policy/Government Regulations 3/9 1/9 5/9

Remuneration 2/9 6/9 1/9

Risk Management 6/9 3/9

Transformation 4/9 4/9 1/9

UK PLC Experience/

Listing Regulatory Environment

5/9 3/9 1/9

Core Supplemental Limited

1 This year’s Board Performance Review was undertaken solely by the Non-Executive Directors on account of the CEO only recently

having joined the Group. The CFO recused himself as he will leave the business on 31 July 2024.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Nomination Committee Report

Mike McTighe

Chair of the Nomination Committee

Committee overview

Key stats

Tenure Gender

0 – 3 years 0% Female 25%

4 – 6 years 100%

Male 75%

7+ years 0%

Meetings and membership

Meetings

attended

Mike McTighe (Chair) 18/18

Wu Gang 17/18

Jonathan Moulds 16/18

Helen Stevenson 17/18

 Our Nomination Committee (the

Committee) is comprised of four

independent Non-Executive Directors.

Their biographies can be found on pages

47-50

 The Nomination Committee met 18 times

during the year. All the apologies were

received for ad hoc meetings. Full details of

attendance at Committee meetings are on

page 53

 The CEO and Chief People Officer (CPO) are

standing attendees at Nomination

Committee meetings

Chair’s overview

The Nomination Committee ensures that

the Board and its Committees are of the

appropriate size and composition, with

the requisite balance of skills, knowledge,

diversity, experience, and independence

needed to support the development

and oversight of our strategy. We make

recommendations on Board succession

planning, which includes identifying and

recommending suitable candidates as part

of business-as-usual succession planning for

key roles as well as when a vacancy arises. We

partner with independent external executive

search agencies to help source candidates

based on objective criteria. We are committed

to ensuring that we are a truly diverse

organisation in all respects, across gender,

social and ethnic backgrounds, cognitive

and personal strengths, and experience. We

also review the senior executive talent and

leadership needs of the Group to ensure

that we have succession plans in place for

Board and senior management positions.

This year, we carefully considered changes

to senior executive positions and provided

the appropriate input and challenge in

advance of key changes being made. We

believe that a diverse pipeline of talent will

result in the Company’s existing and future

strategy being executed effectively.

During the year, we continued our

engagement with Russell Reynolds Associates

(RRA), an independent executive search

agency, as the need arose to progress from

the contingency planning that we had already

undertaken, to a comprehensive CEO

succession and recruitment process after

June Felix decided to step down due to ill

health. Our process included:

 Preparation of a role profile, which was

used by RRA to create a search strategy,

including industry types and example

companies that could form our external

talent pool alongside our internal talent

included in the selection process

I am pleased to present the

report of the Nomination

Committee for the financial

year ended 31 May 2024, to

share this year’s activities

with you and discuss how

we have discharged our

responsibilities.

FY24 Key focus areas

 CEO succession planning and

recruitment

 CFO recruitment

 NED succession planning and

recruitment

 Senior Executive Talent Review

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Nomination Committee Report continued

 We used the strategic priorities for the

business and our values to define the key

capabilities, experience, and personal

attributes which potential candidates

(both internal and external) could be

assessed against

 We attributed capabilities (including

strategic vision, client orientation and

inspirational leadership), experience

(including international/multi-region,

FinTech, growth and data-led operating

models), and personal attributes and values

(including having an inclusive mindset,

being a cultural ambassador and being

authentic) to act as a benchmark and

revisited them throughout the search

 We considered summary role profiles for

external candidates globally, and calibrated

their experience across a range of criteria,

which included various forms of diversity

 The Committee agreed on a shortlist of

candidates that each Committee Member

and the CPO would meet

 RRA assessed internal and external

candidates using the Hogan Development

Survey and their own leadership profiling

tool to benchmark against global CEO

characteristics

 The finalist candidates were interviewed by

all of the Non-Executive Directors. Two

preferred candidates continued the

process, and the Committee assessed their

significant external time commitments to

ensure they had sufficient time available to

devote to the role. The Board approved our

recommendation to appoint Breon as CEO,

reflecting his strong leadership credentials,

technology experience, a track record of

growth, value creation and ability to scale

business internationally

We value stakeholder engagement, so during

the succession planning process, we kept

our people updated globally with articles

on our intranet site and town halls hosted

by the Executive Directors and our CPO.

After the announcement of the new CEO

was made, I connected with our top twenty

shareholders and met with several of them.

I was pleased that Breon’s appointment was

received positively by our top shareholders

and the market. Like all new Directors,

Breon undertook a comprehensive tailored

induction plan. All Directors receive ongoing

updates on strategic, legal and regulatory

developments to enable them to fulfil

their statutory duties. More information

on Director inductions and training can be

found on page 56 and page 54 respectively.

As mentioned in the Board Chair’s

Introduction to Corporate Governance on

page 45, it has been a year of unprecedented

Directorate change. Jon Noble stepped

down as our COO on 13 March 2024 and we

were delighted to promote internal talent

to the role. Charlie Rozes also decided to

step down as CFO and he will leave us on

31 July 2024. We initiated a process with

Redgrave Search (Redgrave), an independent,

international executive search firm, on

succession planning and recruitment for our

new CFO. A comprehensive global search

has been conducted against a role profile

that was developed by the CEO and CPO in

discussion with the Nomination Committee.

An initial diverse longlist of candidates was

interviewed by the CEO, CPO, and Board

Chair. The CEO provided regular updates

to the Board Chair and the Nomination

Committee throughout the search. We have

assessed shortlisted candidates against

the requirements of the role. The results of

the various interviews will be considered,

together with comprehensive referencing and

a leadership assessment of each candidate.

Malcolm Le May will reach nine years’ tenure

and is due to step down at our AGM in

September. We started the succession

planning process to identify his successor,

with Board diversity as a priority. We remain

committed to achieving the optimal balance

of diversity on the Board, whilst we continue

to recruit based on merit, considering the

specific skills, knowledge and experience

needed for each role.

We decided to work with Audeliss, an

independent executive search agency that

specialises in diverse Board appointments. In

undertaking the search, we did not limit our

candidate pool to the UK. We requested a

candidate list that prioritised female talent,

but we considered diversity and inclusion in

their widest sense. We worked closely with

Audeliss to prepare a role profile that took

into consideration our values, feedback

received during the prior year’s Board

Performance Review on the skills, experience

and know-how areas that would benefit

the Board, and the strategic direction of

the business, with a focus on technology

experience and crypto. Audeliss produced a

list of potential female candidates, based all

over the world, with different backgrounds.

After the Chair met with several candidates

on the longlist and provided feedback,

the Committee agreed on a shortlist of

candidates that each Committee Member,

the CEO and the CPO met. Two preferred

female candidates were agreed on, who

several of our Non-Executive Directors

also met with, ahead of the Committee

recommending Board approval to appoint

Marieke Flament. We were delighted that

she joined our Board on 4 July 2024. Marieke

brings unique technology and crypto

experience to the Board. Her biography

is available on our Group website.

Malcolm also chairs the Board of IG US

Holdings, Inc. We recommended that Susan

Skerritt, an existing member of that Board,

be appointed as Chair in succession to

Malcolm, and that Jonathan Moulds, our SID,

be appointed as Director. Both appointments

took place on 9 July 2024, and we are

confident that we will continue to benefit

from Susan and Jonathan’s extensive US

experience in making these appointments.

The Committee remained confident that the

structure and composition of the Board of

IGGH and the other nested entities and their

Committees, as well as the Board of IG US

Holdings Inc., provided effective leadership

to support our future growth and strategy.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Nomination Committee Report continued

Role of the Nomination Committee

The principal responsibilities of the

Committee include:

 Reviewing the structure, size and

composition of the Board and its

Committees to ensure that they are

appropriately balanced in terms of skills,

knowledge, diversity, experience and

independence, and making appropriate

recommendations to the Board relating to

succession planning at Board level

 Ensuring that there is a formal, rigorous and

transparent procedure for the appointment

of new Directors to the Board

 Identifying, and nominating for Board

approval, suitable candidates to fill Board

vacancies as and when they arise

 Reviewing leadership needs, with a view to

ensuring our continued ability to compete

effectively in our marketplace and deliver

on our strategy

 Keeping apprised of strategic issues and

commercial changes affecting us and the

market in which we operate

The Terms of Reference of the Committee

were last reviewed in May 2024 and are

available on our website.

Priorities for the year ahead

 Continue the search for CFO to join

the Board

 Facilitated by the CPO, commence

work on broadening the development

of longer-term internal talent for CEO,

CFO and Executive Committee

positions, to nurture a diverse talent

pool and ensure that we have the

leadership capabilities in place to

deliver the business strategy for the

future

 Commence work on Board Chair, SID

and Non-Executive Director

succession planning

 Continue to communicate to the

Board on key activities and

workstreams during the year

Main activities during the financial year

During the year, the Committee met

principally to:

 Consider the structure and composition

of the Board and its Committees, including

the current diversity of the Board, Non-

Executive Director independence, including

tenure, Non-Executive Director time

commitment, a skills gap analysis for

Non-Executive Director succession

planning, and a review of Director

conflicts of interest

 Consider and recommend a reduction

in the number of Executive Directors on

the Board

 Discuss the Board’s Diversity and Inclusion

Policy, including the commitment to

achieve the gender and ethnic minority

diversity targets contained in it

 Pivot from contingency succession

planning to CEO recruitment, including the

appointment of an independent executive

search agency to support with that

 Undertake NED succession planning ahead

of Malcolm’s retirement, including the

appointment of an independent executive

search agency with a view to achieving

greater diversity on the Board with the new

appointment

 Support on CFO succession planning,

which included the appointment of an

independent executive search agency and

considering a diverse candidate pool

Diversity

Details of our diversity and our Diversity

Statement can be found in Our Approach

to Diversity on pages 19-20. The Board

continues to appoint on merit, based on

the skills and experience required for

membership, while considering all forms

of diversity, as well as independence.

The Company insists on search firms

presenting a diverse pool of candidates for

consideration during the search process.

The Board Diversity and Inclusion Policy was

last reviewed in May 2024 and is available on

our website. This policy applies to the Board

and its Committees.

Committee evaluation

An evaluation of the Committee’s

performance was undertaken this year in line

with the Committee’s Terms of Reference.

You can find details of the Board Performance

Review process, outcome, and the actions

on pages 66-67. On the Committee-

specific questions, the review found that

the Committee had the right combination

of skills, experience, and knowledge. Its

reporting to the Board was found to be

effective and it performed, and was chaired,

effectively during the year. No Committee-

specific actions resulted from the review.

Mike McTighe

Chair of the Nomination Committee

24 July 2024

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Sustainability Committee Report

Sally-Ann Hibberd

Chair of the Sustainability Committee

Committee overview

Key stats

Tenure Gender

0 – 3 years 0% Female 50%

4 – 6 years 100%

Male 50%

7+ years 0%

Meetings and membership

Meetings

attended

Sally-Ann Hibberd (Chair) 4/4

Malcolm Le May 3/4

Helen Stevenson 4/4

Rakesh Bhasin 4/4

I am pleased to present the

report of the Sustainability

Committee for the financial

year ended 31 May 2024, to

share with you our activities

during the year and how we

have discharged our

responsibilities.

FY24 key focus areas

 Oversaw improvements made to the

Group’s carbon accounting and

preparations for setting net zero

targets and transition planning

 Sought and received insights from key

stakeholders, including shareholders,

employees, clients, and communities to

better understand their priorities and

interests relating to sustainability

issues

 Horizon scanning on incoming

sustainability-related regulations and

trends

 In collaboration with the Remuneration

Committee, oversaw the

implementation of a Global Share

Purchase Plan for IG Group employees

 Oversaw the implementation of

employee wellbeing initiatives,

including the training of 45 Mental

Health First Aiders globally

 Oversaw the continued roll-out of the

client vulnerability processes

 Oversaw the charitable grant-making

process through the Brighter Future

Fund

Chair’s overview

The Sustainability Committee’s role is to

safeguard the long-term viability of the

Company, ensuring the way Company goals

are pursued today does not compromise

its ability to pursue goals in the future.

We believe this means the Company is

mandated to operate ethically, to tread

lightly on the planet, and to make a positive

contribution to a socially mobile and

inclusive community. To better reflect the

breadth of this remit, we have changed the

name of the Committee and associated

Group function to Sustainability. We are

moving away from ‘ESG’, because it has

become synonymous with the criteria used

to evaluate sustainability performance.

The Sustainability Committee has

been providing oversight on behalf of,

and advice to, the Board in relation to

matters of sustainable and responsible

business for four years and over the last

12 months we have overseen continued

progress against our strategic goals.

In FY23, we oversaw several initiatives that

helped the Group to better champion the

client – including the client vulnerability

project and a project to embed principles of

accessibility into our product design. These

initiatives have remained top priorities for

FY24, and we are proud of the progress

being made in these areas. This year we have

also overseen several important projects

in relation to the People strategy. We are

particularly proud of the implementation of

a Global Share Purchase Plan which means

that every employee around the globe now

can invest in IG Group shares. Previously,

such plans were only available to employees

in the UK and USA, so this was a significant

expansion and enables all employees to

share in the success of the business.

Since our formation in 2020, the regulatory

environment around sustainability topics

has evolved at a remarkable pace. After

overseeing the Group’s implementation of

the Task Force on Climate-related Financial

Disclosures (TCFD) regime, we are starting to

 Four independent Non-Executive Directors

make up our Sustainability Committee

(formerly the ESG Committee). Their

biographies can be found on pages 47-50

 The Committee met four times during

the year. You can find full details of

attendance at Committee meetings on the

table on page 53

 The Board Chair, CEO, Group Head of

Sustainability and CPO are standing

attendees of the Committee.

Representatives from other areas of the

business attend the Committee meetings

by invitation

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Sustainability Committee Report continued

prepare for incoming disclosure regimes such

as the International Sustainability Standards

Board (ISSB) and Corporate Sustainability

Reporting Directive (CSRD). This has included

inviting industry experts to Committee

meetings to present horizon scanning and

insights reports. We have also started to work

more closely with the Audit Committee –

helping it to better understand the increasing

levels of scrutiny that will be required of

the Group’s sustainability disclosures.

As the regulatory environment becomes

increasingly sophisticated and nuanced,

so too do the attitudes and priorities

of our key stakeholder groups. The

Committee stays abreast of these

views in a number of ways including:

 We oversaw the expansion of the Client

Sentiment tracker to survey attitudes to

elements of sustainable and responsible

business and we commissioned a similar

pulse survey for a selection of the highest

performing employees across the Group

 In FY24, I became the Board representative

on the Group’s People Forum – made up of

nominated employee representatives from

each of our regions

 Throughout the year there have been a

number of non-executive visits to IG Group

offices around the globe and we ensure

that, we include on the itinerary, sessions

focused on the regional sustainability

agenda and meetings with the local

employee network leads

 Members of this Committee and the Board

have attended many events associated

with the Group’s community outreach

programme. For example, we heard

from our UK charity partner Learning

with Parents about how best to improve

the financial literacy of the UK’s most

marginalised communities. This is just

one of many incredibly inspiring projects

that we’re supporting though the Brighter

Future Fund and you can read more about

this on our Group website

Finally, it is worth noting that this has been

a year of change for the business. Amongst

the people to leave the business were the

Chief Operating Officer and the Chief Risk

Officer – both of whom were key champions

of the sustainability agenda at the Executive

Committee level. The Committee has

overseen the transition of accountability

to the Chief People Officer and will work

closely with her to ensure that this agenda

remains a top priority as we move forward.

The Committee notes that the Company’s

sustainability function – lead by our Group

Head of Sustainability – has grown over

the last 12 months, which is indicative of

the business’ commitment to this work.

Role of the Committee

The principal roles and responsibilities of the

Committee include:

 Advocating and effectively bringing greater

focus on wider sustainability matters within

the Company

 Oversight of our sustainability strategy and

its implementation, including ensuring that

the appropriate governance is in place and

is supported by appropriate policies. See

page 23 to read more about sustainability

governance

 Monitoring and reviewing how the

sustainability strategy is received and

regarded by our stakeholders

 Overseeing how all elements of the

sustainability strategy are reported

externally

 Assisting on other matters related

to sustainability as may be referred to it by

the Board

 Oversight of the Brighter Future Fund,

which is the Group’s Charitable Giving

budget

The Terms of Reference of the Committee,

which were last reviewed in May 2024, are

available on our website.

Committee evaluation

An evaluation of Committee performance

was undertaken this year in line with the

Committee’s Terms of Reference. You can

find details of the Board Performance Review

process, outcome and the actions on pages

66-67. On the Committee-specific questions,

the review found that the Committee had

the right combination of skills, experience

and knowledge. Its reporting to the Board

was found to be effective and it performed,

and was chaired, effectively during the year.

The Committee also agreed a Committee-

specific action from the review to receive

presentations from external speakers on a

periodic basis on wider market practices

in respect of sustainability, and the first

such session took place in July 2024.

Sally-Ann Hibberd

Chair of the Sustainability Committee

24 July 2024

Priorities for the year ahead

 Continue to prepare for incoming

regulations, including overseeing the

continuous improvements to

sustainability reporting and

disclosures

 Oversee the completion of a

sustainability materiality exercise and

a subsequent sustainability strategy

refresh

 Oversee the implementation and

roll-out of the new strands of the

sustainability strategy, including the

metrics and KPIs by which the Group

will be measured

 Continue to receive input on

sustainability insights and trends and

listen to the perspective of key

internal and external stakeholders,

ensuring that we have visibility of the

ever-developing regulatory

environments and best practice

around the world, and how these

relate to IG Group

 Scrutinise and support IG’s Brighter

Future Fund grant making to ensure

it remains on track to meet the

ambitious target of supporting one

million people by 2026

 Communicate to the Board on key

activities and workstreams during

the year

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Audit Committee Report

Andrew Didham

Chair of the Audit Committee

Committee overview

Key stats

Tenure Gender

0 – 3 years 25% Female 25%

4 – 6 years 75%

Male 75%

7+ years 0%

Meetings and membership

Meetings

attended

Andrew Didham (Chair) 5/5

Rakesh Bhasin 5/5

Malcolm Le May 5/5

Susan Skerritt 4/5

I am pleased to present

thereport of the Audit

Committee for the financial

year ended 31 May 2024, to

share with you our activities

during the year and how we

have discharged our

responsibilities.

 Four independent Non-Executive Directors

comprise our Audit Committee (the

Committee), including individuals with

recent and relevant financial experience.

The Committee as a whole has competence

relevant to the sector we operate in. Their

biographies can be found on pages 47-50

 The Committee met five times during the

year, including a joint meeting with the

Board Risk Committee in September 2024.

You can find full details of attendance at

Committee meetings on page 53. The

Committee also held two dedicated

workshops on tastytrade impairment

assessment in June 2023

 The Board Chair, CFO, CEO, Global Head of

Internal Audit and representatives from the

External Auditor, PricewaterhouseCoopers

LLP (PwC), are standing attendees at

meetings

 Committee members also meet separately

with the Global Head of Internal Audit and

the External Auditor at various points in the

year so that any issues or concerns may be

raised to the Committee without

management present

Chair’s overview

As a Committee, we remain focused on

overseeing corporate reporting, maintaining

an appropriate relationship with the Internal

and External Auditors and monitoring the

effectiveness of our control environment.

We again monitored accounting matters

related to the US CGU closely, as well as the

continued integration of internal control

processes for the tastytrade business, with

input from our External Auditor, PwC.

Following an assessment, I am pleased to

report that the Committee has concluded

that there were no indicators of goodwill

impairment at year-end.

We remain alert to regulatory and legislative

developments for matters under our

remit. Further to a number of changes

and clarifications we saw to the corporate

reform agenda in the UK, we are focused

on overseeing our readiness to meet the

requirements of the 2024 UK Corporate

Governance Code, particularly around

internal controls. We received an update

on corporate governance changes from

our external legal counsel during the year

and will closely monitor how management

responds to the upcoming changes.

In last year’s report, I highlighted our oversight

of an external assessment of our Internal

Audit function as a focus area for FY24.

An External Quality Assessment was duly

undertaken by Deloitte during the year, and

I am pleased to report that the assessment

was strongly favourable overall, with Deloitte

considering our Internal Audit function to

be high-performing and well regarded.

Improvement opportunities identified by the

assessment were limited and minor in scope

and nature, and they have been taken on

board. A specific point that we discussed as

a Committee was the Global Head of Internal

Audit’s continued independence in view of

his seven-year tenure in the role, and we

subsequently satisfied ourselves that the

individual continued to be independent.

FY24 key focus areas

 Changes to corporate reporting

requirements

 Oversight of an external assessment

of the firm’s Internal Audit

arrangements

 US Cash-Generating Unit (CGU) as

part of goodwill impairment testing

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Audit Committee Report continued

We continue to work well with other Board

Committees, and once again held a joint

meeting with the Board Risk Committee

in September 2023 to review and discuss

matters common to both Committees.

This included reviews of the financial

and regulatory capital and liquidity

forecasts for the ICARA and Wind-Down

Plan. There continues to be a helpful

level of cross-Committee membership,

with Susan Skerritt and I both being

Board Risk Committee members.

Following a Board presentation from PwC on

Sustainability and Finance in March 2024, we

agreed with the Sustainability Committee that

the responsibility for external sustainability-

related disclosures will fall under the remit of

our Committee, and we will review the basis of

reporting and the key judgements relating to

such disclosures going forward.

As the Audit Committee Chair, I have been

involved in the search for a new CFO. I wish

Charlie Rozes much success for the future as

he leaves the business at the end of July 2024.

As we look forward to FY25, our Committee

will continue to focus on implementing new

applicable corporate reporting requirements,

including those around internal controls and

sustainability disclosures.

Role of the Audit Committee

The Committee’s principal responsibilities

areto:

Corporate reporting

 Monitor the integrity of the Group’s

Financial Statements

 Review the significant financial issues and

judgements related to the Group’s Financial

Statements

 Assess the quality and acceptability of

accounting policies and practices used

 Review the processes to support the

assessment and determination of the

principal risks that may have an impact on

our solvency and liquidity

 Monitor the availability of distributable

profits for dividend payments

 Oversee the approach to tax management

and control

 Review the inherent risks in our financial

reporting process and systems

 Review the basis of reporting and the key

judgements relating to external

Sustainability–related disclosures

Control environment

 Monitor the effectiveness of the Internal

Audit function

 With support from the Board Risk

Committee, assess and recommend the

effectiveness of the Group’s risk

management and internal control

framework to the Board

 Monitor the effectiveness of our control

environment, including performance of our

IT systems, and via Internal Audit reports

 Oversee the systems and controls relating

to the holding and management of client

money and assets

 Review and approve whistleblowing

arrangements

External Auditor

 Oversee the relationship with the External

Auditor, including annual approval of the

external audit plan, review of audit opinions,

setting of External Auditor remuneration,

and reporting the results of the external

audits to the Board

 Monitor the effectiveness, objectivity and

independence of the External Auditor,

including factors related to the provision

of audit and non-audit services

The Terms of Reference of the Committee

were last reviewed in May 2024 and are

available on our website.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Our other key activities are outlined below:

Committee Activity Outcome

Going concern and long-term viability

The Directors are required to make a statement in the Annual

Report as to the going concern and longer-term viability of the

Group. The Committee is required to review the processes to

support the assessment and determination of the principal risks

that may have an impact on our solvency and liquidity.

 Evaluated reports from management that set out the

view of the Group’s going concern and longer-term

viability. These reports detailed the outcomes of stress

tests after applying multiple scenarios to determine

how we were able to cope with deterioration in liquidity

profile or capital position

 Considered, along with the Board Risk Committee, the

ICARA underpinning the firm’s capital and liquidity

adequacy appraisal

 Agreed to recommend the Going Concern and Viability

Statement to the Board for approval, taking into account

the assessment by management of stress-testing results

and principal risks

Carrying value of goodwill and other intangible assets

In accordance with accounting standards, we are required to

review any goodwill balances for impairment and to consider the

underlying assumptions used in determining the carrying value

of these assets. In addition, we are required to assess whether

there is any indication the other intangible assets may be impaired.

 Reviewed a report from management setting out the

key assumptions used in the impairment review of the

goodwill balance and an associated sensitivity analysis,

including the support provided by an independent

external valuation agency in valuing the US CGU as part

of the annual goodwill impairment testing

 Considered the work of the External Auditor on goodwill

and intangible assets

 Concluded that there should be no change to the

recorded carrying value of the goodwill and other

intangible assets, based on the assessment performed

 Concluded that adequate disclosure was included within

the Financial Statements

Alternative performance measures

We are required to define any alternative performance measures

used and to explain why they are useful or more meaningful to

describe the performance during the period and to reconcile

them to the closest UK-adopted International Accounting

Standards measures.

 Discussed the alternative performance measures

included within the Annual Report

 Concluded that the alternative performance measures

provided a fair representation of business performance

and position, and that adequate disclosure was included

to reconcile them to the closest UK-adopted International

Accounting Standards measures

Audit Committee Report continued

Main activities during the financial year

Corporate reporting

In relation to corporate and financial reporting, the primary responsibility of the Committee is to work with management and the External Auditor to review the appropriateness of the half-year and

full-year Financial Statements. During the year, the Committee:

 Assessed the quality and acceptability of accounting policies and practices used by management and concluded that they were appropriate

 Concluded that disclosures were clear and compliant with financial reporting standards and relevant financial and reporting requirements

 Considered material areas in which significant estimates have been applied or discussed with the External Auditor. The details of the primary areas of significant estimates and disclosure in

relation to the Financial Statements for FY24 are set out on page 123

 Reviewed announcements and Financial Statements for full and half-year results and recommended them to the Board

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Committee Activity Outcome

Risk management and internal control

The Committee is required to assist

the Board in the annual review of the

effectiveness of our Risk Management

Framework and internal control systems.

 Received a report from the Chief Risk Officer and the Board Risk Committee on the

overall effectiveness of the risk management and internal control framework,

including an assessment of risks that might threaten our business model, future

performance, solvency or liquidity

 Received an update on the control environment in respect of Corporate Actions and

Privileged Access Management, where the Committee noted the significant

improvement that had been made in recent years

 Reviewed the associated disclosures within the Accountability section of the

Governance Report in this Annual Report

 Agreed to recommend to the Board the Annual Report

statements relating to the effectiveness of the risk

management and internal control framework

Audit Committee Report continued

Committee Activity Outcome

Tax provisions

Calculating the Group’s corporation tax charge involves a degree

of estimation and judgement, as the tax treatment of certain items

cannot be finally determined until resolution has been reached

with the relevant tax authority. Where appropriate, we hold tax

provisions in respect of the potential tax liability that may arise on

these unresolved items. We have generated tax losses in certain

jurisdictions where we operate, and we’ve recognised deferred tax

assets in respect of these losses to the extent that future profits

have been forecast.

 Reviewed a report from management that detailed the

assumptions made in calculating the Group’s

corporation tax charge and provisions. Our External

Auditor also provided commentary to the Committee

on this

 Reviewed our Group Tax Risk Management Policy, Tax

Strategy and Tax Governance Framework

 Concluded that the corporation tax charge and provisions

recorded were appropriate and complete

 Recommended the Group Tax Risk Management Policy

and Tax Strategy for Board approval

 Approved the Tax Governance Framework

Fair, balanced and understandable

The Board is required to provide its opinion on whether it considers

that the FY24 Annual Report, taken as a whole, is fair, balanced

and understandable, and provide the information necessary for

shareholders to assess the Company’s position and performance,

business model and strategy.

 Reported on the preparation of the FY24 Annual Report

with the Board, having assessed the quality of reporting

through discussion with management and the External

Auditor

 Advised the Board that the Company’s FY24 Annual

Report is fair, balanced and understandable, following its

review

Control environment

Other matters addressed by the Committee included focus on the effectiveness of our control environment and performance of our IT systems. The Committee also considered Internal Audit,

including the objectivity and independence of Internal Audit personnel. Our main activities are summarised below:

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Audit Committee Report continued

Committee Activity Outcome

Internal Audit

The Committee is required to oversee

the performance, resourcing and

effectiveness of the Internal Audit

function.

 Monitored the effectiveness of our Internal Audit function in the overall context

of our risk management and internal control framework

 Reviewed the risk-based Internal Audit plan

 Monitored management’s responsiveness to Internal Audit findings

 Reviewed Internal Audit reports and themes arising from them

 Reviewed the performance of the Internal Audit function against the plan

 Reviewed the Internal Audit Charter

 Reviewed the Internal Audit Scorecard to feed into the FY24 variable remuneration

for individuals in the function

 Reviewed the outcome of the External Quality Assessment on the Internal

Audit function

 Approved the risk-based audit plan

 Concluded that the Internal Audit function supports

the work of the Committee and remains effective,

efficient and robust, with appropriate processes

 Considered the function to have sufficient resources

to deliver its proposed audit plan

 Approved the Internal Audit Charter

 Recommended the Internal Audit Scorecard to the

Remuneration Committee, which will feed into the

FY24 variable remuneration for the Internal Audit

function

Client money and assets

The Committee has a responsibility for

overseeing our systems and controls

relating to the holding and management

of client money and assets.

 Monitored the effectiveness of the control environment relating to client money and

assets through periodic reporting from management and the Client Money and

Assets Committee

 Considered the report from the External Auditor on the client money control

environment and operations

 Reviewed the control environment at Group and entity

levels; and concluded that the control environment

remained effective

Whistleblowing

The Committee considers the adequacy

of our arrangements by which employees

may in confidence raise concerns about

improprieties in matters of financial

reporting or other matters.

 Received periodic reporting from management on the Group’s whistleblowing

arrangements, including Group and local policies and employee training

 Reviewed the proposed updates to the Group Whistleblowing Policy, which included

the onboarding of a provider to enable whistleblowing reports to be made via an

anonymous external reporting line

 Concluded that whistleblowing processes were

operating effectively during the period under review

and that the Whistleblowing Policy remained fit for

purpose

 Reviewed and recommended the revised

Whistleblowing Policy for Board approval

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Committee Activity Outcome

Oversight of External Auditor

The Committee is required to oversee the work and

performance of PwC as External Auditor, including the

maintenance of audit quality during the period.

 Met with the key members of the PwC audit team to

discuss the FY24 audit plan and areas of focus

 Assessed regular reports from PwC on the progress of the

FY24 audit and any material issues identified

 Debated the draft audit opinion ahead of the FY24

year-end. The Committee was also briefed by PwC on

critical accounting estimates, where significant judgement

was needed

 Approved the audit plan and the main areas of focus,

including the potential risk of management override of

controls and the assessment of the recoverable amount of

the US CGU

 More information on the Committee’s role in assessing

External Auditor performance, effectiveness and

independence can be found on page 79

Audit and audit-related fees

Audit-related fees include those related to the statutory audit

of the Group and its subsidiaries, as well as audits required due

to the regulated nature of our business. Also included are fees

associated with testing of controls relating to our processes

and controls over client money and asset segregation.

 Reviewed and approved a recommendation from

management on the Company’s audit and audit-related

fees during the year

 Concluded that the FY24 audit and audit-related fees are

appropriate. A breakdown of audit and non-audit related fees

is in note 5 to the Financial Statements on page 134

Non-audit services and fees

To prevent the objectivity and independence of the External

Auditor from becoming compromised, the Committee has a

formal policy governing the engagement of the External

Auditor to provide non-audit services. The policy is reviewed

on an annual basis. The Committee reviewed our policy

governing non-audit work against details of regulations on

the statutory audit of public interest entities.

 Reviewed all arrangements for non-audit fees. Fees in

relation to permitted services below £0.05 million are

deemed pre-approved by the Committee and are subject

to the approval of the CFO. Fees above £0.05 million

must be approved by the Committee, through the

Committee Chair

 Received an explanation from PwC of its own in-house

independence process

 Received confirmation from management that there were

no exceptions to fee limits and approval processes, per the

policy, during the year

 Approved arrangements for non-audit fees. During the year,

non-audit fees of £0.2 million were paid to PwC, as discussed

in note 5 to the Financial Statements

External Auditor

Our main activities are summarised below:

Audit Committee Report continued

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

External Auditor effectiveness

In assessing the effectiveness and

independence of the External Auditor, the

Committee considered relevant professional

and regulatory requirements, including

the FRC’s Minimum Standard for Audit

Committees and the External Audit, and

the relationship with the External Auditor

as a whole. The Committee monitored

the External Auditor’s compliance with

relevant regulatory, ethical and professional

guidance on the rotation of partners,

and assessed its qualifications, expertise,

resources, and quality of people and

service provided, including a report from

the External Auditor on its own internal

quality procedures and independence.

As part of the assessment, a questionnaire

was completed by key stakeholders. The

questionnaire addressed matters including

the External Auditor’s independence,

objectivity, the quality of planning and

execution of the audit, insights and

added value and general support and

communication to the Committee and

management. The results were analysed, and

a report was presented to the Committee.

The Committee assessed the robustness of

the audit process, specifically how the auditor

challenged management’s key assumptions

and demonstrated professional scepticism,

through discussion with the audit partner,

by reviewing PwC’s findings on areas which

required management judgement and in

considering the quality and depth of the

auditor’s observations and challenge.

An example of the External Auditor

demonstrating appropriate professional

scepticism and challenge of management’s

assumption was in relation to the review

of management’s value-in-use impairment

model for the US GCU. The review included

an assessment of the reasonableness of the

discount rate, long-term growth rate and

assumptions of future cash flows by the

External Auditor’s in-house valuation experts.

External Auditor reappointment

The Committee is responsible for making

recommendations on the appointment,

reappointment and removal of the External

Auditor, and for assessing and agreeing the

audit and non-audit fees payable to them.

External audit services were last tendered

in FY20, where PwC was reappointed. PwC

has been our External Auditor for 14 years

and will retire from the role by FY30. The

FY24 audit was led by Carl Sizer. Under

the partner rotation rules set out in the

applicable ethical standards, his final year

as partner will be FY25, after five years of

service. The Company has complied with the

provisions of the Competition and Markets

Authority’s Statutory Audit Services for Large

Companies Market Investigation (Mandatory

Use of Competitive Tender Processes and

Audit Committee Responsibilities) Order

2014 for the financial year under review.

Following our assessment of the

effectiveness of the External Auditor,

the external audit process and their

independence and objectivity, the Committee

recommends that the Board propose the

reappointment of PwC for shareholder

approval at the Company’s 2024 AGM.

There are no contractual obligations

restricting choice of External Auditor.

Committee evaluation

An evaluation of Committee performance

was undertaken this year in line with the

Committee’s Terms of Reference. You

can find details of the Board Performance

Review process, outcome and the actions

on pages 66-67. On the Committee-

specific questions, the review found that

the Committee had the right combination

of skills, experience and knowledge. Its

reporting to the Board was found to be

effective and it performed, and was chaired,

effectively during the year. Scores were

high, and there were no Committee-specific

actions from the review as a result.

Andrew Didham

Chair of the Audit Committee

24 July 2024

Priorities for the year ahead

 Monitoring management’s response

to upcoming changes to reporting on

internal controls, including via the

2024 UK Corporate Governance

Code

 Reviewing external Sustainability

related disclosures

 Focus on accounting matters relating

to material subsidiaries as well as

Group

Audit Committee Report continued

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Board Risk Committee Report

Jonathan Moulds

Chair of the Board Risk Committee

Committee overview

Key stats

Tenure Gender

0 – 3 years 20% Female 40%

4 – 6 years 80%

Male 60%

7+ years 0%

Meetings and membership

Meetings

attended

Jonathan Moulds (Chair) 6/6

Andrew Didham 6/6

Wu Gang 6/6

Sally-Ann Hibberd 6/6

Susan Skerritt 6/6

 Five independent Non-Executive Directors

currently comprise our Board Risk

Committee (the Committee). Their

biographies can be found on pages 47-50

 The Board Risk Committee met six times

during the year, including a joint meeting

with the Audit Committee in September

2024. You can find full details of attendance

at Committee meetings on the table on

page 53

 The Board Chair, CEO, CFO, Chief Risk

Officer (CRO), Chief Compliance Officer

(CCO) and the Global Head of Internal Audit

are standing attendees at meetings

I am pleased to present the

report of the Board Risk

Committee for the financial

year ended 31 May 2024, to

share with you our activities

during the year and how we

have discharged our

responsibilities.

Chair’s overview

Our Committee continues to work

proactively and constructively with the

Risk and Compliance team, and hold

them to account to ensure we uphold the

highest standards for our clients and our

business. We remain focused on the key

current and emerging risks faced by our

business, including cyber risk, and this is

reflected in our Committee agenda.

As a Committee, we have seen that the

business continues to demonstrate sound

risk management and internal control and we

have no material concerns to report. We have

seen limited manifestation of risk, although

we continue to be alert to developments.

Management’s risk reporting is aligned to the

key risks facing the business through the Risk

Taxonomy and Key Risk Indicators which are

set in the Board-approved Risk Management

Framework and the Risk Appetite Statement,

both of which we review and recommend

to the Board at least annually. Our last such

review was conducted in May 2024. There is

more information on our Risk Management

Framework in the Risk section on page 36.

We continue to closely monitor and inform

our risk and compliance oversight to changes

in the regulatory landscape, not only in

the UK but globally. For example, we have

spent some time as a Committee discussing

the tastytrade business in the US, which

has seen heightened regulatory scrutiny

on a sector-wide basis this year. We have

challenged management to apply a more

global lens to risk and compliance reporting

to reflect the increasingly global shape and

nature of our business. Management has

responded well and much of our Group-wide

reporting and documentation have evolved

in this respect over the course of FY24.

FY24 key focus areas

 Outcome of the FCA’s Supervisory

Review and Evaluation Process (SREP)

on our inaugural Internal Capital

Adequacy and Risk Assessment

(ICARA)

 Consumer Duty implications in the UK

 Further integration and alignment of

the tastytrade business into Group

risk and compliance management

and reporting

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Board Risk Committee Report continued

We continue to be pleased with how

management has prepared the ICARA

and the Wind-Down Plan. The outcome

of the FCA’s SREP on our inaugural ICARA

was highly favourable, culminating in

a significant reduction of the Group’s

regulatory capital requirements. I commend

the team’s hard work in achieving such

an excellent outcome for the Group.

We are also pleased with how the FCA’s

Consumer Duty regulation has been

integrated into periodic reporting, with

regular reports and dashboards now

incorporating Consumer Duty focus

and metrics, which fed into the first

annual Consumer Duty client outcomes

report we reviewed in July 2024.

As for new areas of focus, we reported

last year that this included climate risks

for FY24. We received a report on climate

risks during the year and will continue to do

so on an ongoing basis. We also received

reporting on the potential opportunities

of Artificial Intelligence (AI) from a risk

perspective this year and will continue

to monitor management’s response to

developments. In term of specific projects

of interest from a risk perspective, we

reviewed and monitored the Data Centre

Migration to ensure sufficient mitigation

was in place for any associated risks.

We continued to receive third-line reporting

and assurance from Internal Audit focused

on the state of the Risk Management

Framework and are pleased to report

continued improvements as it becomes

embedded further. Management has

developed an Assurance Map to capture

assurance activity across the three lines

and we will continue to monitor this in

conjunction with the Audit Committee.

As with last year, we held a joint meeting with

the Audit Committee to review and discuss

matters common to both Committees.

Together, we reviewed the financial, capital

and liquidity projections for the ICARA

and received updates on Risk Acceptance

from the Risk team and on Privileged

Access Management and the Data Centre

Migration from the Technology function.

As part of the executive changes this year,

there was a change of CRO during the year.

We considered the proposed change as an

independent Committee and concluded that

the change proposed by management would

not compromise the independence or the

performance of the Risk function. I would

like to wish Joe McCaughran all the best

for his future endeavours and look forward

continuing our constructive relationship

with Sarah Gore Langton in her new role.

As we look forward to FY25, we, as a

Committee, will continue to constructively

challenge management and hold them

to account on the robustness of our

risk management and internal controls

framework, and their ability to remain fit

for purpose and continue to keep pace

with the strategic ambitions of the Group.

Role of the Board Risk Committee

The Committee’s principal responsibilities

are to:

 Provide oversight and advice to the Board in

relation to current and potential future risk

exposures and future risk strategy including

how we determine our risk appetite and

tolerance, and how we consider the current

and prospective macroeconomic and

financial environment

 Review the design and implementation of

risk management policy and measurement

strategies

 Conduct a risk assessment of any proposed

strategic transaction, focusing on

implications for the risk appetite and risk

tolerance of the Group, taking independent

external advice where appropriate

 Consider and regularly review our risk

profile relative to current and future

strategy and risk appetite, identifying any

risk trends, material regulatory changes,

concentrations or exposures, and any

requirement for policy change

 Carry out a robust assessment of our

emerging and principal risks

 Review the ICARA and Wind-Down Plan and

recommend them to the Board

 Monitor effectiveness of the financial crime

framework and receive an annual report

from the Money Laundering Reporting

Officer on the operation and effectiveness

of IG’s Anti-Money Laundering and

Countering Terrorist Financing controls

 Oversee management’s implementation of

the FCA’s Consumer Duty regulation

 Periodically review the design of the

Group’s corporate insurance cover against

current and future risks and review the

insurance renewal terms to recommend to

the Board

 Provide advice to the Remuneration

Committee on the alignment of the

Remuneration Policy to risk appetite and

annually review remuneration-related risks

 Recommend the targets and outcomes for

discretionary remuneration for Risk and

Compliance functions

 Monitor the adequacy and effectiveness of

resources within Risk and Compliance

functions

The Terms of Reference of the Committee

were last reviewed in May 2024 and are

available on our website.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Board Risk Committee Report continued

Main activities during the financial year

Risk Management Framework (RMF), including the Risk Appetite Statement (RAS)

 Received periodic reporting from Internal Audit on their opinion on the RMF in

September 2023 and March 2024

 Reviewed and recommended updates to the RMF and RAS for Board approval in

May 2024

Current and emerging Risks

 Reviewed reporting on current and emerging risks facing the business in September

2023 and March 2024, including cyber risk

ICARA and Wind-Down Plan

 Reviewed management’s preparations for the ICARA and Wind-Down Plan in

September 2023

 Recommended the ICARA and Wind-Down Plan for Board approval in December 2023

 Received confirmation in March 2024 that the ICARA and the Wind-Down Plan for the

Group were not materially impacted by the revised revenue and cost figures from the

Mid-Year Forecast

Operational risk

 Received an annual Risk Acceptance Update in September 2023

 Reviewed periodic updates on Operational Risk in December 2023 and May 2024, which

included an analysis of operational risk and events data to identify high risk areas within

the Group

 Considered management’s annual Operational Risk Framework Review in December

2023, which incorporated external benchmarking data

Other Risk matters

 Received quarterly updates from management on Conduct Risk matters, particularly in

relation to the Premium Client Management team

 Considered updates on the Data Centre Migration in September 2023 and March 2024

 Recommended the change of CRO proposed by Management for Board approval in

March 2024, having satisfied itself that it would not compromise the independence or

the performance of the Risk function

 Reviewed the annual report on Remuneration Risks in May 2024

 Received a report from the CRO on Risk and Compliance resourcing in May 2024

 Received updates on credit risk mitigation, user-developed applications and Risk

transformation using AI during the year

Remuneration matters

 Recommended the discretionary remuneration targets and outturns for the Risk and

Compliance functions to the Remuneration Committee in July 2023 and May 2024

respectively

 Reviewed the annual report on Remuneration Risks in May 2024

Effectiveness of Risk Management and Internal Control Framework

 Recommended the CRO’s annual assessment of the effectiveness of the Risk Management

and Internal Control Framework to the Audit Committee and the Board in May 2024

Consumer Duty

 Monitored management’s implementation of the FCA’s Consumer Duty regulation, which

came into effect on 31 July 2023

Financial crime

 Received a Financial Crime update and a Market Abuse Deep-Dive in December 2023

 Recommended the MLRO Report for the 2023 calendar year to the Board in March 2024

Product governance

 Reviewed Compliance’s annual Product Governance Update in December 2023, which

included new Consumer Duty MI

 Received a report on customer performance in non-UK jurisdictions in May 2024, which

focussed on US Options

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Priorities for the year ahead

 Further evolution of the Risk and

Compliance frameworks and

reporting to accommodate and

highlight any divergence across

global businesses in support of the

diversification strategy and divisional

model

 Continued oversight of operational

and technology risk management

through internal and regulatory

change

 Ongoing oversight of the risks and

opportunities associated with AI

technology in conjunction with the

full Board, as the Company continues

to consider and implement AI tools

Other Compliance matters

 Reviewed the annual assessment of material breaches in December 2023

 Received a global regulatory update covering the UK, US and the rest of the world in

March 2024, in addition to updates as they arose during the year

 Received a Transaction Reporting Update in March 2024

 Received a Conflicts Management Review in May 2024

 Recommended the FY25 Compliance Monitoring Programme to UK regulated entity

Boards in May 2024

 Received reports on current and emerging dispute risks and themes, and the FCA’s ‘Dear

CEO’ Letter to Stockbrokers during the year

 Received a deep-dive presentation on the regulatory risks and controls related to

marketing partnerships with content producers in the UK, US, and the rest of the world

in March 2024

Operational resilience

 Received reporting on management’s response to the FCA’s Operational Resilience

Policy in the UK and preparations for the Digital Operational Resilience Act (DORA) in

Europe in September 2023 and March 2024

Culture

 Reviewed management’s Culture Dashboard in September 2023 and March 2024, in

order to monitor management’s progress against its targets.

Insurance

 Reviewed the adequacy of our Global Insurance Programme and recommended the

annual renewal proposal for Board approval in March 2024

Committee evaluation

An evaluation of Committee performance

was undertaken this year in line with the

Committee’s Terms of Reference. You

can find details of the Board Performance

Review process, outcome and the actions

on pages 66-67. On the Committee-

specific questions, the review found that

the Committee had the right combination

of skills, experience and knowledge. Its

reporting to the Board was found to be

effective and it performed, and was chaired,

effectively during the year. Scores were

high, and there were no Committee-specific

actions from the review as a result.

Jonathan Moulds

Chair of the Board Risk Committee

24 July 2024

Board Risk Committee Report continued

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Remuneration Committee

Helen Stevenson

Chair of the Remuneration Committee

Committee overview

Key stats

Tenure Gender

0 – 3 years 0% Female 40%

4 – 6 years 100%

Male 60%

7+ years 0%

Meetings and membership

Meetings

attended

Helen Stevenson (Chair) 7/7

Andrew Didham 7/7

Jonathan Moulds 7/7

Mike McTighe 7/7

Sally-Ann Hibberd 7/7

I am pleased to

present the Directors’

Remuneration Report for

the year to 31 May 2024.

This report includes a

summary of our Directors’

Remuneration Policy,

details of remuneration

arrangements in respect

of the year to 31 May 2024

and a summary of how

we intend to apply the

Policy during the year to

31 May 2025.

Chair’s overview

I would like to thank shareholders for their

support of the new Directors’ Remuneration

Policy with a 97.4% vote in favour at the

2023 AGM. The Committee believes the new

policy will further support the strategy to

enable growth, including in new markets, and

drive the creation of long-term, sustainable

shareholder value. The Policy will be kept

under review to ensure it remains appropriate.

IG has made reasonable progress in terms of

performance in softer market conditions this

financial year, delivering robust revenues in

markets with significantly reduced volatility.

Costs have been managed well in this more

challenging business environment with FY24

seeing a small increase in operating costs

of 3.5% compared to FY23. Despite market

conditions, the Group continues to make

progress on the Company’s strategy to grow

through both existing and new products

and geographies, with tastytrade achieving

strong revenue growth of 23% and record

revenues of $251.8m (£200.6m). While there

has been slower progress than planned in

some other areas of diversification, such as

Japan, the Group has continued to maintain

its strong client base of active traders.

Ensuring that the Group is set up for success

has been an important focus in FY24. A

Company-wide operational improvement

programme was launched in October

2023 which should result in annual cost

savings of £50m by FY26. The strength

and quality of our Risk Management

Framework and controls meant we were

able to reduce our regulatory capital

requirements by 40%. By the end of May,

we had bought back c.£220m of shares,

largely completing the £250m share buyback

programme announced in July 2023.

FY24 key focus areas

 Finalisation of the new Directors’

Remuneration Policy approved by

shareholders at the 2023 AGM

 Remuneration arrangements for the

new CEO and leaver terms for

departing executives

 Implementation of a new employee

share plan to give all employees the

opportunity to be shareholders in the

business

 Consideration of leaver arrangements

in light of senior management

changes and cost efficiency

measures implemented during FY24

 Five independent Non-Executive Directors

comprise our Remuneration Committee

(the Committee). Their biographies can be

found on pages 47-50

 The Remuneration Committee met seven

times during the year, including an ad hoc

meeting to discuss the Directors’

Remuneration Policy. You can find full

attendance details on page 53

 The Board Chair is a member of the

Committee and the CEO attends meetings

by invitation. The Chief People Officer

(CPO), Head of Reward, and representatives

from other areas of the business, including

Risk and Compliance, are also invited to

attend as appropriate. Individuals do not

attend or take part in discussions related to

their own remuneration. Deloitte is an

independent adviser to the Committee and

also attends meetings by invitation

Strategic Repot Governance Repot Financial Statements

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Company Information

IG Group Holdings plc

Annual Report 2024

Remuneration Committee continued

Breon Corcoran was appointed CEO on

29 January 2024 and brings extensive

experience in both leading multinational

fintech companies and delivering growth. He

was CEO of payments company WorldRemit

until 2022 and prior to that was CEO of FTSE

100 company Paddy Power Betfair. Breon’s

salary was set at £800,000 on appointment

and will not be increased for FY25. The

Committee recognises that this represents a

significant increase versus his predecessor,

however, views this salary as appropriate

given Breon’s skills, experience and track

record of driving performance and delivering

long-term shareholder value. The Committee

noted that the base salary offered at IG

was broadly consistent with his salaries in

previous roles. His base salary is positioned

within the market competitive range for other

companies of a similar size and complexity

and for other companies in the financial

services sector where the Group competes

for talent and the Committee considered the

positioning appropriate taking into account

his skills and experience. Breon’s pension and

benefits allowance is 12% of salary in line with

arrangements for other employees in the UK.

Breon will be eligible for an SPP award of

up to 500% of base salary per annum. For

FY24, Breon will receive a reduced SPP

award reflecting that he joined mid-way

through the financial year. With Breon joining

the Group at the end of January this year it

was agreed that for FY24 his annual award

component would be based solely on the

non-financial performance metric. This award

had a maximum value of 100% of base salary.

Breon was also granted a Long-Term SPP

component with a maximum value of 150% of

base salary, on the basis that this component

measures the longer-term growth of the

Group, based on the Company’s TSR over the

period 1 June 2023 to 31 May 2026. There

were no buyouts of awards from previous

roles associated with the appointment. Full

details of Breon’s remuneration arrangements

can be found in the Annual Report on

Remuneration starting on page 101.

On 14 March 2024, we announced that Jon

Noble, COO, was stepping down from the

Board. Jon remained with the business until

14 April 2024 to support an orderly handover.

Jon continued to receive his base salary and

pension and benefits allowance until this

date, following which he receives a payment

in lieu of his remaining notice period. Jon will

be treated as a good leaver for the purpose

of the SPP. He remains eligible to receive

a pro-rated SPP annual award component

for FY24. Full details of Jon’s leaving

arrangements can be found on page 102.

We also announced on 14 March that Charlie

Rozes, CFO, would be stepping down from

the Board on 31 July 2024. Charlie receives

his base salary, his pension and benefits

allowance until this date and then will receive

a payment in lieu of his remaining notice

period. Charlie will be treated as a good leaver

for the purpose of the SPP. He remains eligible

to receive an SPP annual award component

for FY24 as well as pro-rated FY25 SPP annual

and long-term award components. Full details

of Charlie’s leaving arrangements can be

found on page 102.

Incentive outcomes for FY24

The SPP for FY24 operated in line with the

updated Directors’ Remuneration Policy

approved at the September 2023 AGM.

Changes were made to the Policy to better

incentivise and reward the longer-term

delivery of the Group strategy, including

growth in new markets. The key changes

made were to increase the weighting on

relative total shareholder return, along with

measuring this on a forward-looking basis and

introducing a metric specifically related to

revenue diversification.

The table below shows the changes made to

the SPP between FY23 and FY24 and the

weighting of the relative metrics. The TSR

metric for FY24 SPP was measured in two

ways as part of the transition to the new Policy

which will be fully implemented in FY25. 15%

of the award was measured in line with the

Company’s legacy approach over the period

1 June 2021 to 31 May 2024. As a result, for

FY24, the annual award component of the

SPP comprised 85% of the total SPP award.

The remaining 15% of the FY24 SPP award

was granted in the form of long-term awards

based on TSR performance measured over

the period 1 June 2023 to 31 May 2026.

Adjusted EPS performance for FY24 was 90.3

pence, which was between threshold and

target and therefore x18.4% of this portion of

the Annual Award will payout.

The Group welcomed Breon Corcoran

as CEO in January this year following a

comprehensive search by the Board after

June Felix stepped down in August last year.

Breon has extensive experience leading

multinational fintech companies and

delivering value to shareholders through

growth. Breon has had a significant impact on

the business since joining, driving operational

change with a focus on accelerating the

delivery of our strategic initiatives.

Board changes

A number of Board changes were announced

in FY24, the most significant being that June

Felix stepped down as CEO on 29 August

2023 following a period of medical leave. To

support an orderly handover, June remained

as an employee until 29 September and

continued to receive base salary and her

pension and benefits allowance during that

time. Following that, she received a payment

in lieu of her remaining notice period. June

was treated as a good leaver for the purpose

of the SPP and remained eligible to receive

a pro-rated annual award component

for FY24. Full details of her leaving

arrangements can be found on page 102.

Charlie Rozes was Acting CEO from 3 July

2023 until 28 January 2024, from the start of

June’s medical leave until the arrival of Breon.

During this period Charlie received an

acting-up allowance to reflect the additional

responsibilities of the CEO role (in addition to

his role as CFO). The acting up allowance was

£130,000 per annum taking his total salary for

this period to in-line with the salary paid to

June Felix. The annual award component of

the FY24 SPP award was based on Charlie’s

blended salary for the year, with his SPP

opportunity remaining at 400% of salary.

Annual performance component (weighting)

Long-term component

(weighting)

FY23 SPP EPS (55%) Non-financial

performance

(20%)

TSR (25%) measured

at the end of year for

period FY20 to FY23

FY24 SPP EPS (30%) Non-financial

performance

(20%)

TSR (15%) measured

at the end of year for

period FY21 to FY24

Revenue

diversification

(20%)

TSR (15%)

measured at the

end of third year

for period FY24

to FY26

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IG Group Holdings plc

Annual Report 2024

Remuneration Committee continued

Non-financial performance during the

year was measured and assessed against

agreed targets that comprise measurable

performance of strategic projects, initiatives

that drive our longer-term diversification

and strategic direction, the development

and conduct of our people, client-focused

initiatives, and key ESG measures. We

have seen good improvements in brand

awareness in the US and Germany over

FY24, helping to underpin the continued

strategic diversification of the Group. The

Group has also been focused on reducing

the average time taken by clients from

application to activation, delivering a 19%

reduction in the average over the year.

Overall, the Committee is of the view of

the non-financial performance over the

year has been excellent and positions

the Group strongly for future strategic

progress, profit growth and shareholder

value creation. After careful assessment

of measurable outcomes, the Committee

judged that the outcome of the non-financial

performance metric was 92% of maximum.

As noted above, for the FY24 SPP award

TSR was measured in two ways as part

of the transition to the new Policy. 15%

of the award was measured in line with

the Company’s legacy approach over the

period 1 June 2021 to 31 May 2024. TSR

for the Group over this period was between

median and upper quartile compared to the

FTSE 250 (excluding investment trusts) and

therefore 54.2% of this portion of the Annual

Award will payout. Revenue diversification

for FY24 was measured based on: IG’s

US business (all products), IG’s Japanese

business (all products) and all other non-OTC

revenue streams in all other geographies.

As progress on Japan and Spectrum was

behind expectations for FY24, threshold

performance was not achieved for FY24.

Based on the above, the outcome of the

SPP award for FY24 was calculated at 32%

for the annual award. This award will be

granted following the announcement of

results for the year and will be delivered

35% in cash at that point, 24% in share

options released in July 2027, and 41% in

share options released in July 2028.

The remaining 15% of the FY24 SPP award

was granted in the form of long-term awards

based on TSR performance measured over

the period 1 June 2023 to 31 May 2026 (the

outturn for this will be disclosed in the 2026

Directors’ Remuneration Report).

The Committee considered that these

outcomes are reflective of overall business

and individual performance over the period

and no discretion has been applied to the

formulaic outcome.

Wider workforce remuneration

When making its decisions, the Committee

takes wider colleague pay into consideration

and ensures it is kept updated through the

year on general employment conditions. This

includes budgets for basic salary increases,

the level of bonus pools and payouts and

participation in share plans. In particular,

the Committee was pleased to support

the implementation of the Global Share

Purchase Plan (GSPP, an all-employee share

plan) which was approved by shareholders

at the 2023 AGM. In conjunction with

the existing employee share plans, this

new plan which is being launched at the

start of FY25 will ensure all employees

across the Group have an opportunity to

become shareholders in the Company.

IG has a People Forum which is attended

by one of the Board as well as employee

representatives from across the business.

The Forum discusses pay as well as

other employee matters. Remuneration

discussions include talking through the

Group’s benefit provisions across locations,

updates and insights on the implementation

of the GSPP, and the approach to the

Company-wide operational improvement

programme and its impact on employees.

Implementation for FY25

The CEO’s base salary was set at £800,000

on appointment and will be unchanged

for FY25. There will be no increase for the

CFO given he is due to leave the business.

The maximum SPP opportunities for

FY25 remain unchanged at 500% of base

salary for the CEO and 400% of base

salary for other Executive Directors.

The annual award component for FY25

will comprise 70% of the overall value

and will be based on the achievement of

EPS (40%), revenue diversification (10%)

and non-financial (20%) performance for

FY25. The performance measures have

been slightly re-weighted with revenue

diversification reduced from 20% to 10%

and with EPS being increased from 30%

to 40% to enhance the overall focus on

the delivery of bottom line profitability.

The long-term award component for FY25

will comprise 30% of the overall value and will

be based on relative TSR performance over

the period from 1 May 2024 to 31 May 2027.

Advice to the Committee

During FY24, the Committee consulted the

CEO about remuneration matters relating to

individuals other than himself. The CPO, Head

of Reward, and Committee Secretary also

provide advice and support to the Chair and

the Committee as needed.

External advisers attend Committee meetings

at the invitation of the Committee Chair.

The Remuneration Committee appointed

Deloitte LLP (Deloitte) as advisers to the

Committee in April 2019, following a

competitive tender process. Deloitte’s

fees for advice provided to the Committee

during the financial year ended 31 May

2024 were £131,200 (excluding VAT). Fees

are charged on a time and materials basis.

Deloitte are founding members of the

Remuneration Consulting Group and are

signatories to its Code of Conduct, which

requires its advice to be objective and

impartial. During the year, Deloitte also

provided unrelated advisory services in

respect of regulatory, risk management and

tax advice, Internal Audit services, agreed-

upon procedures-based assurance services

and Financial Reporting and Controls advice.

It is the Committee’s view that the Deloitte

engagement team who provided remuneration

advice to the Committee during the year do not

have any connections with the Group or its

Directors that might impair their independence.

The Committee reviewed the potential for

conflicts of interest and judged that there

were appropriate safeguards in place. The

Committee believes it has an appropriate level

of access to the advisers and is confident that

the advice received is independent,

straightforward, relevant and appropriate.

Committee evaluation

An evaluation of Committee performance

was undertaken this year in line with the

Committee’s Terms of Reference. Details

of the Board Performance Review process,

outcome and the actions can be found

on pages 66-67. On the Committee-

specific questions, the review found that

the Committee had the right combination

of skills, experience and knowledge. Its

reporting to the Board was found to be

effective and it performed, and was chaired,

effectively during the year. Scores were

high, and there were no Committee-specific

actions from the review as a result.

Conclusion

The Committee is satisfied that our outcomes

for FY24 are aligned with the interests of

shareholders, that they reflect our good

performance in softer market conditions over

this year and that the Policy has operated as

intended. I look forward to receiving your

support for the Directors’ Remuneration

Report at the AGM on 18 September 2024.

Strategic Repot Governance Repot Financial Statements

Shareholder and

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IG Group Holdings plc

Annual Report 2024

Role of the Committee

The Committee’s principal responsibilities

are to:

 Make recommendations to the Board on

our Senior Executive Remuneration Policy

 Determine an overall remuneration package

for the Executive Directors in order to

attract and retain high-quality Directors

capable of achieving our objectives

 Set and agree with the Board a competitive

and transparent remuneration framework

which is aligned to our strategy and is in the

interests of both the Company and its

shareholders

 Determine the contractual terms,

remuneration and other benefits for the

Executive Directors, Chair and senior

management – including the Company

Secretary

 Determine and review our Remuneration

Policy, ensuring it is consistent with

effective risk management, and consider

the implications of this Remuneration Policy

for risk and risk management

 Determine and agree the policy for the

remuneration of the Company Chair and

the Executive Directors

 Review pay, benefits and employment

conditions and the remuneration trends

 Approve the structure of share-based

awards under our employee incentive

schemes, to determine each year whether

awards will be made and, if awards are

made, to monitor their operation, the size

of such awards and the performance

targets to be used

 Ensure that contractual terms on

termination, and any payments made, are

fair to the individual and the Group, that

failure is not rewarded and that the duty to

mitigate loss is fully recognised

 Receive and review reports annually directly

from the risk management function on the

implications of our Remuneration Policy for

risk and risk management

 Monitor relevant regulatory developments,

including those affecting UK-listed

companies and financial services firms, to

ensure the Company’s Remuneration Policy

and its operation are consistent with these

 Establish the selection criteria and appoint

remuneration consultants who advise the

Committee

 The Terms of Reference of the Committee

were last reviewed in May 2024 and are

available on our website

Main activities during the financial year

During the year, the Committee’s key activities

included:

 Finalising the Directors’ Remuneration

Policy to ensure it better supports the

Company strategy, receiving feedback

from investors, and incorporating

stakeholder views into the Policy that was

put to shareholders for approval at the

2023 AGM

 Reviewing the Directors’ Remuneration

Report published in the FY23 Annual

Report and Accounts

 Reviewing the fee for the Company Chair

and Executive Directors’ remuneration for

FY25

 Reviewing performance against targets for

the FY23 Sustained Performance Plan (SPP)

award and the determination of the bonus

pool

 Reviewing the remuneration and bonus

awards, including for senior management

 Reviewing the proposed targets for the

FY24 SPP, including agreeing the non-

financial metrics

 Agreeing remuneration arrangements for

the new CEO and leaver terms for departing

executives

 Reviewing remuneration-related risks,

remuneration of Material Risk Takers and

gender pay gap reporting

 Reviewing developments in market practice

and corporate governance relating to

remuneration

 Reviewing the Company’s Share Plans

Helen Stevenson

Chair of the Remuneration Committee

24 July 2024

Remuneration Committee continued

Priorities for the year ahead

 Continue to Keep the Directors’

Remuneration Policy under review to

ensure that it continues to support

the business strategy as it evolves

with the creation of long-term

shareholder value

 Determine remuneration

arrangements for the new CFO

 Continue to monitor workforce pay,

taking into account market and

socioeconomic conditions

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Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Remuneration at a Glance

Remuneration in FY24

IG has made reasonable progress in terms of

performance in softer market conditions this financial

year, delivering robust revenues in markets with

significantly reduced volatility. More challenging

performance has been reflected in pay outcomes.

The table below shows a summary of the performance measures used and outcome under

the FY24 SPP award, The Group’s sole incentive scheme for our Executive Directors.

Following the review of the Policy which was approved at the 2023 AGM on 20 September

2023, SPP awards are made up of 2 components – the annual award and the long-term award.

Normally the annual award and long-term awards will comprise 70% and 30% of the overall

opportunity respectively. As detailed in the Policy, for FY24 a transitionary approach was

adopted with the annual and long-term awards representing 85% and 15% of the overall

opportunity respectively. This approach was not applied in the case of Breon Corcoran, he

was instead granted 30% of the maximum opportunity under the long-term component.

FY24 Annual Award SPP Outcome

Metric Weighting

Threshold Maximum

Outcome

Contribution to

SPP vesting

Adjusted EPS: 0%

payout, TSR: 25%

payout 100% payout

Adjusted EPS 30% 86.76p 110.86p 18.4% 5.5%

Actual: 90.3p

TSR (trailing basis

FY21–FY24)

15% Median

ranking

Upper

quartile

ranking

54.20% 8.1%

Actual: 60

percentile

Revenue

diversification 20% £366.7m £405.3m 0.0% 0.0%

Actual:

£351.4m

Non-financial Actual:

Details of

performance are

set out on page 99

20% 92.00%

0.00%

100.00% 92.00% 18.4%

Total 85.00% 32% out of

85%

Following his appointment as CEO in January 2024, it was determined that Breon Corcoran

would receive a reduced annual award component of 100% of base salary based solely on the

non-financial performance metrics.

Long-term award

The long-term award under the FY24 SPP is based on forward-looking TSR performance

versus the FTSE 250 (excluding investment trusts) over the three-year performance period to

31 May 2026. The vesting outcome for this portion of the award will be disclosed in the 2026

Directors’ Remuneration Report.

Total | £1,086

Total |

£1,532

Breon Corcoran

Charlie Rozes

Salary Pension and benefits Other SPP

Total remuneration (£000)

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IG Group Holdings plc

Annual Report 2024

Directors’ Remuneration Report and Policy (Summary)

Summary of 2023 Directors’ Remuneration Policy

The Directors’ Remuneration Policy describes the framework, principles and structures that

guide the Remuneration Committee’s decision-making process in relation to Directors’

remuneration arrangements.

Objectives of the Remuneration Policy

The Remuneration Policy is set to ensure that remuneration is sufficiently competitive to attract

and retain senior executives of a high calibre and to provide a suitable incentive to drive

performance, while remaining appropriate in the context of our approach to pay throughout the

organisation. The Policy has been designed taking into account the principles of Provision 40 of

the UK Corporate Governance Code (the Code). The Committee believes that we meet these

principles as summarised below:

Clarity We provide open and transparent disclosures regarding our executive

remuneration arrangements. Our Remuneration Policy is designed to

recognise and reward performance that supports the execution of

our diversification strategy and helps drive sustainable shareholder

value growth.

Simplicity Our Remuneration Policy is designed to be straightforward, easy for

shareholders and employees to understand, and simple for the Group

to monitor.

Predictability Our Remuneration Policy contains details of the maximum

opportunitylevels for each component of pay. Actual incentive

outcomes vary depending on the level of the performance achieved

against specific measures.

Proportionality,

risk and alignment

to culture

We believe the Remuneration Policy is consistent with regulatory and

corporate governance requirements. It is also designed to achieve

effective risk management through the choice of performance

measures and targets, shareholding requirements and malus and

clawback provisions.

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IG Group Holdings plc

Annual Report 2024

Remuneration Policy Table

The table below summarises each element of the Remuneration Policy for the Executive Directors and provides an overview of how the Remuneration Policy will be implemented for FY25.

We have not made any changes to the Director’s Remuneration Policy that was approved at the 2023 AGM on 20 September 2023. Full details of the approved Policy are included within the

2023 Annual Report and Accounts, which can be viewed in the ‘investors’ section on our website iggroup.com. We continue to keep the Policy under review to ensure that it continues to

support the business strategy as it evolves along with the creation of long-term shareholder value.

Purpose and link to strategy Operation Opportunity Implementation for FY25

Base salary

To recruit and retain key employees of an

appropriate calibre to deliver the strategic

objectives of the Group.

Base salaries are normally reviewed by the Committee

annually, with salary increases effective from 1 June.

Base salaries are set taking into account:

 Scale, scope and responsibility of the role

 Experience of the individual and their performance

 Pay and workforce policies elsewhere in the Group

 Business performance and prevailing market

conditions

Salary levels at other companies of a similar size,

complexity, geographic spread and business focus

Whilst there is no maximum salary,

increases will normally be in line with the

typical increases awarded to other

employees in the Group.

However, increases may be above this

level in certain circumstances.

Following the appointment of the Chief

Executive Officer in January 2024, it was

agreed that there would be no change to his

salary for FY25.

No salary change is proposed for the Chief

Financial Officer.

Salaries from 1 June 2024 are therefore:

CEO – £800,000

CFO– £531,500

Pension and benefits

Competitive, cost-effective flexible

pension and benefits allowance to help

recruit and retain Executive Directors.

Executive Directors are eligible to participate in the

Company’s flexible pension and benefits plan, from

which Executive Directors can receive a range of

benefits, Company pension contribution or cash

allowance.

Executive Directors may participate in a share incentive

plan (SIP), savings-related share option scheme (SAYE)

or any other all-employee plans on the same basis as

other employees up to HMRC-approved limits.

Where appropriate, the Company may provide support

to Executive Directors in the preparation of their tax

returns.

Executive Directors shall be reimbursed for all

reasonable expenses and the Company may settle any

tax incurred.

The maximum pension and benefits

allowance for Executive Directors will be

in line with the allowance available to the

wider workforce in the UK. This rate is

currently 12% of salary.

Pension and benefits allowances for

Executive Directors for FY25 are unchanged

and are as follows:

 Chief Executive Officer – 12% of salary

 Chief Financial Officer – 12% of salary

This is in line with the rate available to the

wider workforce.

Directors’ Remuneration Report and Policy (Summary) continued

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Annual Report 2024

Directors’ Remuneration Report and Policy (Summary) continued

Purpose and link to strategy Operation Opportunity Implementation for FY25

Share Ownership policy

This aligns the interests of management

and shareholders both in- and post-

employment and promotes a long-term

approach to performance and risk

management.

Executive Directors are expected to build a holding

of shares to the value of a minimum of 200% of

base salary.

It is normally expected that the shareholding guideline

would be met within five years from the date of

appointment (unless exceptional circumstances apply).

The Committee will review progress annually, with an

expectation that Executive Directors will make progress

towards achieving the shareholding policy each year.

Following ceasing to be an Executive Director, Executive

Directors will normally be expected to maintain a

minimum shareholding of 200% of salary (or actual

shareholding if lower) for two years. This guideline

applies to shares that are released from the SPP on or

after the adoption of the Policy at the 2020 AGM. Any

shares purchased by the Executive Directors will not be

subject to the guideline.

Not applicable The current shareholdings for the Executive

Directors are:

 Chief Executive Officer – 0% of salary

 Chief Financial Officer – 481% of salary

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Purpose and link to strategy Operation Opportunity Implementation for FY25

Sustained performance plan

The SPP provides a single incentive plan

for Executive Directors

It provides a simple and competitive

incentive mechanism that encourages

and rewards both annual and sustained

long-term performance, linked to the

Company’s strategic objectives.

A significant portion of the SPP award is in

shares, encouraging Executive Directors

to build up a substantial stake in the

Company, thereby aligning the interests

of management with shareholders.

Awards under the SPP will normally comprise two

components: (1) the annual award component; (2) the

long-term award component.

Annual award component

The annual award component will normally be 70% of

the maximum award opportunity under the SPP but may

be a different proportion if determined by the

Committee.

For the annual award component, awards are normally

made after the announcement of results relating to

each ‘plan year’ (i.e. the year over which annual

performance is assessed).

The annual award component will normally pay out as

set out below:

 42.86% of the annual award component earned will

be delivered in cash shortly following the end of the

plan year. This element may be up to 30% of the

maximum SPP award

 28.57% of the annual award component amount

earned will be awarded in shares which will vest and

be released to participants following the end of the

fourth financial year that follows the start of the plan

year. This element may be up to 20% of the maximum

SPP award. A post vesting retention period of 6

months would normally be applied to comply

with regulations

 28.57% of the annual award component amount

earned will be awarded in shares which will vest

following the end of the third financial year that

follows the start of the plan year, following which it

will be subject to a two year holding period and be

released to participants following the end of the fifth

financial year that follows the start of the plan year.

This element may be up to 20% of the maximum

SPP award

The maximum plan contribution in

respect of a plan year is 500% of salary

for the CEO and 400% of salary for other

Executive Directors.

For FY25 the SPP award will be structured

as follows:

Annual award component (70% of overall

award)

 40% of the overall award on adjusted

earnings per share (EPS) performance

 10% of the overall award on revenue

diversification (subject to an underpin)

 20% of the overall on non-financial

strategic and operational measures

Long-term award component (30% of

overall award)

30% of the overall award on relative Total

Shareholder Return (TSR) compared to the

FTSE 250 (excluding investment trusts),

measured based on performance from

1 June 2024 to 31 May 2027.

Further details on how these metrics will

apply can be found on the next page.

Directors’ Remuneration Report and Policy (Summary) continued

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Purpose and link to strategy Operation Opportunity Implementation for FY25

Sustained performance plan continued

Long-term award component

The long-term award component will

normally be 30% of the overall opportunity

under the SPP.

For the long-term award component, awards

are normally made during the ‘plan year’.

For the long-term award component,

performance will normally be assessed over

three financial years starting with the ‘plan

year’. The long-term award component will

usually vest following the end of the third

financial year that follows the start of the

plan year subject to the extent to which the

performance criteria is met, following which

it will normally be subject to a holding period

and be released to participants following the

end of the fifth financial year that follows the

start of the plan year.

The Remuneration Committee retains

discretion to scale back the vesting of

awards if the underlying performance of the

participant and/or the Group does not justify

the payout of the award.

The Committee may determine that a

different payout schedule should apply for

future plan years.

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Directors’ Remuneration Report and Policy (Summary) continued

Further details on performance measures

For the 2025 financial year it is intended that SPP awards will be based on a combination of adjusted EPS, revenue diversification, TSR and non-financial strategic and operational performance

measures.

Metrics Rationale and link to the strategic KPIs Further details

Annual Award

Adjusted EPS(40% weighting) Adjusted EPS is a key indicator of the profits generated for

shareholders, and a reflection of both revenue growth and

cost control.

EPS targets will be assessed based on performance for the year ending 31 May 2025.

The Committee sets EPS targets taking into account relevant factors including Board-approved

budget, market consensus expectations and historical targets. Due to the commercial sensitivity of

the adjusted EPS targets they will be published following the year end in the annual report for FY25.

Payouts start to accrue for reaching threshold levels of performance with 100% of this portion

being awarded for the achievement of maximum performance.

Revenue

10% weighting)

Revenue diversification is a key measure of the successful

delivery of IG’s strategy to diversify its earnings and create

long-term, sustainable shareholder value.

The committee will assess revenue diversification targets based on performance for the year

ending 31 May 2025.

The Committee sets revenue targets as absolute monetary values taking into account the Board

approved three-year plan. Only organic revenue growth will be counted. Due to the commercial

sensitivity of these revenue targets they will be published following the year end in the annual report

for FY25.

For FY25, the following business areas will be included in the metric:

 IG’s US Business (all products)

 IG’s business in Japan (all products)

 Non-OTC revenue streams in all other geographies

Payouts start to accrue for reaching threshold levels of performance with 100% of this portion

being awarded for the achievement of maximum performance.

Underpin

As part of its assessment of the formulaic outcome following year end, the Committee will consider

performance in a number of additional metrics in order to satisfy itself that revenue growth in these

areas has been sustainable and in the long-term interests of shareholders. These metrics may

include:

 Longer term profit or operating margin (including by product types)

 Number of clients and/or client segments

 Revenue per client and/or client segment

 Revenue type

Based on this assessment, the Committee will retain discretion to modify the formulaic outcome if

considered appropriate.

Non-financial measures

(20% weighting)

See further details below

Long-term Award

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Metrics Rationale and link to the strategic KPIs Further details

TSR relative to the FTSE250

(excluding investment trusts)

(30% weighting)

TSR measures the total return to the Company’s

shareholders, both through share price growth and dividends

paid, and as such it is aligned to shareholder interests.

TSR is influenced by how well the Group performs on a

range of other metrics, including financial indicators such

as revenue, profit, cash generation and dividends, and

non-financial indicators such as client satisfaction and

operational performance.

TSR will be assessed over the period 1 June 2024 to 31 May 2027.

25% of this portion will be awarded for median performance with 100% of this portion being

awarded for upper quartile performance (straight-line assessment in-between).

Non-financial strategic and operational performance schemes (20% weighting)

The non-financial metrics are specifically designed to measure factors important to IG continuing to operate on a profitable and sustainable basis for the long term. Non-financial measures have

been grouped into four categories: strategic priorities and product expansion (35%), customer experience (30%), risk management (15%) and colleague engagement (20%). As these targets relate

to commercial objectives for FY25 they are considered to be sensitive and therefore further details will be published in the annual report for FY25, following the end of the financial year.

When assessing the non-financial metrics the Committee deliberately separates the assessment from any review of financial performance, viewing them both as important, but recognising they

are assessed and rewarded separately. This is to ensure that management are incentivised to deliver in-year non-financial milestones which are important to maintaining sound operations and

delivering profit and shareholder value in the future.

Directors’ Remuneration Report and Policy (Summary) continued

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Chair and Non-Executive Directors

The table below summarises each element of the Remuneration Policy applicable to the Chairman and the Non-Executive Directors.

Purpose and link to strategy Operation Opportunity Implementation for FY25

To attract and retain Non-Executive

Directors of appropriate calibre and

experience.

The Committee determines the fee for the

Chair (without the Chair present).

The Board is responsible for setting Non-

Executive Directors’ fees. The Non-Executive

Directors are not involved in any discussions

or decisions by the Board about their own

remuneration.

Fees are set taking into account the time

commitment required to fulfil the role and

typical practice at other similar companies.

Fees are within the limits set by the Articles

of Association and take account of the

commitment and responsibilities of the

relevant role.

The Chair receives a single fee to cover all of

their Board duties.

Non-Executive Directors receive a fee for

carrying out their duties. They may receive

additional fees if they chair the Board

Committees, and for holding the post of

Senior Independent Director. Additional fees

may be paid for additional time commitments

if considered appropriate.

Committee membership fees may be paid.

Reasonable costs in relation to travel and

accommodation for business purposes are

reimbursed to the Chair and Non-Executive

Directors. The Company may meet any tax

liabilities that may arise on such expenses.

The Chair and Non-Executive Directors do not

receive a pension and benefits allowance or

participate in incentive schemes.

The fees from 1 June 2025 are as follows:

 Non-Executive Director base fee – £70,300

 Committee Chairs (other than the Nomination

Committee) – £25,000

 Senior Independent Director – £15,000

 Committee membership fees (excluding the

Nomination Committee and the Group Board

Chair) – £3,000

 Chair fee – £324,000

An additional fee of £65,000 for the Chair of the

North American Board applies. In addition a fee

of £25,000 was applies for being a member of

the North American Board.

Board Non-Executive Directors required to travel

a significant distance to attend Group or North

American Board meetings receive an additional

£20,000 per annum to compensate for

additional time spent travelling.

Executive Directors’ service contracts

Executive Directors are employed under a service contract with IG Group Limited (a wholly owned intermediate holding company) for the benefit of the Company and the Group.

The dates on which service contracts are entered into and notice periods are as follows:

Breon Corcoran – 7 December 2023 (12 months’ notice from either party)

Charlie Rozes – 1 June 2020 (12 months’ notice from either party)

Non-Executive Directors’ service contracts

Non-Executive Directors do not have service contracts; they are engaged by letters of appointment. Each Non-Executive Director is appointed for an initial term of three years subject to

re-election, but the appointment can be terminated on three months’ notice. Non-Executive Directors may receive reimbursement for business expenses incurred in the course of their duties,

including tax therein if applicable.

Copies of the service contracts of the Executive Directors and the Letters of Appointment of the Non-Executive Directors are available for inspection at the Company’s registered office during

normal business hours.

Directors’ Remuneration Report and Policy (Summary) continued

IG Group Holdings plc

Annual Report 2024

Annual Report on Remuneration

This report has been prepared in accordance with the Companies Act 2006, Schedule 8 of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008

(as amended in 2013, 2018 and 2019) and the FCA’s Listing Rules. The Directors’ Remuneration Report, will be subject to an advisory shareholder vote at the AGM on 18 September 2024.

This part of the report includes a summary of how we implemented the Policy in FY24 and how it will be implemented in FY25.

The parts of the report that are subject to audit have been marked.

Implementation of Remuneration Policy in FY24

Total single figure of remuneration – Executive Directors (audited)

Name of Director

Year Basic salary £000

Benefits

allowance/

benefits

1,2

£000

Pension

£000

Total fixed pay

£000

Annual

component – cash

£000

Total

£000

Annual

component

3,4

– deferred shares

£000

Long-term

component

£000

Total variable pay

£000

Other

£000

B Corcoran 2024 276 33 – 309 315 421 – 736 41 1,086

J Felix 2024 158 30 – 188 125 229 – 354 542

2023 633 94 – 727 698 1,630 – 2,328 3,055

C Rozes

2024 606 139 10 755 274 503 – 777 1,532

2023 509 56 5 570 449 1,047 – 1,496 2,066

J Noble 2024 348 34 8 390 174 319 – 493 883

2023 423 46 5 474 373 870 – 1,243 1,717

1 Benefits can include dental cover, income protection cover, life assurance and private medical cover. It was agreed under the 2023 Remuneration Policy that, where appropriate, the Company may provide support to Executive Directors in the preparation of their tax

returns. Assistance was provided to J Felix and these costs came to £9,152 (including any applicable tax costs). Assistance was also provided to C Rozes and these costs came to £76,071 (including any applicable tax costs) these costs relate to assistance for 2023 and

2024. B Corcoran, J Felix, C Rozes and J Noble all received a flexible benefits and pensions allowance of 12% of base salary minus the value of any benefits taken. Executives have the option to receive part, or all, of their pension and benefits entitlement in cash

2 The 2023 and 2024 benefits figure for J Felix include the £1.8k of matching shares J Felix received as a participant in the all employee share-incentive plan.

3 Details of the transitional arrangements put in place for the SPP can be found on page 98 under Determination of annual award under SPP for FY24. Figures for 2024 relate to the annual award component of the 2024 SPP award, which represents 85% of the overall

opportunity under the FY24 SPP award for J Felix, C Rozes and J Noble. The annual award component under the FY24 SPP award is delivered 35.3% in cash following assessment of performance, with 23.5% award in share options vesting in August 2027 (subject to a

further 6-month holding period) and 41.2% awarded in share options released in August 2028 (vesting in August 2026, then subject to a further 2-year holding period). As awards are included based on their value at the date of grant, no portion of the award disclosed is

attributable to share price growth and the Committee did not exercise discretion in relation to share price. The remaining 15% of the overall opportunity was granted as an award of shares under the long-term award component, and will vest following assessment of

performance at the end of the performance period ( to 31 May 2026). The value of this award will be disclosed in the 2026 Directors’ Remuneration Report.

4 The figures for B Corcoran 2024 relate to the annual award component of the 2024 SPP award, which represents 20% of the maximum opportunity agreed for him under the FY24 SPP award. The annual award component under the FY24 SPP award is delivered 42.8% in

cash following assessment of performance, with 28.6% award in share options vesting in August 2027 (subject to a further 6-month holding period) and 28.6% awarded in share options released in August 2028 (vesting in August 2026, then subject to a further 2-year

holding period). As awards are included based on their value at the date of grant, no portion of the award disclosed is attributable to share price growth and the Committee did not exercise discretion in relation to share price. B Corcoran was also granted 30% of the

maximum opportunity as an award of shares under the long-term award component will vet following assessment of performance at the end of the performance period (to 31 May 2026). The value of this award will be disclosed in the 2026 Directors’ Remuneration

Report.

5 The salary for C Rozes includes £74k in relation to an acting-up allowance (equal to £130K per annum) during the period which he undertook to the role of CEO 3 July 2023 until 28 January 2024.

6 Relates to fees in respect of a consulting arrangement the Group entered into with B Corcoran in order for him to engage in preparatory meetings and other relevant activities related to his appointment as CEO, intended to enable the smoothest possible transition, from

11 January to 26 January 2024.

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Annual Report 2024

Annual Report on Remuneration continued

Total single figure of remuneration – Non-Executive Directors (audited)

Name of Director Year

Fees

1,2

£000

Benefits

£000

Total

£000

M McTighe 2024 316 – 316

2023 302 – 302

J Moulds 2024 112 – 112

2023 109 – 109

R Bhasin 2024 75 – 75

2023 72 – 72

A Didham 2024 100 1 101

2023 97 – 97

Wu Gang 2024 72 – 72

2023 69 – 69

S-A Hibberd 2024 100 – 100

2023 97 – 97

M Le May 2024 159 56 215

2023 157 24 181

S Skerritt 2024 120 16 136

2023 114 14 128

H Stevenson 2024 97 – 97

2023 94 – 94

1 Other than in respect of the Chair, basic Non-Executive Director fees were £68,500 per annum in FY24 with an additional £25,000

paid for chairing a Board Committee (other than the Nomination Committee) and £3,000 for membership of a Committee

(excluding the Nomination Committee). The Senior Independent Director also receives an additional fee of £15,000. Taking into

account the additional responsibilities and time commitment, an additional fee of £65,000 applies for the Chair of the North

American Board and an additional fee of £25,000 applies for being a member of the North American Board. The Chair of the

North American Board also receives an additional £20,000 per annum to compensate them for the additional time spent in travel

to attending Board meetings.

2 S Skerritt receive an additional £20,000 per annum to compensate them for the additional time spent in travel attending Group

Board meetings.

3 Certain Non-Executive Directors’ expenses relating to the performance of a Director’s duties, such as travel to and from Company

meetings and related accommodation, and tax return support required as a result of Board duties have been classified as taxable

benefits. In such cases, the Company will ensure that the Director is kept whole by settling the expense and any related tax. The

figures shown include the cost of the taxable benefit plus the related grossed up personal tax charge.

Sustained performance plan (SPP)

Determination of annual award under SPP for FY24 (audited)

As described in the 2023 Directors’ Remuneration Report, the annual award component of

the FY24 SPP award comprises 85% of the overall award opportunity. The remaining 15% of

the overall opportunity was granted as an award of share options under the long-term award

component and will vest following the end of the three-year performance period (31 May 2026).

The vesting outcome of this award will be disclosed in the 2026 Directors’ Remuneration Report.

This approach for FY24 was implemented as part of the transition to the new 2023 policy.

From FY25 onwards the policy will be applied in the normal way with 70% of the overall award

opportunity based on an annual award component and 30% of the overall award based on the

long term award component. The overall maximum opportunity under the SPP is 500% of salary

for the CEO and 400% of salary for other executive directors. Breon Corcoran, Charlie Rozes

and Jon Noble were granted 2024 long-term awards. Following her departure as CEO, June Felix

did not receive a 2024 Long-term award.

For FY24 Breon Corcoran will receive a reduced SPP award reflecting that he joined mid-way

through the financial year. With Breon joining the Group at the end of January this year it was

agreed that, acknowledging the limited period of the financial year remaining, for FY24 the

annual award component of his SPP award would be based solely on the non-financial

performance metric, on the basis that this is the area where he had the most opportunity to

impact the business over his first few months in role. This award therefore had a maximum

value of 100% of base salary.

Annual award components of the FY24 SPP awards for June Felix and Jon Noble have been

pro-rated based on the portion of the performance year employed.

Performance targets for annual award component under the FY24 SPP comprised Adjusted

EPS targets, TSR, revenue diversification and non-financial measures. TSR performance was

measured over the three-year period from 1 June 2021 to 31 May 2024, and Adjusted EPS,

revenue diversification and non-financial measures over the financial year ending 31 May 2024.

Performance

measure Weighting

Threshold

(25% payout for

TSRand 0% for

Adjusted EPS and

revenue

diversification)

Target

(50% payout

for Adjusted

EPS and revenue

diversification)

Maximum

(100% payout)

Actual

performance

Percentage of

element to be

awarded

Adjusted EPS 30% 86.76p 96.4p 110.86p 90.3p 18.4

Revenue

diversification

20% £366.7m £386m £405.3m £351.4m 0%

TSR 15% Median

ranking

N/A Upper

quartile

ranking

60th

percentile

54.2%

Non-financial 20% 0% N/A 100% 92% of

maximum

awarded

(see below

for details)

92%

Total 85%

32.0% out

of 85%

1 Straight line vesting occurs between threshold and target and between target and maximum.

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Annual Report on Remuneration continued

Performance measures: how these are set, and a review of performance for FY24 (audited)

Adjusted EPS (30% weighting)

At the start of the financial year, the Committee established an Adjusted EPS range in order

to measure the performance and determine the payouts under the SPP. In doing this, the

Committee took into account a number of relevant factors, including the Board-approved

budget and market consensus expectations.

Adjusted EPS performance for FY24 was 90.3 pence, which was between threshold and target.

Performance was impacted by significantly reduced market volatility observed during the year.

Revenue diversification (20% weighting)

At the start of the financial year, the Committee established a revenue range in order to

measure performance for this metric, measuring the revenue performance of: IG’s US

businesses; IG’s business in Japan; and all other non over the counter revenue streams in all

other geographies. In doing this, the Committee took into account a number of relevant factors,

including the Board-approved budget and the Group’s three year plan.

Revenue performance for FY24 under this metric was £351.4m, which was below the threshold

set by the Committee of £366.7m.

TSR (15% weighting)

TSR performance is assessed against the FTSE 250 (excluding investment trusts). 25% of this

element is awarded for median performance with the full portion being awarded for upper

quartile performance or above with straight-line vesting in between.

For the annual award component to be granted in respect of the year to 31 May 2024, TSR

was measured over the three-year period from 1 June 2021 to 31 May 2024. Actual TSR

performance for the three-year period was 0.8% which positions the Group between median

and upper quartile compared to the comparator group over the three-year period and therefore

54.2% of this element will be awarded.

Non-financial measures (20% weighting)

The Committee approved a series of non-financial measures comprising strategic enablers,

client experience and people and culture during the year ended 31 May 2024. These measures

are also used for determining a portion of the staff general bonus pool.

An average of the performance under the specific objectives resulted in an overall assessment

of 92% (FY23: 96%) of the potential payout under this element.

The table below provides details of the individual measures considered and their performance

assessment for the year ended 31 May 2024.

Component Detail FY24 outcome

Strategic

drivers

50% weighting

We continued to make good progress towards our growth and

diversification targets. In the US, tastytrade prompted brand

awareness jumped to 19%, and the separate tastylive brand has

already built a strong Trustpilot score in a short time. In Japan,

we launched our exciting new partnership with the IG Arena in

Nagoya and successfully delivered a number of planned product

improvements. In Europe, we integrated with Italian broker

Directa and ICF Bank, the latter providing almost 1700 ETFs to

Spectrum, and German prompted brand awareness has hit 21%

through focused marketing campaigns.

90%

Client

experience

25% weighting

We maintained our high CSAT and NPS scores throughout the

year, despite a competitive landscape, and our platform uptime

remained at 100% throughout the year. Much work was done to

improve our onboarding process and digital experience, and we

managed to reduce both the average time taken to process

applications and the number of human interactions required to

solve our clients queries.

99%

People, culture

& community

25% weighting

Overall engagement levels remain very good and higher than

industry benchmark levels, with our people particularly happy

with their line manager support. Participation in volunteering

and other ESG initiatives was high, and we published our

Responsible Investment Statement and Product Governance

Statement. We have maintained a strong control and risk

culture throughout FY24, reflecting the high standards of

conduct we expect of our teams.

88%

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Annual Report 2024

Annual Report on Remuneration continued

Overall summary

The Committee believes that the formulaic outcome of the annual award component of FY24

SPP is appropriate in the context of overall business performance and that no discretion will be

applied to the outcome. Based on the performance for FY24, we will grant awards under the

annual component of the SPP at 32% out of the potential 85% maximum potential for the

Executive Directors (with the remaining 15% relating to the long-term component of the SPP

awarded in 2024) after the announcement of the results. Of this, 35.29% will be delivered in

cash, with 23.53% award in share options vesting in August 2027 (subject to a further 6-month

holding period) and 41.18% awarded in share options vesting August 2026 (subject to a further

2-year holding period). The actual number of shares that will be granted will be based on the

ten-day average share price immediately prior to grant.

As discussed above, Breon Corcoran’s FY24 annual SPP award was based solely on non-financial

performance, therefore the formulaic outcome for Breon is 92% of maximum. The Committee

considers that this outcome is appropriate in the context of broader performance during

Breon’s tenure and determined that no discretion will be applied.

Awards granted during FY24 (audited)

The SPP awards granted during FY24 in respect of performance to 31 May 2023 (plan year 10)

are as follows:

Contribution

% of salary

Value of options

awarded

Number of

options awarded

J Felix 257% £1,628,941 227, 0 4 6

C Rozes 206% £1,046,867 145,912

J Noble 206% £869,800 121,235

1 This represents 70% of the SPP award for FY23, full details of which were disclosed in the Directors’ Remuneration Report for

FY23.The number of options contributed to the plan account was based on the ten-business-day average share price immediately

post the announcement date of the Group’s results for the year ended 31 May 2023 of 717.45pence per share. Awards were

granted in the form of nominal cost options and are subject to continued employment.

The FY23 SPP award granted will vest according to the normal payout schedule for Executive

Directors. The normal payout schedule for Executive Directors provides for 20% delivered in

shares vesting three years after the end of the financial year and 50% delivered in shares four

years after the end of the financial year.

Long term SPP awards table (audited)

The long term SPP awards granted during FY24 (as part of the FY24 SPP) are as follows:

Contribution

% of salary

1,2,3

Value of options

awarded

Number of

options awarded

% vesting

threshold

performance

Performance

period

B Corcoran 150% £1,200,000 174,228

25%

1 June 2023

to 31 May

2026

C Rozes 60% £318,900 48,106

J Noble 60% £264,900 39,960

1 To understand the size of awards see determination of annual awards under SPP for FY24 on p98 for further details of the

transitional arrangements to the new policy for FY24. The transitional arrangements only apply to C Rozes and J Noble. B Corcoran

received 30% of his maximum opportunity in line with the new policy. See also the joining arrangements for Breon Corcoran for

FY24 on p101.

2 For B Corcoran the number of options granted was based on the ten-business-day average share price prior to the

announcement of his appointment on 8 December 2023 of 688.75 pence per share. For C Rozes and J Noble the number of

options granted was based on the ten-business-day average share price from 14 September 2023 of 662.9 pence per share.

3 Awards were granted in the form of nominal cost options and are subject to continued employment and a total shareholder return

(TSR) performance condition. The TSR performance condition is relative to the FTSE250 over three years, with threshold vesting

at median ranking and full vesting at upper quartile.

Other share awards outstanding (audited)

Award date

Share price

at award

date

Number as

at 31 May

2023

Number

awarded

during the

year

Number

lapsed

during the

year

Number

released

during the

year

Number

outstanding

at 31 May

J Felix

SIP:

matching shares

6 Aug 20 743.66p 242 0 0 242 0

SIP:

matching shares

4 Aug 21 909.24p 198 0 0 198 0

SIP:

matching shares

4 Aug 22 815.38p 221 0 0 221 0

SIP:

matching shares

3 Aug 23 675.46p 0 266 0 266 0

Total 661 266 0 927 0

100

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Annual Report on Remuneration continued

Table of Directors’ share interests (audited)

Legally owned

Share options

with performance

conditions

Share options

without

performance

conditions

Total

% of salary held under

shareholdingpolicy

31 May

2023

31 May

2024

Vested but

unexercised

31 May

2024 % salary

Executive Directors

B Corcoran – – 174,228 – – – 0%

C Rozes 73,662 74,807 4 8 ,10 6 453,983 – 528,790 481%

Non-Executive Directors

M McTighe 6,600 10,000 – – – 10,000 –

J Moulds 100,000 100,000 – – – 100,000 –

R Bhasin – – – – – – –

A Didham 4,894 4,894 – – – 4,894 –

S-A Hibberd – – – – – – –

Wu Gang – 1,300 – – – 1,300 –

M Le May – – – – – – –

S Skerritt – – – – – – –

H Stevenson – – – – – – –

Former Directors

J Felix

J Noble

368,876

83,525

409,485

83,525

–

39,960

782,299

425,086

–

782,299

425,086

508%

413%

1 These figures are inclusive of any shares held by connected parties, note that no Company shares are currently held by connected parties.

2 This figure excludes awards under the SPP scheme for performance year ending 31 May 2024, which will be granted following the announcement of the Group’s results on 25 July 2024. The awards held in the SPP plan account include those in respect of plan years 1 to

10 as 31 May 2024.

3 Calculated as total shares owned as a percentage of salary on 31 May 2024 including the unvested shares held within the SPP, without performance conditions, on a net of tax basis at the closing market share price of 810 pence on 31 May 2024.

4 J Felix stepped down from the Board on 29 August 2023.

5 J Noble stepped down from the Board on 13 March 2024.

6 J Felix and J Noble exercised 75,797 and 60,348 options respectively on 3 August 2023, the option price was 0.005 pence. The closing share price on the day of exercise was 684.5 pence. Shareholding for J Feix and J Noble is shown to the date they stepped down from

the Board on 29 August 2023 and 13 March 2024 respectively.

Under the share ownership policy, the Executive Directors are expected to hold shares to the value of a minimum of 200% of base salary. Shares owned by the Executive Directors as well as

unvested SPP share options (on a net of tax basis) count towards this guideline. It is expected that this guideline is achieved within five years of the date of appointment.

There have been no changes to any of the Directors’ share interests between 31 May 2024 and the date of this report.

Joining arrangements for Breon Corcoran for FY24

As announced in December 2023, following a comprehensive global search process Breon Corcoran was appointed as CEO. Breon Corcoran has extensive experience leading multinational fintech

companies and delivering on their growth strategies. He was CEO of payments company WorldRemit until 2022 and prior to that he was CEO of FTSE 100 company Paddy Power Betfair. Breon’s

salary was set at £800,000 on appointment and will not be increased for FY25. The committee recognises that this represents a significant increase versus his predecessor, however, it is of the view

that this salary is appropriate given Breon’s skills, experience and track record of driving performance and delivering long-term shareholder value. It also noted that his salaries in previous roles

were broadly consistent with the base salary offered at IG. His base salary is positioned within the market competitive range for other companies of a similar size and complexity and for other

companies in the financial services sector where the Group competes for talent and the Committee considered the positioning appropriate taking into account his skills and experience. Breon’s

pension and benefits allowance is 12% of salary in line with arrangements for other employees in the UK.

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IG Group Holdings plc

Annual Report 2024

Annual Report on Remuneration continued

Breon will be eligible for an SPP award of up to 500% of base salary per annum. For FY24 Breon

will receive a reduced SPP award of 250% of salary reflecting that he joined mid-way through

the financial year. With Breon joining the Group at the end of January this year it was agreed

that, acknowledging the limited period of the financial year remaining, for FY24 the annual

award component of his SPP award would be based solely on the non-financial performance

metric, on the basis that this is the area where he had the most opportunity to impact the

business over his first few months in role. This award therefore had a maximum value of 100%

of base salary. As noted previously, the Committee judged that the non-financial measures

should be paid out at 92% of maximum. Breon was also granted a Long-Term SPP award

with a value of 150% of base salary fully focussed on the Company’s TSR over the period

1 June 2023 to 31 May 2026. There were no buyouts of awards from previous roles

associated with the appointment.

In order to facilitate the smoothest transition possible, the Group entered into a consulting

arrangement (from 11 January to 26 January 2024) with Breon so that Breon was able to attend

preparatory meetings and other related activities in advance of his appointment as CEO. Fees

for this arrangement were £41,353 and are disclosed in the single figure table for FY24.

Leaving arrangements for June Felix (audited)

June Felix, former Chief Executive Officer, stepped down from the Board on 29 August 2023,

and remained an employee of the Company until 29 September 2023 to provide an orderly

handover. Between 29 August 2023 and 29 September 2023, June continued to receive her

base salary totalling £62,757. She also received dental insurance, income protection, life

assurance and private medical insurance, and her fixed benefits allowance in cash for the period

with a total value of £7,530. June received a payment of £493,920 in lieu of base salary, benefits

and pension allowance for the period to 31 May 2024, paid in instalments and subject to

mitigation. The remaining balance of June’s pay in lieu of base salary, benefits and pension

allowance is £185,220 and will be paid over her remaining notice period. She also received

£105,000 for accrued unused annual leave. June also received a contribution of £30,000

(excluding VAT) towards legal fees incurred, a contribution of up to £35,000 (excluding VAT) paid

towards coaching and continuing professional development support and £41,904 to provide

equivalent coverage to the IG private health insurance scheme for her family for 12 months

from the Termination Date, plus a contribution of up to £10,000 towards medical expenses

incurred prior to 31 May 2024 that were not covered by the insurance scheme. June was also

allowed to retain her laptop, ipad and mobile phone as part of her leaving arrangements.

June was treated as a good leaver for the purposes of the SPP awards which she held on

cessation of employment. For any SPP awards granted in respect of financial years up to and

including FY20, 50% of her shares will be released in August 2024 with the balance released in

August 2025, in accordance with their terms and the previously disclosed plan termination

provisions. Awards granted in respect of FY21 onwards will be released in accordance with the

normal schedule. In order to allow June Felix to settle the tax due on her awards it was agreed

that SPP awards granted to her would be accelerated to vest on 18 December 2023, with the

remaining shares after tax being held in the a nominee arrangement. The shares will be released

on the same time frame as the original awards (i.e. no changes to overall time horizons). June was

also eligible to receive a pro-rated annual SPP Award in respect of FY24 for her period in

employment (to 29 September 2023). As noted above, the annual SPP award in respect of FY24

vested at 32% out of the maximum award of 85% and therefore the total value of this pro-rated

award was £300,349. This will be delivered 35% in cash, with 24% award in share options vesting

in August 2027 (subject to a further 6-month holding period) and 41% awarded in share options

released in August 2028 (vesting in August 2026, then subject to a further 2-year holding

period). All awards are subject to malus and clawback provisions.

Leaving arrangements for Jon Noble (audited)

Jon Noble, former Chief Operating officer, stepped down from the Board on 13 March 2024,

and remained an employee of the Company until 14 April 2024 to provide an orderly handover.

Between 14 March 2024 and 14 April 2024, Jon continued to receive his base salary totalling

£37,527. He also received income protection, life assurance and private medical insurance,

pension contribution and his fixed benefits allowance in cash for the period with a total value of

£3,269 and a pension contribution of £1,213. Jon received a payment of £81,413 in lieu of base

salary, benefits and pension allowance, paid in instalments and subject to mitigation. The

remaining balance of Jon’s pay in lieu of base salary, benefits and pension allowance is

£371,860 and will be paid over his remaining notice period. He also received £4,245 for

accrued unused annual leave. Jon also received a contribution of £10,000 (excluding VAT)

towards legal fees incurred, a contribution of up to £30,000 (excluding VAT) paid towards

coaching and continuing professional development support and £19,160 to provide equivalent

coverage to the IG private health insurance scheme for his family for 12 months from the

Termination Date.

Jon was treated as a good leaver for the purposes of the SPP awards which he held in his plan

account on cessation of employment. Outstanding awards in relation to plan years up to and

including FY20 will be released in two tranches with 50% released in July 2024 and 50%

released in July 2025. Awards granted in respect of FY21 onwards will be released in

accordance with the normal vesting schedule. Jon received a long term SPP award in respect of

FY24 which will be pro-rated on the portion of the performance period he was employed for

i.e. from 1 June 2023 to 14 April 2024 out of the three year performance period. Jon was also

eligible to receive a pro-rated annual SPP award in respect of FY24 for the portion of the

performance year employed. As noted above, the annual SPP award in respect of FY24 vested

at 32% out of the maximum award of 85% and therefore the total value of this pro-rated award

was £418,960. This will be delivered 35% in cash, with 24% award in share options vesting in

August 2027 (subject to a further 6-month holding period) and 41% awarded in share options

released in August 2028 (vesting in August 2026, then subject to a further 2-year holding

period). All awards are subject to malus and clawback provisions.

Leaving arrangements for Charlie Rozes

Charlie Rozes, Chief Financial Officer, will step down from the Board on 31 July 2024, and will

cease employment with the Company on this date. Charlie will receive a payment of £368,577

in lieu of base salary, benefits and pension allowance for the balance of his 7.5 month notice

period ending 14 March 2025, paid in instalments and subject to mitigation. He will also receive

£49,061 for accrued unused annual leave. Charlie also received a contribution of £13,000

(excluding VAT) towards legal fees incurred, a payment towards the cost of tax advice in relation

to UK and US tax returns for the current tax year in accordance with our approach while he was

in employment, a contribution of up to £30,000 (excluding VAT) paid towards coaching and

continuing professional development support and IG will provide equivalent coverage to the IG

private health insurance scheme for his family for 12 months from the Termination Date.

102

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Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Annual Report on Remuneration continued

Charlie will be treated as a good leaver for the purposes of the SPP awards which he holds on cessation of employment. His SPP awards will be released in accordance with the normal vesting

schedule. Charlie will be eligible to receive a pro-rated annual SPP award in respect of FY25 for the portion of the performance period he was employed for i.e. from 1 June 2024 to 31 July 2024 out

of the one year performance period. The outcome for the FY25 annual SPP award will be determined following the end of FY25. He will receive a long term SPP award in respect of FY25 and will

retain a portion of his FY24 long term award. These will be pro-rated based on the portion of the performance periods he was employed for i.e. from 1 June 2023 to 31 July 2024 and 1 June 2024 to

31 July 2024 respectively both of the relevant three year performance periods.

Payments to past Directors (audited)

No payments were made to past Directors in the year above the de minimis threshold of £2,000 set by the Committee.

Change in Directors’ remuneration compared to Group UK employees

The table below sets out the percentage change in remuneration for each of the Directors and UK Group employees over each of the last four years. There are no employees in IG Group Holdings

plc, and therefore we have voluntarily disclosed the change in remuneration for UK Group employees.

FY21/FY20 FY22/FY21 FY23/FY22 FY24/FY23

Base salary

% change

Taxable benefits

% change

Performance-

remuneration

% change

Base salary

% change

Taxable benefits

% change

Performance-

remuneration

% change

Base salary

% change

Taxable benefits

% change

Performance

remuneration

% change

Base salary

% change

Taxable

benefits

% change

Performance

remuneration

% change

Executive Directors

B Corcoran

– – – – – – – – –

C Rozes

– – – 0.7% (1.7%) 1.4% 3.0% 5.1% (19.4%) 19% 148% (48%)

Non-Executive Directors

M McTighe 300.0% – – 0.7% – – 0.0% – – 4.5% – –

J Moulds (39.0%) – – 0.68% – – 0.0% – – 2.8% – –

R Bhasin

– – – 14.2% – – 0.0% – – 4.2% – –

A Didham 72.0% – – 19.7% – – 0.0% – – 3.1% 100% –

S-A Hibberd 32.0% (100.0%) – 3.1% – – 0.0% – – 3.1% – –

Wu Gang

– – – 53.0% – – 0.0% – – 4.3% – –

M Le May (23.0%) – – 44.3% – – 37.7% 600.0% – 14.6% 133% –

S Skerritt

– – – – – 8.4% – – 5.2% 14.3% –

H Stevenson 614.0% – 9.3% – – 0.0% – – 3.2% – –

Former Directors

J Felix

J Noble

1.7%

(21%)

1.7%

(2.3%)

0.7%

6.3%

(12.9%)

7.3%

1.4%

6.7%

3.0%

5.8%

24.0%

6.3%

(19.4%)

(17.3%)

4.5%

(68%)

(26%)

(85%)

(60%)

Group UK employees

10.0% 10.0% 17.0% 12.0% 12.0% 33.0% 2.2% 2.8% (31.0%) 7.9% 7.9% (17.7%)

1 B Corcoran joined the Board on 29 January 2024.

2 C Rozes joined the Board on 1 June 2020.

3 R Bhasin joined the Board on 6 July 2020.

4 Wu Gang joined the Board on 30 September 2020.

5 S Skerritt joined the Board on 9 July 2021.

6 Employee group consists of individuals employed by IG Index Limited the main UK employing entity as IG Group Holdings plc does not have any employees. Median employee salary, benefits and bonus have been calculated on a full-time equivalent basis. Salary and

benefits are calculated as at 31 May, bonus is that earned during the year ending 31 May.

7 Based on full time salary applied from 1 June 2023.

103

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Annual Report on Remuneration continued

Relative importance of spend on pay

The following table sets out the shareholder distributions, which include dividends and share

buybacks by the Company during the financial year and overall spend on pay over the past

financial year:

2024

£m

2023

£m

Percentage

change

Shareholder distributions 422.7 363.4 16%

Employee remuneration costs 245.2 248.6 (1.4%)

As the table shows, there has been an increase in shareholder distributions in 2024. This

increase is a result of the Company returning more capital to shareholders via our share buy

back program in line with our published capital allocation framework.

CEO to all employees pay ratio

The CEO’s total remuneration as a ratio against the full-time equivalent remuneration of

UKemployees is detailed in the table below:

Year Method

25th percentile

pay ratio Median pay ratio

75th percentile

pay ratio

2024 A 34:1 25:1 18:1

2023 A 43:1 31:1 22:1

2022 A 50:1 36:1 25:1

2021 A 55:1 40:1 29:1

2020 A 65:1 46:1 34:1

The Company has calculated the ratio in line with the reporting regulations using ‘Option A’

(determine total full-time equivalent remuneration for all UK employees for the relevant financial

year; rank the data and identify employees whose remuneration places them at the 25th, 50th

and 75th percentile). We have used Option A as we believe it provides the most consistent and

comparable outcome. Data used to determine the pay ratios was taken as at 31 May 2024

and any part-time employees’ salary and bonus have been pro-rated to convert them into a

full-time equivalent.

Base

salary

Total

remuneration

25th percentile £60,000 £75,200

50th percentile £78,400 £101,808

75th percentile £110,000 £141,90 0

The CEO pay ratio has been rounded to the nearest whole number. The ratios for FY24 are lower

than FY23, which reflects the lower SPP outturn for FY24 (since the CEO’s package comprises of

a larger proportion of at risk, variable pay) The Company believes the median pay ratio is

consistent with its reward policies for the Company’s UK employees.

During the year the Board has received presentations from management on the approach to

the Company’s wider policies on employee pay, reward and progression. The Committee also

reviewed year-end incentive outcomes.

Taking into account the above, the Committee believes that the CEO’s pay ratio and the

year-on-year change is fair in the context of our approach to remuneration more broadly

withinthe organisation.

Statement of shareholder voting

The Directors’ Remuneration Policy was approved at the 2023 AGM on 20 September, 2023.

The Directors’ Remuneration Report for FY23 was also approved at the 2023 AGM. The

following votes werereceived:

2023 Remuneration Policy

Total number of

votes (000s) % of votes cast

For

305,234 97.37%

Against 8,253 2.63%

Total 313,487 100%

Withheld 28 –

1 ‘For’ includes votes at the Chair’s discretion.

2023 Annual Directors’ Remuneration

Report (excluding the 2023

Remuneration Policy)

Total number of

votes (000s) % of votes cast

For

296,875 94.70%

Against 16,614 5.30%

Total 313,489 100%

Withheld 27 –

1 ‘For’ includes votes at the Chair’s discretion.

104

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Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Annual Report on Remuneration continued

Total Shareholder Return chart

This graph shows the value, by 31 May 2024, of £100 invested in the Group on 31 May 2014

compared with the value of £100 invested in the FTSE 250 Index and the FTSE 350 Financial

Services Index. As the Group is a member of both of these indices, the Committee believes

it is appropriate to compare the Group’s performance against them.

31 May

2014

31 May

2015

31 May

2016

31 May

2017

31 May

2018

31 May

2019

31 May

2020

31 May

2021

31 May

2022

31 May

2023

31 May

2024

£50

£100

£150

£200

£250

IG Group

FTSE 250 Index FTSE 350 Financial Services Index

CEO earnings history

T Howkins P Hetherington J Felix Breon Corcoran

Single figure

remuneration

LTIP/ VSP/

SPP vesting

outcome

Single figure

remuneration

LTIP/ VSP/

SPP vesting

outcome

Single figure

remuneration

LTIP/ VSP/

SPP vesting

outcome

Single figure

remuneration

LTIP/ VSP/

SPP vesting

outcome

2015 1,519 41.00% – – – – – –

2016 210 0.00% 2,641

90.00% – – – –

2017 – – 1,452 27.10% – – – –

2018 – – 2,974 80.00% – – – –

2019 – – 777

18.64% 823

3,4

18.64% – –

2020 – – – – 3,640 97.20% – –

2021 – – – – 3,544 93.40% – –

2022 – – – – 3,577 94.00% – –

2023 – – – – 3,055 73.55% – –

2024 – – – – 542 32.00%

1,979

92%

1 P Hetherington was appointed CEO on 15 October 2015; prior to this he was COO. This figure includes a portion of the

remuneration that he received during this period.

2 P Hetherington stepped down as CEO on 26 September 2018. The figure shows salary, benefits and pension to this date. The full

value of his SPP for FY19 is included in this figure.

3 P Mainwaring performed the role of acting CEO for the period between 26 September 2018 and 30 October 2018 but received

no additional remuneration for this period. This figure therefore includes one month of P Mainwaring’s compensation equating

to £66k.

4 J Felix was appointed CEO on 30 October 2018; prior to this she was a Non-Executive Director on the Board. The figure excludes a

portion of the remuneration that she received as a Non-Executive Director between 1 June 2018 and 30 October 2018, which

equated to £23k.

5 C Rozes performed the role of acting CEO for the period between 3 July 2023 and 28 January 2024 and received additional

remuneration in the form of an acting up allowance and his annual SPP award was based on his acting up salary for the part of the

year in which he stepped into this role. This figure therefore includes seven months of C Rozes’ compensation equating to £893k.

6 Relates to the annual award element of the FY24 SPP only. As discussed previously, the outcome for Breon Corcoran was based

solely on non-financial performance.

This report was approved by the Board of Directors on 24 July 2024 and signed on its behalf by:

Helen Stevenson

Chair of the Remuneration Committee

105

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Directors’ Report

The Directors present their report, together

with the Group Financial Statements, for

FY24. The Directors’ Report comprises pages

106-107 of this report, together with the

sections of the Annual Report incorporated

by reference as located below:

Contents Page

Governance Report 44

Statement of Directors’

Responsibilities 109

Financial instruments and financial

risk management

150–

158

Greenhouse gas emissions 23-26

Workforce engagement,

communication and equal

opportunities

18-19,

Employees, Customers, Suppliers

and Others Reporting Requirements

Under the Companies

(Miscellaneous Reporting)

Regulations 2018 57-58

Policy concerning the employment

of disabled persons 19

Going Concern and Viability

Statement 42-43

Directors’ Remuneration Report and

Policy, service contracts and details

of Directors’ interest in shares 84-105

Likely future developments 12–13

Risk management and internal

control

36-41,

Anti-bribery and corruption 27

A statement of interests 133

Section 414A of the CA2006 requires the

Directors to present a Strategic Report in the

Annual Report and Financial Statements. The

information can be found on pages 2-43.

Corporate Governance Statement

In compliance with the UK FCA’s Disclosure

Guidance and Transparency Rules (DTR) 7.2.1,

the disclosures required by the DTR are set

out in this Directors’ Report and in the

Governance Report.

Profit and dividends

The Group’s statutory profit for the year after

taxation amounted to £307.7 million (FY23:

£363.7 million), all of which is attributable to

the equity members of the Company.

The Directors recommend a final ordinary

dividend of 32.64 pence per share, making

a total of 46.2 pence per share for the year

(FY23: 45.2 pence per share). Dividends

are recognised in the Financial Statements

for the year in which they are paid or, in the

case of a final dividend, when approved by

the shareholders. The amount recognised

in the Financial Statements, as described in

note 11, includes this financial year’s interim

dividend and the final dividend from the

previous year, both of which were paid.

The final ordinary dividend, if approved, will

be paid on 17 October 2024 to those

shareholders on the register as at

20 September 2024.

Certain nominee companies representing our

Employee Benefit Trusts hold shares in the

Company, in connection with the operation of

the Company’s share plans. Dividend waivers

remain in place on shares held by them that

have not been allocated to employees.

Articles of Association

The Company’s Articles of Association are

available on our website, or by writing to the

Group Company Secretary at the Group’s

registered office. The Articles of Association

were last amended by shareholders by means

of a special resolution on 20 September 2023.

The Company has chosen, in accordance

with Section 414C (11) of the CA2006

and as noted in this Directors’ Report, to

include certain matters in its Strategic

Report that would otherwise be disclosed

in this Directors’ Report, including the

Non-Financial Information Statement

required by Section 414C of the CA2006,

which can be found on page 28.

In line with the Investment Firms Prudential

Regime (IFPR) and the Capital Requirements

(Country-by-Country Reporting) Regulations

2013, requiring credit institutions and

investment firms to publish annually certain

tax and financial data for each country where

they operate, the Group’s UK-regulated

subsidiaries will make available their country-

by-country reporting on our website.

Disclosures required pursuant to Listing

Rule 9.8.4R

In compliance with the UK FCA’s Listing Rules,

the information in Listing Rule 9.8.4R to be

included in the Annual Report and Accounts,

where applicable, can be found on the

following pages:

Detail Page

Waiver of dividends 107

Modern slavery

In compliance with Section 4 (I) of the Modern

Slavery Act 2015, we have published our

slavery and human trafficking statement on

our website.

Branch offices

As at 31 May 2024, we had the following

overseas branches within the meaning of the

CA2006: offices in Australia, France, Italy, the

Netherlands, New Zealand, Poland, South

Africa, Spain and Sweden.

Board of Directors and their interests

The Directors who held office during FY24 are

set out below:

Chair

Mike McTighe

Independent Non-Executive Directors

Jonathan Moulds

Rakesh Bhasin

Andrew Didham

Wu Gang

Sally-Ann Hibberd

Malcolm Le May

Susan Skerritt

Helen Stevenson

Executive Directors

Breon Corcoran (appointed 29 January

2024)

June Felix (resigned 29 August 2023)

Jon Noble (resigned 13 March 2024)

Charlie Rozes

Appointment and retirement of Directors

The rules concerning the appointment

and replacement of Directors are set out

in the Articles of Association. The Board

has the power to appoint any person as

a Director to fill a casual vacancy or as

an additional Director, provided the total

number of Directors does not exceed

the maximum prescribed in the Articles

of Association. Any such Director holds

office only until the next AGM and is then

eligible to offer themselves for election.

The Articles of Association also require that all

those Directors who have been in office at the

time of the two previous AGMs, and who did

not retire at either of them, must retire as

Directors by rotation. Such Directors are

eligible to stand for re-election. In line with

the Code’s recommendation, all Directors

who were re-elected at the 2023 AGM will

stand for re-election at the 2024 AGM, with

the exception of Malcolm Le May and Charlie

Rozes. Breon Corcoran and Marieke Flament

(appointed 4 July 2024) will stand for election.

106

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Directors’ conflicts of interest

In accordance with the CA2006, all Directors

must disclose both the nature and extent of

any potential, actual or perceived conflicts

with the interests of the Company. We explain

the procedure for this on page 50.

Insurance and indemnities

The Group has Directors’ and Officers’ liability

insurance in place, providing appropriate

cover for any legal action brought against its

Directors. Qualifying third-party indemnity

provisions (as defined by Section 234 of the

CA2006) were in force during FY24 and a

Deed of Indemnity with the Directors was

put in place. These provisions remain in force

for the benefit of the Directors, in relation

to certain losses and liabilities which they

may incur (or have incurred) to third parties

while acting as Directors of the Company and

remains in force as at the date of this report.

Research and development

In the ordinary course of business, we

regularly develop new products and services.

Political donations

The Company made no political donations

to political organisations or independent

election candidates and incurred no political

expenditure in the year (FY24: £nil).

Restrictions on transfer of securities

There are no specific restrictions on the

transfer of securities in the Company, other

than as contained in the Articles of

Association, this paragraph and certain laws

or regulations, such as those related to insider

trading, which may be imposed from time to

time. The Directors and certain employees are

required to obtain approval prior to dealing in

the Company’s securities. Certain parties who

were previously shareholders in tastytrade

are subject to contractual restrictions on

transfer in accordance with the terms of the

sale arrangements. We are not aware of any

agreements between holders of securities

that may result in restrictions on the transfer

of securities or on voting rights.

Exercise of rights of shares in employee

share schemes

The trustees of the IG Group Employee

Benefit Trusts do not seek to exercise voting

rights on shares held in the employee trusts,

other than on the direction of the underlying

beneficiaries. No voting rights are exercised in

relation to shares unallocated to individual

beneficiaries. The trustees have a dividend

waiver in place in respect of unallocated

shares held in the trust.

Share capital

The Company has two classes of shares:

ordinary shares and deferred redeemable

shares. As at 31 May 2024, our issued shares

comprised 373,093,741 ordinary shares of

0.005 pence each (representing 99.98% of

the total issued share capital) and 65,000

deferred redeemable shares of 0.001 pence

each (representing 0.02% of the total issued

share capital). Details of movement in our

share capital and rights attached to the

issued shares are given in note 24 to the

Financial Statements. Information about

the rights attached to our shares can also

be found in the Articles of Association.

Details of the Group’s required regulatory

capital are disclosed in the Business

Performance Review on pages 29–35.

Variation of rights

Subject to the provisions of applicable

statutes, the rights attached to any class of

shares may be varied, either with the consent

in writing of the holders of at least three-

quarters in nominal value of the issued shares

of that class, or with the sanction of a special

resolution passed at a separate meeting of

the holders of the shares of that class.

Powers of the Directors to issue or purchase

the Company’s shares

The Articles of Association permit the

Directors to issue or repurchase the

Company’s own shares, subject to

obtaining shareholders’ prior approval. The

shareholders gave this approval at the 2023

AGM. The authority to issue or buy back

shares will expire at the 2024 AGM, and it will

be proposed at the meeting that the Directors

be granted new authorities to issue or buy

back shares. The Directors currently have

authority to purchase up to 40,452,304 of

the Company’s ordinary shares. 35,727,693

shares were purchased during the year.

During the year, the Company instructed the

trustees of the Employee Benefit Trusts to

purchase shares in order to satisfy awards

under our share-incentive plan schemes and

also issued shares in respect of the Sustained

Performance Plan. Details of the shares held

by our Employee Benefit Trusts, and the

amounts paid during the year, are disclosed

in note 26 to the Financial Statements.

At the AGM held on 20 September 2023,

the Company was granted authority to allot

ordinary shares in the Company up to an

aggregate nominal amount of £6,674, being

33% of the total issued share capital at that

date, amounting to 133,492,603 ordinary

shares. In addition, the Company was granted

authority to allot further ordinary shares in

the Company up to an aggregate nominal

amount of £2,022 pursuant to a rights issue,

being 10% of the total issued share capital at

that date, amounting to 40,452,304 ordinary

shares. No ordinary shares were issued

under these authorities during the year.

Directors’ Report continued

107

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Directors’ Report continued

Major interest in shares

Information provided to the Company by major shareholders pursuant to the FCA and DTRs is

published via a Regulatory Information Service and is available on our website. The information

in the table below has been received in accordance with information made available to the

Company and in accordance with DTR5, from holders of notifiable interests in the Company’s

issued share capital as at 31 May 2024. The lowest threshold is 3% of the Company’s voting

rights, and holders are not required to notify us of any change until this, or the next applicable

threshold, is reached or crossed.

Major interest in shares No. of shares Percentage

BlackRock, Inc. 19,820,667 5.36%

Massachusetts Financial Services Company 20,960,928 5.08%

Janus Henderson Group plc 19,10 0,306 5.04%

Artemis Investment Management LLP 18,510,435 5.01%

Tom Sosnoff 14,888,162 3.40%

Standard Life Aberdeen 11,137, 0 9 5 3.01%

1 The percentage is as at the date of notification.

Between the 31 May 2024 and the date of this Annual Report, the Company was informed of the

following change to notifiable interests.

Major interest in shares No. of shares Percentage

Massachusetts Financial Services Company 18,131,512 4.86%

2 The percentage is as at the date of notification.

Change of control

Following any future change of control of

the Company, participating lenders in the

Group’s bank facility agreements have the

option to cancel their commitment. Upon

such cancellation, any outstanding loans,

including accrued interest and other amounts

due to lenders, will become immediately due

and payable. Further details may be found

in note 19 to the Financial Statements.

There are no agreements between the

Company and its Directors or employees

providing for compensation on any loss of

office or employment that occurs because of

a takeover bid. However, options and awards

granted to employees under our share

schemes and plans may vest on a takeover,

under the schemes’ provisions.

AGM

The Company’s AGM will be held on

18 September 2024. Details of the resolutions

to be proposed will be provided in the AGM

Notice.

Independent Auditors

Resolutions to reappoint PwC as the

Company’s External Auditor, and to

authorise the Directors to determine PwC’s

remuneration, will be put to shareholders

at the AGM on 18 September 2024.

Subsequent events

Please refer to note 35 to the Financial

Statements.

On behalf of the Board

Charles A. Rozes

Chief Financial Officer

24 July 2024

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Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

The directors are responsible for preparing

the Annual Report 2024 and the financial

statements in accordance with applicable law

and regulation.

Company law requires the directors to

prepare financial statements for each

financial year. Under that law the directors

have prepared the Group and the Company

financial statements in accordance with UK-

adopted international accounting standards.

Under company law, directors must not

approve the financial statements unless they

are satisfied that they give a true and fair view

of the state of affairs of the group and

Company and of the profit or loss of the

group for that period. In preparing the

financial statements, the directors are

required to:

 select suitable accounting policies and then

apply them consistently;

 state whether applicable UK-adopted

international accounting standards have

been followed, subject to any material

departures disclosed and explained in the

financial statements;

 make judgements and accounting

estimates that are reasonable and prudent;

and

 prepare the financial statements on the

going concern basis unless it is

inappropriate to presume that the group

and Company will continue in business.

The directors are responsible for

safeguarding the assets of the group and

Company and hence for taking reasonable

steps for the prevention and detection of

fraud and other irregularities.

The directors are also responsible for keeping

adequate accounting records that are

sufficient to show and explain the group’s and

Company’s transactions and disclose with

reasonable accuracy at any time the financial

position of the group and Company and

enable them to ensure that the financial

statements and the Directors’ Remuneration

Report comply with the Companies Act 2006.

The directors are responsible for the

maintenance and integrity of the Company’s

website. Legislation in the United Kingdom

governing the preparation and dissemination

of financial statements may differ from

legislation in other jurisdictions.

Directors’ confirmations

Each of the directors, whose names and

functions are listed in the Directors’ Report

confirm that, to the best of their knowledge:

 the group and Company financial

statements, which have been prepared in

accordance with UK-adopted international

accounting standards, give a true and fair

view of the assets, liabilities and financial

position of the group and Company, and of

the profit of the group; and

 the Strategic Report includes a fair review

of the development and performance of

the business and the position of the group

and Company, together with a description

of the principal risks and uncertainties that

it faces.

In the case of each director in office at the

date the directors’ report is approved:

 so far as the director is aware, there is no

relevant audit information of which the

group’s and Company’s auditors are

unaware; and

 they have taken all the steps that they

ought to have taken as a director in order to

make themselves aware of any relevant

audit information and to establish that the

group’s and Company’s auditors are aware

of that information.

Statement of Directors’ Responsibilities in Respect of the Financial Statement

109

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Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Independent Auditors’ Report to the Members of IG Group Holdings plc

Report on the audit of the financial statements

Opinion

In our opinion, IG Group Holdings plc’s Group

financial statements and Company financial

statements (the “financial statements”):

 give a true and fair view of the state of the

Group’s and of the Company’s affairs as at

31 May 2024 and of the Group’s profit and

the Group’s and Company’s cash flows for

the year then ended;

 have been properly prepared in accordance

with UK-adopted international accounting

standards as applied in accordance with

the provisions of the Companies Act 2006;

and

 have been prepared in accordance with the

requirements of the Companies Act 2006.

We have audited the financial statements,

included within the Annual Report, which

comprise: the Consolidated and Company

Statements of Financial Position as at

31 May 2024; the Consolidated Income

Statement, the Consolidated Statement of

Comprehensive Income, the Consolidated

and Company Statements of Changes in

Equity and Consolidated and Company

Statements of Cash Flows for the year

then ended; and the notes to the financial

statements, which include a description

of the significant accounting policies.

Our opinion is consistent with our reporting to

the Audit Committee.

Basis for opinion

We conducted our audit in accordance with

International Standards on Auditing (UK)

(“ISAs (UK)”) and applicable law. Our

responsibilities under ISAs (UK) are further

described in the Auditors’ responsibilities for

the audit of the financial statements section

of our report. We believe that the audit

evidence we have obtained is sufficient and

appropriate to provide a basis for our opinion.

Independence

We remained independent of the Group in

accordance with the ethical requirements

that are relevant to our audit of the financial

statements in the UK, which includes the

FRC’s Ethical Standard, as applicable to listed

public interest entities, and we have fulfilled

our other ethical responsibilities in

accordance with these requirements.

To the best of our knowledge and belief, we

declare that non-audit services prohibited by

the FRC’s Ethical Standard were not provided.

Other than those disclosed in Note 5, we

have provided no non-audit services to the

Company or its controlled undertakings in

the period under audit.

Our audit approach

Overview

Audit scope

 This was the fourth year that it has been my

responsibility to form this opinion on behalf

of PricewaterhouseCoopers LLP (“PwC”),

who you first appointed on 8 December

2010 in relation to that year’s audit. In

addition to forming this opinion, in this

report we have also provided information

on how we approached the audit and how it

changed from the previous year.

Key audit matters

 Estimation of the recoverable amount of

the US cash generating unit – tastytrade,

Inc. (Group)

 OTC derivative revenue (Group)

 Carrying value of the investments in

subsidiaries (Company)

Materiality

 Overall Group materiality: £20,000,000

(2023: £22,400,000) based on 5% of profit

before tax (FY23: adjusted profit before

tax).

 Overall Company materiality: £17,400,000

(2023: £19,900,000) based on 1% of total

assets.

 Performance materiality: £15,000,000

(2023: £16,800,000) (Group) and

£13,000,000 (2023: £14,900,000)

(Company).

The scope of our audit

As part of designing our audit, we determined

materiality and assessed the risks of material

misstatement in the financial statements.

Key audit matters

Key audit matters are those matters that,

in the auditors’ professional judgement,

were of most significance in the audit of the

financial statements of the current period

and include the most significant assessed

risks of material misstatement (whether or

not due to fraud) identified by the auditors,

including those which had the greatest effect

on: the overall audit strategy; the allocation

of resources in the audit; and directing the

efforts of the engagement team. These

matters, and any comments we make on

the results of our procedures thereon, were

addressed in the context of our audit of

the financial statements as a whole, and in

forming our opinion thereon, and we do not

provide a separate opinion on these matters.

This is not a complete list of all risks identified

by our audit.

The key audit matters below are consistent

with last year.

110

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Independent Auditors’ Report continued

Key audit matter How our audit addressed the key audit matter

Estimation of the recoverable amount of the US cash generating

unit – tastytrade, Inc. (Group)

The US (tastytrade) cash generating unit (CGU) had £497.2m of goodwill

allocated to it as at 31 May 2024. This is a result of the acquisition of

tastytrade, Inc in June 2021. As the goodwill is associated with a business

operating in the United States of America it is retranslated into sterling at

each reporting date.

As required by IAS 36 – Impairment of assets, management has

performed their annual goodwill impairment assessment. The goodwill

impairment assessment is dependent on an estimate of the recoverable

amount of the US (tastytrade) CGU. Management used a value-in-use

model to determine the recoverable amount of the tastytrade CGU in

their impairment assessment.

We have focused on this area as the value-in-use calculation of the US

CGU involves a significant degree of judgement and the estimation

uncertainty is high.

As part of our risk assessment procedures we also assessed the

sensitivity of the value-in-use to reasonably possibly changes in certain

significant assumptions. A number of significant assumptions relating to

net trading revenue growth, forecast earnings before interest, tax,

depreciation and amortisation margins and discount rates, were required

to be assessed by management, when performing their impairment

assessment. To assist with the determination of the value-in-use,

management engaged their own external valuation experts.

No impairment charge has been recorded for the year ended 31 May

2024.

Refer to notes 1 – General information and basis of preparation and 12 –

Goodwill for further details.

We understood and evaluated the design and implementation of controls relating to the Group’s impairment

assessment.

We obtained management’s value-in-use impairment model. We assessed the methodology used by management and

their experts against the requirements of IAS 36 and we tested the mathematical accuracy of the calculations. We

validated the carrying amount of the CGU to underlying accounting records and compared the cash flows used in the

impairment models to the Board approved plan.

We utilised our in-house valuation experts to evaluate the appropriateness of the methodology used in the impairment

model. We also assessed the competency and objectivity of our in-house experts and management’s experts so that

we were able to use their work.

In respect of management’s assumptions, our in-house valuation experts assessed the reasonableness of the discount

rate and long-term growth rate used in the impairment model.

We performed the following procedures over the significant assumptions relating to the estimated future cash flows:

 Challenged the appropriateness of management’s assumptions and, where relevant, their interrelationships;

 Identified the key drivers in management’s forecasts and obtained evidence to support the reasonableness of these

assumptions including historic experience, third-party sources including market reports and information available

from tastytrade, Inc management; and

 Assessed whether judgements made in deriving the assumptions gave rise to indicators of possible management

bias.

Representations were obtained from management that assumptions used were their best estimate and were

consistent with information currently available to them.

We evaluated the appropriateness of the critical accounting estimate and key sources of estimation uncertainty in note

1 to the Consolidated Financial Statements and the disclosures on goodwill in note 12 and considered these to be

reasonable. We also performed independent sensitivity calculations for the relevant assumptions included in note 12.

Based on the procedures performed, we considered management’s estimate of the recoverable amount to be

reasonable and concur with the directors’ conclusion that the goodwill within the US CGU is not impaired.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

111

IG Group Holdings plc

Annual Report 2024

Independent Auditors’ Report continued

Key audit matter How our audit addressed the key audit matter

OTC derivative revenue (Group)

The Group’s trading revenue is still predominantly generated from over

the counter (“OTC”) derivatives placed by clients, offset by net gains or

losses from the hedging trades that the Group places with external

market counterparties to manage its market risk. The Group’s revenue on

these activities arises principally from spreads, overnight funding charges

and commissions. The audit of revenue from OTC derivatives is a focus of

our audit given the magnitude of the balance, the large volume of

transactions and the automated nature of the revenue calculations.

Refer to note 2 – Significant accounting policies and note 3 – Segment

analysis for further details.

We focused firstly on understanding the control environment in which revenue is recorded. We understood and

evaluated the design and implementation of key controls in place and tested their operating effectiveness.

These controls included:

 IT general controls over key revenue systems in scope;

 Automated business controls such as interfaces between in-scope systems, key reports and automated calculations;

 Validation of system calculated revenue numbers including manual client ledger postings made by management;

 Cash and settlement reconciliations; and

 Market counterparty and other third party reconciliations.

We concluded that we could place reliance on these controls for the purpose of our audit. Our substantive testing

included, but was not limited to, the following:

 Using data enabled auditing techniques, recalculating the revenue recorded in relation to a sample of trades

and agreeing these to the underlying accounting records and, where applicable, cash movements;

 Testing commission, overnight funding, guaranteed stop premium and cash currency transfer rates on a

sample basis;

 We tested the valuation of selected client and broker positions to third party pricing sources;

 We agreed all cash account balances to external third-party evidence at year-end through a combination of

independent confirmations and examination of bank statements;

 We agreed all amounts and balances held with market counterparties to independent confirmations or other

external third party evidence; and

 We tested manual client ledger postings on a sample basis.

Based on the procedures performed, no material issues arose from this work.

Carrying value of the investments in subsidiaries (Company)

The Company has total investments in subsidiaries of £1,103m, of which

the full amount is an investment in IG Group Limited (“IGGL”).

IGGL is the Group Holding Company which, via a series of other holding

companies, owns all the operating entities of the Group. This investment

is held at cost less any provision for impairment. IAS 36 requires that

investments are subject to an impairment review when there is an

indication that an asset may be impaired.

Management identified an indicator of impairment as the carrying value

of the net assets of IGGL was lower than the investment in subsidiaries

balance recorded in the Company, and performed an impairment

assessment and estimated the recoverable amount using a value-in-use

model.

The value-in-use was determined by management to be higher than the

fair value less costs of disposal. We have focused on this area as the

calculation of value-in-use involves judgement.

Management’s impairment assessment showed significant headroom

at year-end, and consequently no impairment provision is held against

this investment.

Refer to note 2 – Significant accounting policies and note 6 – Investment

in subsidiaries of the Company Financial Statements for further details.

We have evaluated management’s impairment assessment that identified an indicator for impairment and found this to

be reasonable.

We obtained management’s value-in-use calculation that was used to estimate the recoverable amount of the

investment in subsidiaries and performed the following substantive procedures:

 Assessed the reliability of management’s data used as inputs to management’s value-in-use calculation;

 Assessed the discount rate used for reasonableness;

 Assessed the long-term growth rate for reasonableness; and

 Tested the mathematical accuracy of management’s value-in-use model.

We evaluated the appropriateness of the disclosures on the investment in subsidiaries in the Company Financial

Statements and found these to be reasonable.

112

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Independent Auditors’ Report continued

How we tailored the audit scope

We tailored the scope of our audit to ensure

that we performed enough work to be able to

give an opinion on the financial statements as

a whole, taking into account the structure of

the Group and the Company, the accounting

processes and controls, and the industry in

which they operate.

We performed a risk assessment, giving

consideration to relevant external and

internal factors including industry

dynamics, litigation, climate change,

relevant accounting and regulatory

developments, the Group’s strategy and

the changes taking place across the Group.

We also considered our knowledge and

experience obtained in prior year audits.

Using our risk assessment, we tailored

the scope of our audit to ensure that we

performed enough work to be able to give

an opinion on the financial statements as

a whole, taking into account the structure

of the Group and the Company, the

accounting processes and controls, and

the industry in which they operate. We

continually assessed risks and changed

the scope of our audit where necessary.

The Group consists of a UK holding Company

with a number of subsidiary entities and

branches containing the operating businesses

of both the UK, United States and overseas

territories. Our risk assessment and scoping

identified tastytrade, Inc. as a significant

component of the Group. We obtained a full

scope audit opinion for the financial position

as at 31 May 2024 and results of tastytrade,

Inc for the year ended 31 May 2024. The audit

of tastytrade, Inc. was performed by a PwC

member firm in the United States.

The other significant financial reporting

component was determined to be the OTC

derivative business. As the accounting

records and related controls for the UK,

United States and overseas businesses are

primarily maintained and operated by the

Group’s finance teams in London and Krakow

this was considered one financial reporting

component. The technology and business

process controls that are relevant to our

financial statement audits are operated

by the Group in London, Krakow and

Bangalore. As a result, the audit work over

this component was performed by the Group

engagement team in London, supported by

the PwC member firm in Poland, reflecting

the centralised nature of the Group’s

financial reporting activities. Some of this

work was also relied upon by the PwC

engagement team auditing tastytrade, Inc.

All remaining components, which are

Exchange Traded Derivative and Stock

Trading and Investments businesses, were

subject to procedures which mitigated the

risk of material misstatement including Group

level analytical review procedures.

The Company audit was performed by the

Group engagement team.

We asked the partner and engagement

team reporting to us on tastytrade, Inc. to

work to an assigned materiality reflecting

the size of the tastytrade, Inc. component.

We were in active dialogue throughout

the year with the partner and engagement

team responsible for the audit, including

consideration of how they planned and

performed their work. Senior members of

our team undertook at least one in-person

site visit to Krakow and Chicago prior to

the year end. We obtained direct access to

their working papers to oversee and review

their work. We also attended meetings

with tastytrade, Inc. management.

We continued to make use of evidence provided by others. We used the work of PwC experts,

for example, valuation experts for our work over the estimation of the recoverable amount of

the US CGU – tastytrade, Inc (see related key audit matter).

The impact of climate risk on our audit

As part of considering the impact of climate change in our risk assessment, we evaluated

management’s assessment of the impact of climate risk, the detail of which is set out on page

23, including their conclusion that there are no material risks. Management’s assessment gave

consideration to a number of matters, including the results of their climate related risks and

opportunities exercise that was performed during the year. We have also understood the impact

of the Group’s carbon reduction targets, which are outlined on page 23 and these are not

considered to have a material impact on the financial statements.

Materiality

The scope of our audit was influenced by our application of materiality. We set certain

quantitative thresholds for materiality. These, together with qualitative considerations,

helped us to determine the scope of our audit and the nature, timing and extent of our audit

procedures on the individual financial statement line items and disclosures and in evaluating

the effect of misstatements, both individually and in aggregate on the financial statements

as a whole.

Based on our professional judgement, we determined materiality for the financial statements

as a whole as follows:

Financial statements – Group Financial statements – Company

Overall materiality £20,000,000

(2023: £22,400,000).

£17,400,000

(2023: £19,900,000).

How we

determined it

5% of profit before tax 1% of total assets

Rationale for

benchmark applied

We believe that 5% of profit before

tax is an appropriate quantitative

benchmark of materiality. A profit

before tax benchmark is standard

for listed entities like IG. In the

prior year, an adjusted profit

before tax benchmark was used to

take into consideration one-off

items such as the Nadex disposal.

We have used a benchmark of total

assets as the Company’s primary

purpose is to act as a holding

Company with investments in the

Group’s subsidiaries, not to

generate operating profits and

therefore a profit based measure is

not relevant. The benchmark used is

consistent with last year.

For each component in the scope of our Group audit, we allocated a materiality that is less than

our overall Group materiality. The range of materiality allocated across components was

between £4,900,000 and £19,000,000. Certain components were audited to a local statutory

audit materiality that was also less than our overall Group materiality.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

113

IG Group Holdings plc

Annual Report 2024

Independent Auditors’ Report continued

We use performance materiality to reduce

to an appropriately low level the probability

that the aggregate of uncorrected and

undetected misstatements exceeds

overall materiality. Specifically, we use

performance materiality in determining

the scope of our audit and the nature and

extent of our testing of account balances,

classes of transactions and disclosures, for

example in determining sample sizes. Our

performance materiality was 75% (2023:

75%) of overall materiality, amounting

to £15,000,000 (2023: £16,800,000)

for the Group financial statements and

£13,000,000 (2023: £14,900,000) for

the Company financial statements.

In determining the performance

materiality, we considered a number of

factors – the history of misstatements,

risk assessment and aggregation risk

and the effectiveness of controls – and

concluded that an amount at the upper

end of our normal range was appropriate.

We agreed with the Audit Committee that

we would report to them misstatements

identified during our audit above £1,000,000

(Group audit) (2023: £1,100,000) and

£870,000 (Company audit) (2023: £995,000)

as well as misstatements below those

amounts that, in our view, warranted

reporting for qualitative reasons.

Conclusions relating to going concern

Our evaluation of the directors’ assessment of

the Group’s and the Company’s ability to

continue to adopt the going concern basis of

accounting included:

 Performing a risk assessment to identify

factors that could impact the going

concern basis of accounting

 Obtaining and evaluating management’s

going concern assessment

 Understanding and evaluating the Group’s

financial forecasts and the Group’s stress

testing of liquidity and capital, including the

severity of the stress scenarios that were

used

 Validation of year end financial resources

such as cash and debt securities in issue.

 Evaluating the adequacy of the disclosures

made in the Financial Statements in relation

to going concern

 Consideration of the regulatory

requirements applicable to the Group

Based on the work we have performed,

we have not identified any material

uncertainties relating to events or

conditions that, individually or collectively,

may cast significant doubt on the Group’s

and the Company’s ability to continue as

a going concern for a period of at least

twelve months from when the financial

statements are authorised for issue.

In auditing the financial statements, we have

concluded that the directors’ use of the

going concern basis of accounting in the

preparation of the financial statements

is appropriate.

However, because not all future events

or conditions can be predicted, this

conclusion is not a guarantee as to

the Group’s and the Company’s ability

to continue as a going concern.

In relation to the directors’ reporting on

how they have applied the UK Corporate

Governance Code, we have nothing material

to add or draw attention to in relation to

the directors’ statement in the financial

statements about whether the directors

considered it appropriate to adopt the

going concern basis of accounting.

Our responsibilities and the responsibilities

of the directors with respect to going

concern are described in the relevant

sections of this report.

Reporting on other information

The other information comprises all of the

information in the Annual Report other than

the financial statements and our auditors’

report thereon. The directors are responsible

for the other information. Our opinion on the

financial statements does not cover the other

information and, accordingly, we do not

express an audit opinion or, except to the

extent otherwise explicitly stated in this

report, any form of assurance thereon.

In connection with our audit of the financial

statements, our responsibility is to read

the other information and, in doing so,

consider whether the other information is

materially inconsistent with the financial

statements or our knowledge obtained

in the audit, or otherwise appears to be

materially misstated. If we identify an

apparent material inconsistency or material

misstatement, we are required to perform

procedures to conclude whether there is

a material misstatement of the financial

statements or a material misstatement

of the other information. If, based on the

work we have performed, we conclude

that there is a material misstatement of

this other information, we are required

to report that fact. We have nothing to

report based on these responsibilities.

With respect to the Strategic report and

Directors’ Report, we also considered

whether the disclosures required by the UK

Companies Act 2006 have been included.

Based on our work undertaken in the course

of the audit, the Companies Act 2006

requires us also to report certain opinions and

matters as described below.

Strategic report and Directors’ Report

In our opinion, based on the work undertaken

in the course of the audit, the information

given in the Strategic report and Directors’

Report for the year ended 31 May 2024 is

consistent with the financial statements and

has been prepared in accordance with

applicable legal requirements.

In light of the knowledge and understanding

of the Group and Company and their

environment obtained in the course of the

audit, we did not identify any material

misstatements in the Strategic report and

Directors’ Report.

Directors’ Remuneration

In our opinion, the part of the Directors’

Remuneration Report to be audited has been

properly prepared in accordance with the

Companies Act 2006.

Corporate governance statement

The Listing Rules require us to review the

directors’ statements in relation to going

concern, longer-term viability and that part of

the corporate governance statement relating

to the Company’s compliance with the

provisions of the UK Corporate Governance

Code specified for our review. Our additional

responsibilities with respect to the corporate

governance statement as other information

are described in the Reporting on other

information section of this report.

114

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Independent Auditors’ Report continued

Based on the work undertaken as part of

our audit, we have concluded that each of

the following elements of the corporate

governance statement is materially

consistent with the financial statements

and our knowledge obtained during the

audit, and we have nothing material to

add or draw attention to in relation to:

 The directors’ confirmation that they have

carried out a robust assessment of the

emerging and principal risks;

 The disclosures in the Annual Report that

describe those principal risks, what

procedures are in place to identify

emerging risks and an explanation of how

these are being managed or mitigated;

 The directors’ statement in the financial

statements about whether they considered

it appropriate to adopt the going concern

basis of accounting in preparing them, and

their identification of any material

uncertainties to the Group’s and Company’s

ability to continue to do so over a period of

at least twelve months from the date of

approval of the financial statements;

 The directors’ explanation as to their

assessment of the Group’s and Company’s

prospects, the period this assessment

covers and why the period is appropriate;

and

 The directors’ statement as to whether

they have a reasonable expectation that

the Company will be able to continue in

operation and meet its liabilities as they

fall due over the period of its assessment,

including any related disclosures drawing

attention to any necessary qualifications

or assumptions.

Our review of the directors’ statement

regarding the longer-term viability of the

Group and Company was substantially less

in scope than an audit and only consisted

of making inquiries and considering

the directors’ process supporting their

statement; checking that the statement is

in alignment with the relevant provisions

of the UK Corporate Governance Code;

and considering whether the statement is

consistent with the financial statements and

our knowledge and understanding of the

Group and Company and their environment

obtained in the course of the audit.

In addition, based on the work undertaken as

part of our audit, we have concluded that

each of the following elements of the

corporate governance statement is materially

consistent with the financial statements and

our knowledge obtained during the audit:

 The directors’ statement that they consider

the Annual Report, taken as a whole, is fair,

balanced and understandable, and provides

the information necessary for the members

to assess the Group’s and Company’s

position, performance, business model

and strategy;

 The section of the Annual Report that

describes the review of effectiveness of risk

management and internal control systems;

and

 The section of the Annual Report

describing the work of the Audit

Committee.

We have nothing to report in respect of our

responsibility to report when the directors’

statement relating to the Company’s

compliance with the Code does not properly

disclose a departure from a relevant provision

of the Code specified under the Listing Rules

for review by the auditors.

Responsibilities for the financial statements

and the audit

Responsibilities of the directors for the

financial statements

As explained more fully in the Statement

of Directors’ Responsibilities in respect

of the Financial Statements, the directors

are responsible for the preparation of the

financial statements in accordance with the

applicable framework and for being satisfied

that they give a true and fair view. The

directors are also responsible for such internal

control as they determine is necessary

to enable the preparation of financial

statements that are free from material

misstatement, whether due to fraud or error.

In preparing the financial statements, the

directors are responsible for assessing

the Group’s and the Company’s ability to

continue as a going concern, disclosing,

as applicable, matters related to going

concern and using the going concern

basis of accounting unless the directors

either intend to liquidate the Group or

the Company or to cease operations, or

have no realistic alternative but to do so.

Auditors’ responsibilities for the audit of the

financial statements

Our objectives are to obtain reasonable

assurance about whether the financial

statements as a whole are free from material

misstatement, whether due to fraud or

error, and to issue an auditors’ report

that includes our opinion. Reasonable

assurance is a high level of assurance, but

is not a guarantee that an audit conducted

in accordance with ISAs (UK) will always

detect a material misstatement when it

exists. Misstatements can arise from fraud

or error and are considered material if,

individually or in the aggregate, they could

reasonably be expected to influence the

economic decisions of users taken on

the basis of these financial statements.

Irregularities, including fraud, are

instances of non-compliance with laws

and regulations. We design procedures

in line with our responsibilities, outlined

above, to detect material misstatements

in respect of irregularities, including

fraud. The extent to which our procedures

are capable of detecting irregularities,

including fraud, is detailed below.

Based on our understanding of the Group

and industry, we identified that the principal

risks of non-compliance with laws and

regulations related to breaches of the rules

of the Financial Conduct Authority, and

we considered the extent to which non-

compliance might have a material effect on

the financial statements. We also considered

those laws and regulations that have a direct

impact on the financial statements such

as the Companies Act 2006 and relevant

tax legislation. We evluated managments’s

incentives and opportunities for fraudulent

manipulation of the financial statements/

including the risk of override of controls),

and determined that the principal risks were

related to posting inappropriate journal

entries. The Group engagement team shared

this risk assessment with the component

auditors so that they could include

appropriate audit procedures in response

to such risks in their work. Audit procedures

performed by the Group engagement team

and/or component auditors included:

 Enquiries of management, internal audit,

and those charged with governance in

relation to known or suspected instances of

non-compliance with laws and regulation

and fraud;

 Review of correspondence with regulators,

and internal audit reports in so far as they

are related to the Financial Statements;

 Specific written enquiries of external legal

counsel to assist with our evaluation of

known instances of non-compliance with

laws and regulations, including their

potential impact;

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

115

IG Group Holdings plc

Annual Report 2024

 Challenging assumptions and judgements

made by management in its significant

accounting estimates, in particular in

relation to the carrying value of the goodwill

and the investment in subsidiaries (see

related key audit matters);

 Identifying and testing journal entries,

including those posted to certain account

combinations and those posted by

unexpected users;

 Incorporating unpredictability into the

nature, timing and/or extent of our testing;

and

 Review of reporting to the Audit Committee

and minutes of Board of Directors’

meetings and made enquiries of

management to understand the business

rationale for unusual and significant

transactions.

There are inherent limitations in the audit

procedures described above. We are less

likely to become aware of instances of non-

compliance with laws and regulations that are

not closely related to events and transactions

reflected in the financial statements. Also, the

risk of not detecting a material misstatement

due to fraud is higher than the risk of not

detecting one resulting from error, as

fraud may involve deliberate concealment

by, for example, forgery or intentional

misrepresentations, or through collusion.

Our audit testing might include testing

complete populations of certain transactions

and balances, possibly using data auditing

techniques. However, it typically involves

selecting a limited number of items for

testing, rather than testing complete

populations. We will often seek to target

particular items for testing based on their

size or risk characteristics. In other cases,

we will use audit sampling to enable us to

draw a conclusion about the population

from which the sample is selected.

A further description of our responsibilities

for the audit of the financial statements is

located on the FRC’s website at: www.frc.org.

uk/auditorsresponsibilities. This description

forms part of our auditors’ report.

Use of this report

This report, including the opinions, has been

prepared for and only for the Company’s

members as a body in accordance with

Chapter 3 of Part 16 of the Companies

Act 2006 and for no other purpose.

We do not, in giving these opinions,

accept or assume responsibility for any

other purpose or to any other person to

whom this report is shown or into whose

hands it may come save where expressly

agreed by our prior consent in writing.

Other required reporting

Companies Act 2006 exception reporting

Under the Companies Act 2006 we are

required to report to you if, in our opinion:

 we have not obtained all the information

and explanations we require for our audit;

 adequate accounting records have not

been kept by the Company, or returns

adequate for our audit have not been

received from branches not visited by us; or

 certain disclosures of directors’

remuneration specified by law are not

made; or

 the Company financial statements and the

part of the Directors’ Remuneration Report

and Policy to be audited are not in

agreement with the accounting records

and returns.

We have no exceptions to report arising from

this responsibility.

Appointment

We were appointed by the directors on

8 December 2010 to audit the financial

statements for the year ended 31 May 2011

and subsequent financial periods. The period

of total uninterrupted engagement is 14

years, covering the years ended 31 May 2011

to 31 May 2024.

Other matter

The Company is required by the Financial

Conduct Authority Disclosure Guidance

and Transparency Rules to include these

financial statements in an annual financial

report prepared under the structured digital

format required by DTR 4.1.15R – 4.1.18R and

filed on the National Storage Mechanism

of the Financial Conduct Authority. This

auditors’ report provides no assurance

over whether the structured digital format

annual financial report has been prepared

in accordance with those requirements.

Carl Sizer (Senior Statutory Auditor)

for and on behalf of

PricewaterhouseCoopers LLP

Chartered Accountants and Statutory Auditors

London

24 July 2024

Independent Auditors’ Report continued

116

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements

Primary Statements

Consolidated Income Statement 118

Consolidated Statement of Comprehensive Income 119

Consolidated Statement of Financial Position 120

Consolidated Statement of Changes in Equity 121

Consolidated Statement of Cash Flows 122

Notes to the Financial Statements

1. General information and basis of preparation 123

2. Material accounting policies 124

3. Segmental analysis 132

4. Operating costs 133

5. Auditors’ remuneration 134

6. Staff costs 134

7. Finance income 134

8. Finance costs 134

9. Taxation 135

10. Earnings per ordinary share 137

11. Dividends paid and proposed 138

12. Goodwill 138

13. Intangible assets 140

14. Property, plant and equipment 141

15. Financial investments 142

16. Cash and cash equivalents 142

17. Trade receivables 142

18. Other assets 142

19. Debt securities in issue 143

20. Lease liabilities 143

21. Trade payables 143

22. Other payables 143

23. Contingent liabilities and provisions 144

24. Share capital and share premium 144

25. Merger reserve 145

26. Other reserves 145

27. Employee share plans 146

28. Related party transactions 150

29. Financial instruments 151

30. Financial risk management 155

31. Cash flow information 160

32. Discontinued operations 161

33. Investment in associates 162

34. Investments in subsidiaries 163

35. Subsequent events 165

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

117

IG Group Holdings plc

Annual Report 2024

Financial Statements

Consolidated Income Statement

for the year ended 31 May 2024

		Year ended	Year ended
		31 May 2024	31 May 2023
	Note	£m	£m
Continuing operations
Trading revenue		852 . 4	949 .7
Introducing partner commissions		(7. 5)	( 7. 9)
Net trading revenue	3	844 .9	94 1 .8
Betting duty and financial transaction taxes		(5.3)	(10 . 4)
Interest income on client funds		14 5 . 7	81. 8
Interest expense on client funds		(3 .3)	(1. 0)
Other operating income		6.8	11 . 2
Net operating income		9 88.8	1 ,02 3.4
Operating costs	4	(6 0 4 .1)	(58 3. 8)
Net credit losses on financial assets	30	(15 . 5)	(1 .1)
Operating profit		369.2	438 .5
Finance income	7	59.9	30. 2
Finance costs	8	(2 4 .8)	(16 . 2)
Share of loss after tax from associates	33	(2 . 4)	(2 .6)
Fair value loss on financial investments reclassified on disposal		(1 .1)	–
Profit before tax		40 0.8	4 49. 9
Tax expense	9	(9 3 .1)	(86 . 2)
Profit for the year from continuing operations		3 0 7. 7	3 63.7
Profit for the year from discontinued operations	32	–	1. 3
Profit for the year attributable to owners of the parent		3 0 7. 7	365.0
Earnings per ordinary share for profit from continuing operations attributable to owners of the parent:
Basic	10	7 9.4p	86. 9p
Diluted	10	7 8.4p	8 6 .1p
Earnings per ordinary share for profit attributable to owners of the parent:
Basic	10	7 9.4p	8 7. 2 p
Diluted	10	7 8.4p	86. 4p

118

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

	Year ended 31 May 2024		Year ended 31 May 2023
	£m	£m	£m	£m
Profit for the year		3 0 7. 7		3 65.0
Other comprehensive income
Items that may be subsequently reclassified to the Consolidated Income Statement:
Debt instruments at fair value through other comprehensive income:
– fair value gain/(loss), net of tax	6.9		(11 . 9 )
– fair value loss on financial investments reclassified to the Consolidated Income
Statement on disposal	1 .1		–
Foreign currency translation (loss)/gain	(22 .6)		3.2
Other comprehensive (expense) for the year, net of tax		(14 . 6)		(8 .7)
Total comprehensive income for the year		2 9 3 .1		356. 3
Total comprehensive income attributable to owners of the parent arising from:
Continuing operations		2 9 3 .1		355 .0
Discontinued operations		–		1. 3
		2 9 3 .1		356. 3

Consolidated Statement of Comprehensive Income

for the year ended 31 May 2024

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

119

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Consolidated Statement of Financial Position

as at 31 May 2024

		31 May 2024	31 May 2023
	Note	£m	£m
Assets
Non-current assets
Goodwill	12	599. 0	6 11 . 0
Intangible assets	13	216 . 6	276 . 5
Property, plant and equipment	14	41. 8	3 6 .1
Financial investments	15	3 51 . 4	379. 6
Investment in associates	33	9.9	12 . 5
Other investments		1. 8	1. 2
Prepayments		5.4	0.3
Deferred tax assets	9	24 .6	23.2
		1 , 2 50.5	1 ,340.4
Current assets
Cash and cash equivalents	16	983 .2	798. 5
Trade receivables	17	508.3	570 .4
Financial investments	15	10 9. 3	226 .8
Other assets	18	36.6	15 . 0
Prepayments		2 7. 4	2 5.3
Other receivables		1 5.3	10 . 0
Income tax receivable	9	10 . 3	8.8
		1, 69 0 . 4	1, 6 5 4 . 8
Total assets		2,94 0.9	2,995 .2

		31 May 2024	31 May 2023
	Note	£m	£m
Liabilities
Non-current liabilities
Debt securities in issue	19	2 9 8 .1	2 9 7. 6
Other payables	22	1. 3	1. 2
Lease liabilities	20	1 5 .1	1 3.3
Deferred tax liabilities	9	51. 3	6 0.8
		365. 8	372. 9
Current liabilities
Trade payables	21	493 .3	478 . 0
Other payables	22	17 5 . 5	11 6 . 2
Lease liabilities	20	8 .7	7. 4
Income tax payable	9	8 .1	6 .1
		685 .6	6 0 7. 7
Total liabilities		1, 0 51. 4	98 0.6
Equity
Share capital and share premium	24	125 . 8	1 25.8
Translation reserve		98. 2	12 0 . 8
Merger reserve	25	59 0.0	59 0.0
Other reserves	26	(22 . 9)	(16 . 9)
Retained earnings		1, 0 9 8 . 4	1 , 1 94. 9
Total equity		1 ,889.5	2 , 014 . 6
Total equity and liabilities		2,94 0.9	2,995 .2

The Consolidated Financial Statements on pages 118 to 165 were approved by the Board of

Directors on 24 July 2024 and signed on its behalf by:

Charles A. Rozes

Chief Financial Officer

Registered Company number: 04677092

120

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

		Share	Share	Translation	Merger	Other	Retained
		capital	premium	reserve	reserve	reserves	earnings	Total
	Note	£m	£m	£m	£m	£m	£m	£m
At 1 June 2022		–	1 25.8	117 . 6	59 0.0	8.4	1 , 1 86.0	2 , 0 2 7. 8
Profit for the year and attributable to owners of the parent		–	–	–	–	–	365.0	365.0
Other comprehensive income/(loss) for the year		–	–	3. 2	–	(11 . 9)	–	(8 .7)
Total comprehensive income/(loss) for the year		–	–	3.2	–	(11 . 9 )	365 .0	356 .3
Tax recognised directly in equity on share-based payments	9	–	–	–	–	–	1. 0	1.0
Equity dividends paid	11	–	–	–	–	–	(1 8 8 .1)	(18 8 .1)
Movement due to share buyback	24	–	–	–	–	(2 .1)	(176 . 6)	(17 8 . 7)
Employee Benefit Trust purchase of own shares	26	–	–	–	–	(14 . 6)	–	(14 . 6)
Transfer of vested awards from the share-based payment reserve	26	–	–	–	–	( 7. 6 )	7. 6	–
Equity-settled employee share-based payments	27	–	–	–	–	13 . 3	–	13 . 3
Share-based payments converted to cash-settled liabilities	26	–	–	–	–	(2 .4)	–	(2.4)
At 31 May 2023		–	1 25.8	12 0 . 8	59 0.0	(16 . 9)	1 ,1 9 4 . 9	2 , 014 . 6
At 1 June 2023		–	12 5 . 8	12 0 . 8	59 0.0	(16 . 9)	1 ,1 9 4 . 9	2 , 014 . 6
Profit for the year and attributable to owners of the parent		–	–	–	–	–	3 0 7. 7	3 0 7. 7
Other comprehensive income/(loss) for the year		–	–	(22 . 6)	–	8.0	–	(14 . 6)
Total comprehensive income/(loss) for the year		–	–	(22 .6)	–	8.0	3 0 7. 7	2 9 3 .1
Tax recognised directly in equity on share-based payments	9	–	–	–	–	–	1. 4	1. 4
Equity dividends paid	11	–	–	–	–	–	(1 78.3)	(1 7 8.3)
Movement due to share buyback	24	–	–	–	–	0.6	(24 4 .7)	(2 4 4 .1)
Employee Benefit Trust purchase of own shares	26	–	–	–	–	(13 . 3)	–	(13 . 3)
Transfer of vested awards from the share-based payment reserve	26	–	–	–	–	(17. 4)	17. 4	–
Equity-settled employee share-based payments	27	–	–	–	–	16 . 7	–	16 . 7
Share-based payments converted to cash-settled liabilities	26	–	–	–	–	(0. 6)	–	(0 .6)
At 31 May 2024		–	12 5 . 8	98. 2	59 0.0	(22 . 9)	1, 0 9 8 . 4	1 ,889.5

Consolidated Statement of Changes in Equity

for the year ended 31 May 2024

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

121

IG Group Holdings plc

Annual Report 2024

Consolidated Statement of Cash Flows

for the year ended 31 May 2024

			Year ended
		Year ended	31 May 2023
		31 May 2024	Restated 1
	Note	£m	£m
Operating activities
Cash generated from operations 2	31	36 0.0	2 21. 4
Interest received on client funds		14 2 . 7	7 5.8
Interest paid on client funds		(2 .8)	(1. 0)
Income taxes paid		(10 2 . 9)	(11 6 . 6 )
Net cash flows generated from operating activities		3 9 7. 0	17 9 . 6
Investing activities
Interest received		50.6	25 . 6
Purchase of property, plant and equipment		(15 . 2)	(11 . 6 )
Payments to acquire and develop intangible assets		(2 .3)	(14 . 6)
Net proceeds from disposal of subsidiaries		–	1. 8
Net proceeds from disposal of investments in associates		–	0.2
Proceeds from sale of financial investments		2 51. 8	2 51. 7
Payments for purchase of financial investments		(89. 9)	(4 77 .5)
Net cash flow on acquisition of subsidiaries		–	(4 . 8)
Net cash flow on acquisition of other investments		(0.6)	–
Net cash flows generated from/(used in) investing activities		19 4 . 4	(229. 2)
Financing activities
Interest paid		(18 . 0)	(12 . 2)
Financing fees paid		(3 .2)	(3. 2)
Interest paid on lease liabilities		(1. 3)	(0.5)
Repayment of principal element of lease liabilities		(6. 6)	( 7.1)
Payments made for share buyback		(2 45. 6)	(17 5 . 2)
Equity dividends paid to owners of the parent	11	(1 7 8.3)	(18 8 .1)
Purchase of own shares held in Employee Benefit Trust		(13 . 3)	(14 . 6)
Net cash flows (used in) financing activities		(466.3)	(40 0 . 9)
Net increase/(decrease) in cash and cash equivalents		12 5 .1	(450.5)
Cash and cash equivalents at the beginning of the year		795 .2	1, 2 4 6 . 4
Impact of movement in foreign exchange rates		(8 .0)	(0 .7)
Cash and cash equivalents at the end of the year	16	9 12 . 3	795 . 2

1 Refer to note 1(f) for further information

2 Cash generated from operations includes cash generated from both continuing and discontinued operations and excludes net interest on client funds.

Financial Statements continued

122

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Notes to the Financial Statements

Financial Statements continued

1. General information and basis of preparation

General information

The Consolidated Financial Statements of IG Group Holdings plc and its subsidiaries (together

the Group) for the year ended 31 May 2024 were authorised for issue by the Board on 24 July

2024 and the Consolidated Statement of Financial Position was signed on the Board’s behalf by

Charles A. Rozes. IG Group Holdings plc is a public company limited by shares, which is listed on

the London Stock Exchange and incorporated and domiciled in England and Wales. The address

of the registered office is Cannon Bridge House, 25 Dowgate Hill, London, EC4R 2YA.

Basis of preparation

(a) Compliance with UK-adopted International Accounting Standards

The Consolidated Financial Statements have been prepared in accordance with UK-adopted

International Accounting Standards and with the requirements of the Companies Act 2006 as

applicable to companies reporting under those standards. There were no unendorsed standards

effective for the year ended 31 May 2024 affecting these Consolidated Financial Statements.

These Financial Statements have been prepared under the historical cost convention, as

modified by the revaluation of financial assets and financial liabilities at fair value through other

comprehensive income (FVOCI) and fair value through profit and loss (FVTPL).

The accounting policies which have been applied in preparing the Consolidated Financial

Statements for the year ended 31 May 2024 are disclosed in note 2.

(b) Critical accounting estimates and judgements

The preparation of these Financial Statements in conformity with UK-adopted International

Accounting Standards requires the Group to make judgements, estimates and assumptions that

affect the application of accounting policies and the amounts reported for assets and liabilities

as at the reporting date, and the amounts reported for revenue and expenses during the year.

The nature of estimates and judgements means that actual outcomes could differ from those

estimates and judgements.

In the Directors’ opinion, the only accounting estimate that has a material impact on the

presentation or measurement of items recorded in the Consolidated Financial Statements

is the following:

Recoverable amount of US cash-generating unit (CGU)

– The Group has estimated the

recoverable amount of its US CGU, which includes goodwill of £497.2 million (31 May 2023:

£509.2 million) and other acquisition-related intangibles. Key assumptions used in the value-in-

use calculations include management cash flow forecasts, the discount rate and the long-term

growth rate. The recoverable amount of the US CGU is sensitive to reasonably possible change

in these assumptions. Further information regarding the assumptions and their associated

sensitivities is provided in note 12.

There are no accounting judgements that have a material impact on the presentation or

measurement of items recorded in the Consolidated Financial Statement.

There were no new standards, amendments or interpretations issued and made effective during

the current year which have had a material impact on the Group, other than those outlined

below. The Group has not early adopted any standard, interpretation or amendment that have

been issued but is not yet effective.

The IASB has published a number of amendments to accounting standards that are effective for

annual reporting periods beginning on or after 1 January 2024. These include amendments

published to IFRS 7 – Financial Instruments: Disclosures, IFRS 16 – Leases, IAS 1 – Presentation of

Financial Statements, IAS 7 – Statement of Cash Flows and IAS 21 – The Effects of Changes in

Foreign Exchange Rates. The Group has assessed the impact of these amendments and they are

not expected to have a material impact on the Consolidated Financial Statements when adopted.

On 20 June 2023, Finance (No.2) Act 2023 was substantively enacted in the UK, introducing a

global minimum effective tax rate of 15.0%. The legislation implements a domestic top-up tax

and a multinational top-up tax, effective for accounting periods starting on or after

31 December 2023. The Group has applied the exemption from recognising and disclosing

information about deterred tax assets and liabilities related to top-up income taxes which is

available in IAS 12 – Income Taxes.

(d) Going concern

The Directors have prepared the Consolidated Financial Statements on a going concern basis

which requires the Directors to have a reasonable expectation that the Group has adequate

resources to continue in operational existence for a period of at least 12 months from the date

of approval of the Consolidated Financial Statements.

The Group meets its day-to-day working capital requirements through its available liquid assets

and debt facilities. The Group’s liquid assets exclude all monies held in segregated client money

accounts. In assessing whether it is appropriate to adopt the going concern basis in preparing the

Consolidated Financial Statements, the Directors have considered the resilience of the Group,

taking account of its liquidity position and cash generation, the adequacy of capital resources, the

availability of external credit facilities and the associated financial covenants, and stress testing of

liquidity and capital adequacy that considers the principal risks faced by the business.

The Directors’ assessment has considered future performance, solvency and liquidity over a

period of at least 12 months from the date of approval of the Consolidated Financial

Statements. The Board, following the review by the Audit Committee, has a reasonable

expectation that the Group has adequate resources for that period, and confirms that

they consider it appropriate to adopt the going concern basis in preparing the Group

Financial Statements.

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Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

1. General information and basis of preparationcontinued

(e) Other matters

On 22 November 2023, the Group entered into a sponsorship agreement in respect of an arena

located in the Aichi Prefecture in Japan, for a total consideration of £31.3 million (JPY 6,273.9

million). The agreement awards naming rights which meet the criteria for recognition as a lease

under IFRS 16 – Leases. A right-of-use asset and a corresponding lease liability will be initially

recognised upon the lease commencement date, expected to be in the summer of 2025. The

Group has made a payment of £1.6 million (JPY 308.0 million) under the terms of this

arrangement during the year. This is disclosed as a non-current prepayment as at 31 May 2024.

(f) Restatement of comparatives

Proceeds from sale of financial investments of £251.8 million (31 May 2023: £251.7 million) and

payments for purchase of financial investments of £89.9 million (31 May 2023: £477.5 million)

were presented on a net basis in prior year. However, in the current year these balances have

been presented as separate line items in the Consolidated Statement of Cash Flows, in

accordance with requirements of IAS 7 – Statement of Cash Flow. To ensure consistency with

the current year, comparative figures have also been presented separately.

2. Material accounting policies

The accounting policies adopted in the preparation of the Consolidated Financial Statements

are consistent with those followed in the preparation of the Consolidated Financial Statements

for the year ended 31 May 2023.

Basis of consolidation

Subsidiaries

The Consolidated Financial Statements include the financial results of IG Group Holdings plc

and the entities it controls (its subsidiaries) as listed in note 34.

Subsidiaries are consolidated from the date on which the Group obtains control, up until the

date on which Group’s control ceases. Control is achieved where the Group has existing rights

that give it the ability to direct the activities that affect the Group’s returns and exposure, or

rights to variable returns from the entity. The results, cash flows and final positions of the

subsidiaries used in the preparation of the financial statements are prepared for the same

reporting year as the parent company and are based on consistent accounting policies. Where

necessary, adjustments are made to the results of subsidiaries to align the accounting policies

used by subsidiaries with accounting policies used by the Group. All intercompany balances,

income and expenses between the Group entities, including unrealised profits arising from

them, are eliminated on consolidation.

Business combinations

Business combinations are accounted for using the acquisition method. On acquisition, the

identifiable assets, liabilities and contingent liabilities of a subsidiary are measured at their fair

values at the date of acquisition. The cost of an acquisition is measured at the fair value of

consideration transferred, including an estimate of any contingent or deferred consideration.

Contingent or deferred consideration is remeasured at each balance sheet date with periodic

changes to the estimated liability recognised in the Consolidated Income Statement.

Acquisition-related costs are expensed as they are incurred.

Goodwill is initially measured as the excess of the consideration transferred over the fair values

of identifiable net assets. If this consideration is lower than the fair values of identifiable net

assets acquired, the difference is credited to the Consolidated Income Statement in the year

of acquisition.

The results of subsidiaries acquired or disposed of during the year are included in the

Consolidated Income Statement from the effective date of acquisition or up to the effective

date of disposal, as appropriate.

Investment in associates and joint ventures

Associates are entities for which the Group has significant influence, but not control or joint

control. Investments in associates are accounted for under the equity method, after initially

being recognised at cost. The investment is adjusted for the Group’s share of the profit or loss

after tax of the associates, which is recognised from the date that significant influence begins,

up until the date that significant influence ceases.

Investments in associates are assessed for impairment indicators at each reporting date. If such

indicators exist, the recoverable amount is estimated to determine the extent of the impairment

loss (if any). If the recoverable amount of an asset is estimated to be less than its carrying

amount, the carrying value of the investment is reduced to its recoverable amount. Impairment

losses are immediately expensed in the Consolidated Income Statement.

Foreign currencies

The functional currency of each entity in the Group is consistent with the primary economic

environment in which the entity operates. Transactions in other currencies are initially recorded

in the functional currency by applying spot exchange rates prevailing on the date of the

transactions. Monetary assets and liabilities denominated in foreign currencies are revalued

at the entity’s functional currency exchange rate prevailing at the balance sheet date. Gains

and losses arising on revaluation are taken to trading revenue in the Consolidated Income

Statement. Non-monetary assets and liabilities denominated in foreign currencies are translated

at the rates prevailing at the date when the fair value was determined.

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Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

2. Material accounting policiescontinued

The Group’s presentational currency is Sterling. In the Consolidated Financial Statements, the

assets and liabilities of the Group’s overseas operations are translated into Sterling at exchange

rates prevailing on the balance sheet date. Income and expense items are translated at the

average exchange rates for the year. Goodwill and fair value adjustments arising on the acquisition

of a foreign operation are treated as assets and liabilities of the foreign operation and translated

at closing rate. Foreign currency translation differences arising from the translation of overseas

operations are recognised through other comprehensive income and in the translation reserve.

On disposal of an overseas operation, exchange differences previously recognised in other

comprehensive income are recycled to the Consolidated Income Statement as income or expense.

Revenue recognition

Trading revenue includes revenue arising from each of the Group’s four revenue generation

models: OTC derivatives, exchange-traded derivatives, stock trading and investments.

Revenue is shown net of sales taxes. Trading revenue is reported before introducing partner

commission, betting duties and financial transaction taxes, which are disclosed separately as an

expense in arriving at net operating income. Net trading revenue represents trading revenue

after adjusting for introducing partner commission.

OTC derivatives

Revenue from OTC derivatives represents:

i) fees paid by clients for spread, commission and funding charges in respect of the opening,

holding and closing of financial spread bets, contracts for difference or options contracts,

together with gains and losses for the Group arising on client trading activity; less

ii) fees paid by the Group in spread, commissions and funding charges arising in respect of

hedging the risk associated with the client trading activity and the Group’s currency

exposures, together with gains and losses incurred by the Group arising on hedging activity.

Open client and hedging positions are fair valued daily, with gains and losses arising on this

valuation recognised in revenue. The policies and methodologies associated with the

determination of fair value are disclosed in note 29.

Revenue from OTC derivatives is recognised on a trade-date basis.

Exchange-traded derivatives

Revenue from exchange-traded derivatives represents:

i) fee and commission income earned through facilitation of client trades; and

ii) payment for order flow generated from execution partners who accept trades from client

securities transactions.

In addition to transaction fees, revenue from exchange-traded derivatives also includes gains or

losses arising from the change in fair value of the Group’s market-making activity on its

multilateral trading facility.

Revenue from exchange-traded derivatives is recognised on a trade-date basis.

Stock trading

Revenue from stock trading represents fees and commission earned from client trades and the

administration of client assets. Revenue is recognised in full on the date of the trade being

placed or the fee being charged, except for custody fees which are accrued over the period for

which the Group holds the stocks on behalf of its clients.

Investments

Revenue from investments represents management fees, which are earned as a percentage

of assets under management. These are recognised over the period in which the service

is provided.

Interest income and expense

Interest income and expense is accrued on a time basis, by reference to the principal amount

outstanding and at the applicable interest rate.

Interest income and expense on client funds held with banks and clearing brokers are included

in net operating income, which is consistent with the nature of the Group’s operations.

Finance income and costs

All interest income and costs other than interest income and expense on segregated client

funds, are disclosed within finance income and costs. The details of finance income and costs

are disclosed in note 7 and note 8 respectively.

Dividends

Dividends declared but not yet distributed to the Company’s shareholders are recognised as a

liability in the period in which the dividends are approved by the Company’s shareholders, as

disclosed in note 11.

Employee benefits

Share-based payments

The Company operates four employee share plans: a Share-Incentive Plan, a Sustained

Performance Plan, a Medium-term Incentive Plan and a Long-term Incentive Plan. For market-

based vesting conditions, the cost of these awards is measured at fair value calculated using

option pricing models and are recognised as an expense in the Consolidated Income Statement

on a straight-line basis over the vesting period based on the estimate of the number of shares

that will vest. Details on the employee share plans is disclosed in note 27 of the Consolidated

Financial Statements.

For non-market-based vesting conditions, the cumulative expense is calculated representing

the extent to which the vesting period has expired and management’s best estimate of the

achievement or otherwise of non-market conditions determining the number of equity

instruments that will ultimately vest. The movement in cumulative expense since the previous

balance sheet date is recognised in the Consolidated Income Statement as part of operating

expenses, with a corresponding credit to equity.

Liabilities for the Group’s cash-settled portion of the Sustained Performance Plan are

recognised as variable remuneration over the relevant service period and are remeasured at

each balance sheet date until settlement.

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Company Information

125

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

2. Material accounting policiescontinued

The grant by the Company of options over its equity instruments to employees of the subsidiary

undertakings in the Group is treated as a capital contribution. The fair value of the employee

services received is recognised over the vesting period as an increase in the investment in

subsidiary undertakings, with a corresponding credit to equity. Upon awards vesting, the cost of

awards is transferred from the share-based payments reserve into retained earnings.

Pension obligations

The Group operates defined contribution schemes. Contributions are charged to the

Consolidated Income Statement when they become payable according to the rules of the

schemes. Once the contributions have been paid, the Group has no legal or constructive

obligations to pay further contributions.

Bonus schemes

The Group calculates an accrual for bonuses based on specific financial and non-financial

conditions and recognises an expense in the Consolidated Income Statement.

Termination benefits

Termination benefits are payable when an employment contract is terminated by the Group.

The Group recognises termination benefits when the Group can no longer withdraw the offer

of those benefits.

Leases

The Group’s leases are recognised as right-of-use assets with a corresponding lease liability

from the lease commencement date.

Leasing arrangements can contain both lease and non-lease components. The Group has

elected to separate out the non-lease component and to account for these separately from the

right-of-use assets.

The lease liability is initially measured as the net present value of the following payments:

 Fixed payments less any lease incentives

 Variable lease payments dependent on an index or rate initially measured as at the

commencement date

 Amounts payable by the Group under residual value guarantees

 Payments of penalties for terminating the lease

Lease payments are discounted at the Group’s estimated secured incremental borrowing rate.

This represents the cost to borrow funds in order to obtain similar valued right-of-use assets in a

similar economic environment with similar terms and conditions.

Right-of-use assets are measured at cost comprising:

 Lease liability at initial recognition

 Lease payments made at or before the commencement date less any lease incentives

received

 Initial direct costs

 Restoration costs

Right-of-use assets are depreciated over the duration of the lease term.

Lease payments for low-value assets or with a period of 12 months or less are recognised on a

straight-line basis as operating costs in the Consolidated Income Statement.

Taxation

The income tax expense represents the sum of tax currently payable and the movements in

deferred tax.

The current tax payable is based on taxable profit for the year. Taxable profit differs from

accounting profit reported in the Consolidated Income Statement as it excludes items of

income or expense taxable or deductible in other years and the items that are never taxable or

deductible. The Group’s liability for current tax is calculated using tax rates in the respective

jurisdictions that have been enacted or substantively enacted by the balance sheet date.

Deferred tax is accounted for on all temporary differences between the carrying amount of

assets and liabilities in the financial statements and the corresponding tax bases used in the

computation of taxable profit. In principle, deferred tax liabilities are recognised for all

temporary differences and deferred tax assets are recognised to the extent that it is probable

that taxable profits will be available, against which deductible temporary differences may be

utilised. Such assets and liabilities are not recognised if the temporary difference arises from

the initial recognition of other assets and liabilities (other than in a business combination) in a

transaction that affects neither the taxable profit nor the accounting profit.

Deferred tax liabilities are recognised for taxable temporary differences arising on investments

in subsidiaries, except where the Group is able to control the reversal of the temporary difference

and it is probable that the temporary difference will not reverse in the foreseeable future.

The carrying amount of deferred tax assets is reviewed at each balance sheet date and if

applicable reduced to the extent that it is no longer probable that sufficient taxable profits will

be available to allow all or part of the deferred tax asset to be utilised.

126

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Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

2. Material accounting policiescontinued

Deferred tax assets and liabilities are measured on an undiscounted basis at the tax rates that

are expected to apply when the related asset is utilised or liability is settled, based on tax rates

and laws enacted or substantively enacted at the balance sheet date. Deferred tax is charged or

credited in the Consolidated Income Statement, except when it relates to the items accounted

for directly in the equity or other comprehensive income, in which case the deferred tax is also

charged or credited to the equity or other comprehensive income respectively.

Deferred tax assets and liabilities are offset when they relate to income taxes levied by the

same tax authority and the Group intends to settle its current tax receivables and payables

on a net basis.

Property, plant and equipment

Property, plant and equipment are carried at cost less accumulated depreciation and

accumulated impairment losses. Cost comprises the aggregate amount paid and the fair value

of any other consideration given to acquire the asset, including costs directly attributable to

making the asset capable of operating as intended.

Depreciation is provided on all property, plant and equipment at rates calculated to write–off

the cost less estimated residual value based upon estimated useful lives. Estimated residual

value and useful lives are reviewed annually and residual values are based on prices prevailing at

the balance sheet date. Depreciation is charged to the Consolidated Income Statement on a

straight-line basis over the expected useful lives as follows:

Leasehold improvements – over the lease term of up to 15 years

Office equipment, fixtures and fittings – 5 years

Computer and other equipment – 2, 3 or 5 years

Right-of-use assets – over the lease term of up to 15 years

The carrying values of property, plant and equipment are reviewed for impairment when events

or changes in circumstances indicate the carrying value may not be recoverable, at which point

they are written down immediately to their recoverable amount. The amount of write down is

immediately charged to the Consolidated Income Statement.

An item of property, plant and equipment is derecognised upon disposal or when no future

economic benefits are expected to arise from the continued use of the asset. The gain or

loss arising on derecognition is determined as the difference between the sale proceeds

and carrying amount of the asset, and is immediately recognised in the Consolidated

Income Statement.

Goodwill

Goodwill is carried at cost less any accumulated impairment losses, with the carrying value

being reviewed for impairment at least annually, and whenever events or changes in

circumstances indicate that the carrying value may be impaired.

Goodwill is recognised as an asset and is allocated to CGUs by management for purposes of

impairment testing. A CGU represents the smallest identifiable group of assets which generate

cash inflows that are largely independent of the cash inflows from other assets or groups of

assets. Where the recoverable amount of a CGU is less than its carrying amount, including

goodwill, an impairment loss is recognised in the Consolidated Income Statement.

The carrying amount of goodwill allocated to a CGU is taken into account when determining the

gain or loss on disposal of a business unit, or of an operation within it.

Intangible assets

Intangible assets are carried at cost less accumulated amortisation and impairment losses.

Intangible assets acquired separately from a business are carried initially at cost. An intangible

asset acquired as part of a business combination, such as a trade name or customer relationship,

is recognised at fair value and identified separately from goodwill if the asset is separable or arises

from contractual or other legal rights and its fair value can be measured reliably. Development

expenditure is recognised as an intangible asset only after all the following criteria are met:

 The project’s assets are identifiable and under the Group’s control

 The costs in relation to the project can be accurately measured

 The project’s technical feasibility and commercial viability can be demonstrated

 The availability of adequate technical and financial resources

 Management’s intention to complete the project has been confirmed

 Probable future economic benefit has been established

Research and development expenditure on internally developed intangible assets, which do not

meet this criteria is taken to the Consolidated Income Statement in the year in which it is incurred.

Amortisation of intangible assets commence when it is brought into use. When management no

longer intends to bring the asset into use, the costs capitalised to date are immediately

expensed to the Consolidated Income Statement.

Intangible assets with a finite life are amortised over their expected useful lives and charged to

the Consolidated Income Statement on a straight-line basis, as follows:

Internally developed software – 3 to 5 years

Software and licences – over the contract term of up to 5 years

Trade names – 2 to 15 years

Customer relationships – 10 years

Non-compete arrangements – over the contract term of up to 5 years

Domain names – 10 years

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Company Information

127

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

2. Material accounting policiescontinued

The carrying value of intangible assets is reviewed for impairment whenever events or changes

in circumstances arise indicating the carrying value may not be recoverable.

Impairment of non-financial assets

The Group carries out an assessment of its non-financial assets (at least annually) to ascertain

whether events or changes in circumstances indicate that the carrying amount of the asset may

not be recoverable. If any such indication exists, the recoverable amount of the asset is

estimated to determine the extent of the impairment loss (if any). Where the asset does not

generate cash flows that are independent from other assets, the Group estimates the

recoverable amount of the CGU to which the asset belongs.

The recoverable amount is the higher of fair value less selling costs and value-in-use. In

assessing value-in-use, the estimated future cash flows are discounted to their present values

using a pre-tax discount rate. This rate reflects current market assessments of the time value of

money, as well as the risks specific to the asset to the extent the estimates of future cash flows

have not been adjusted.

If the recoverable amount of an asset is estimated to be less than its carrying amount, the

carrying amount of the asset is reduced to its recoverable amount. Impairment losses are

recognised as an expense in the Consolidated Income Statement immediately.

An assessment is made at each balance sheet date as to whether there is any indication that

previously recognised impairment losses may no longer exist or may have decreased. If such

indication exists, the recoverable amount is estimated and previously recognised impairment

losses are reversed only if there has been a change in the estimates used to determine the

asset’s recoverable amount since the last impairment loss was recognised. If that is the case, the

carrying amount of the asset is increased to its recoverable amount. That increased amount

cannot exceed the carrying amount that would have been determined had no impairment loss

been recognised for the asset in prior years. A reversal of an impairment loss is recognised as

income in the Consolidated Income Statement immediately, although impairment losses

relating to goodwill may not be reversed.

Financial instruments

Classification, recognition and measurement

The Group determines the classification of its financial instruments at initial recognition in

accordance with the following categories outlined under IFRS 9 – Financial Instruments and

re-evaluates this designation annually. The classification of financial assets takes into

consideration the Group’s business model for managing those financial assets and the nature of

their contractual cash flows. When financial instruments are recognised initially, they are

measured at fair value. In the case of financial assets and financial liabilities not at FVTPL, the fair

value of these assets and liabilities is measured net of directly attributable transaction costs.

Financial instruments are disclosed in note 29 of the Consolidated Financial Statements.

(a) Financial assets and liabilities measured at FVTPL

Financial assets and liabilities measured at FVTPL are financial assets and liabilities that are

not classified and measured at amortised cost or as FVOCI. The financial assets and liabilities

included in this category are the financial derivative open positions included in trade receivables

(due from brokers), money market funds, trade payables (excluding amounts due to clients) and

other investments. The Group uses derivative financial instruments in order to hedge derivative

exposures arising from open client positions, which are also classified as FVTPL.

All financial instruments at FVTPL are carried at fair value with gains or losses recognised in

trading revenue in the Consolidated Income Statement.

(b) Financial assets measured at amortised cost

Financial assets measured at amortised cost are non-derivative financial assets which are held

to collect the contractual cash flows. The contractual terms of the financial assets give rise to

payments on specified dates that are solely payments of principal amount and interest on the

principal amount outstanding. They are included in current assets, except for maturities greater

than 12 months after the end of the reporting period, which are classified as non-current

assets. The Group’s financial assets measured at amortised cost comprise trade receivables

(other than amounts due from brokers), other receivables, cash and cash equivalents and fixed

term deposits that are categorised under financial investments.

Interest on financial assets measured at amortised cost is included in finance income in

Consolidated Income Statement using the effective interest rate method. The effective interest

rate is either the rate that exactly discounts estimated future cash payments or receipts through

the expected life of the financial instrument. When calculating the effective interest rate, the

Group estimates cash flows considering all contractual terms of the financial instrument but does

not consider expected credit losses unless the asset is credit impaired. The calculation includes

all fees and spreads paid or received between parties to the contract that are an integral part of

the effective interest rate, transaction costs, and all other premiums or discounts.

Financial assets measured at FVOCI are assets that are held to collect the contractual cash

flows and to be sold. The contractual terms of these assets give rise to payments on specified

dates that are solely payments of principal and interest on the principal amount outstanding.

They are included in non-current assets unless the financial asset matures or management

intend to dispose of them within 12 months of the end of the reporting period. The Group’s only

FVOCI financial assets are its financial investments.

Unrealised gains or losses, other than loss allowances for expected credit losses, arising from

financial assets measured at FVOCI are reported in equity (in the FVOCI income reserve) and in

other comprehensive income in Consolidated Statement of Comprehensive Income, until such

assets are sold, collected or otherwise disposed of.

On disposal of a financial asset, the accumulated unrealised gain or loss included in equity is

recycled to the Consolidated Income Statement for the period and reported in gains/losses

from FVOCI reserve on disposal of financial assets. Gains and losses on disposal are determined

using the fair value of the asset at the date of derecognition.

128

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Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

2. Material accounting policiescontinued

Interest on financial assets is included in finance income and calculated using the effective

interest rate method. The effective interest rate is the rate that exactly discounts estimated

future cash payments or receipts through the expected life of the financial instrument. When

calculating the effective interest rate, the Group estimates cash flows considering all

contractual terms of the financial instrument but does not consider expected credit losses

unless the asset is credit impaired. The calculation includes all fees and spreads paid or received

between parties to the contract that are an integral part of the effective interest rate,

transaction costs, and all other premiums or discounts.

(d) Financial liabilities

The Group’s financial liabilities include trade payables, lease liabilities, debt securities in issue

and other payables. These are initially recognised at fair value less transaction fees. They are

subsequently measured at amortised cost using the effective interest method, excluding the

open derivative element of trade payables, which is measured at FVTPL. The interest expense is

calculated at each reporting period by applying the effective interest rate, and the resulting

charge is reflected in finance costs in the Consolidated Income Statement.

(e) Determination of fair value

Financial instruments arising from client positions, financial derivatives included in trade

receivables (due from brokers), trade payables (excluding amounts due to clients), money

market funds and financial investments are stated at fair value. They are disclosed according to

the valuation hierarchy required by IFRS 13 – Fair Value Measurement. Fair values are

predominantly determined by reference to third party market values. Fair value hierarchy levels

1 to 3 are based on the degree to which the inputs to the fair value calculations are observable:

 Level 1 inputs are valued using unadjusted quoted prices in active markets for identical

financial instruments

 Level 2 inputs are those that make use of a price that is derived from significantly observable

market data. For example, where an active market for an identical financial instrument to the

product used by the Group to hedge its market risk does not exist. The fair values used in the

valuation of these products are sometimes brokered values and may occur after the close of a

market but before the measurement date. The effects of discounting are generally

insignificant for these Level 2 financial instruments

 Level 3 inputs are those that incorporate information other than observable market data

The fair value hierarchy level of a financial instrument is the same level as the lowest level input

that is significant to the measurement of the instrument’s fair value.

Impairment of financial assets

The Consolidated Income Statement includes a loss allowance reflecting the change in

expected credit losses. Expected credit losses are recognised for trade receivables, cash and

cash equivalents, other receivables and financial investments. Expected credit losses are

calculated as the difference between the contractual cash flows that are due to the Group and

the cash flows that the Group expects to receive given the probability of default and loss given

default, discounted at the original effective interest rate.

At initial recognition of financial assets, an allowance is made for expected credit losses

resulting from default events that are possible within the next 12 months, except for where the

simplified approach is used where an allowance is made for the lifetime expected credit loss. In

the event of a significant increase in credit risk, an allowance is made for expected credit losses

resulting from possible default events over the expected life of the financial asset. The Group

applies the simplified approach for trade receivables and other receivables where the revenue

associated with these receivables is recognised in accordance with IFRS 15 – Revenue from

Contracts with Customers. The Group applies the general approach for all other financial

assets. Financial assets that have not experienced a significant increase in credit risk are

categorised as Stage 1 and 12-month expected credit losses are recognised; financial assets

which are considered to have experienced a significant increase in credit risk since initial

recognition are considered to be Stage 2; and financial assets which have defaulted or are

otherwise considered to be credit impaired are allocated to Stage 3. Analysis of the credit risk

for Group’s assets is disclosed in note 30 of the Consolidated Financial Statements.

An assessment of whether credit risk has increased significantly considers changes in the

credit rating associated with the asset, whether contractual payments are more than 30 days

past due and other reasonable information demonstrating a significant increase in credit risk. In

accordance with the Group’s internal credit risk management definition, financial instruments

have a low credit risk when they have an external credit rating of investment grade.

If no external credit rating is available, reference is made to the Group’s internal credit risk policy.

Assets are transferred to Stage 3 when an event of default, as defined in the Group’s credit risk

management policy, occurs or where the assets are credit impaired. The Group determines that

a default occurs when a payment is 90 days past due for all assets, except for receivables from

clients where it uses 120 days. This is aligned with the Group’s risk management practices.

All changes in expected credit losses subsequent to the assets’ initial recognition are

recognised as an impairment loss or gain. Financial assets are written off, either partially or in

full, against the related allowance when the Group has no reasonable expectations of recovery

of the asset. Subsequent recoveries of amounts previously written off decrease the amount of

impairment losses recorded in the Consolidated Income Statement.

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

129

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

2. Material accounting policiescontinued

Derecognition of financial assets and liabilities

A financial asset or liability is derecognised when the contract that gives rise to it is settled, sold,

cancelled or expired.

(a) Financial assets

A financial asset is derecognised when the right to receive cash flows from the asset has

expired; or the Group retains the right to receive cash flows from the asset, but has assumed

an obligation to pay them in full without material delay to a third party under a ‘pass-through’

arrangement; or the Group has transferred its right to receive cash flows from the asset and

either has transferred substantially all the risks and rewards of the asset, or has neither

transferred nor retained substantially all the risks and rewards of the asset, but has transferred

control of the asset.

When the Group has transferred its right to receive cash flows from an asset and has neither

transferred nor retained substantially all the risks and rewards of the asset nor transferred

control of the asset, the asset is recognised to the extent of the Group’s continuing involvement

in the asset. Continuing involvement that takes the form of a guarantee over the transferred

asset is measured at the lower of the original carrying amount of the asset and the maximum

amount of consideration that the Group could be required to repay as a result of the guarantee.

(b) Financial liabilities

A financial liability is derecognised when the obligation under the liability is discharged,

cancelled or expires. Where an existing financial liability is replaced by another from the same

lender on substantially different terms, or the terms of an existing liability are substantially

modified, such an exchange or modification is treated as a derecognition of the original liability.

On recognition of a new liability the difference in the respective carrying amounts together with

any costs or fees incurred are recognised in Consolidated Income Statement.

Offsetting financial instruments

Amounts due from or to clients are offset, with the net amount reported in the Consolidated

Statement of Financial Position. Similarly, amounts due from and to brokers are offset, also

presented net on the Consolidated Statement of Financial Position. Amounts are offset where

there is a legally enforceable right to offset the recognised amounts, and there is an intention to

settle on a net basis or realise the asset and settle the liability simultaneously. The legally

enforceable right must not be contingent on future events and must be enforceable in the

normal course of business and in the event of default, insolvency or bankruptcy of the Group or

the counterparty.

Trade payables and receivables

Trade payables represent balances with counterparties and clients where the combination of

cash held on account and the valuation of financial derivative open positions result in an amount

payable by the Group.

Trade receivables represent balances with counterparties and clients where the combination

of cash held on account and the valuation of financial derivative open positions results in an

amount due to the Group. Trade receivables balances also include commissions and required

deposits due from the Group’s broker-dealer counterparties.

For trade receivables under IFRS 15 – Revenue from Contracts with Customers that do not

contain a significant financing element, the Group has applied the simplified approach for

measuring impairment. The expected lifetime credit loss is recognised at initial recognition of

the financial asset, with the loss allowance calculated by reference to an ageing debt profile,

adjusted for forward-looking information. Trade receivables are written off when there is

objective evidence of non-collectability or when an event of default occurs. For all other trade

receivables, the general approach has been applied for measuring impairment.

Other assets

Other assets represent cryptocurrency assets and rights to cryptocurrency assets controlled by

the Group. The Group offers financial derivatives with cryptocurrencies as an underlying asset.

The Group purchases and sells cryptocurrency assets as part of its hedging activity associated

with this product offering.

The Group holds cryptocurrency assets for trading in the ordinary course of its business,

effectively acting as a commodity broker-dealer in respect of the underlying cryptocurrency

asset because the salient features of these assets are, in economic terms, consistent with

certain commodities under IAS 2 – Inventories, 3(b). The assets are recognised on trade date

and measured at fair value less costs to sell, with changes in valuation being recorded in the

Consolidated Income Statement in the period in which they arise. Cryptocurrency assets are not

financial instruments, and they are categorised as non-financial assets.

The Group also act as a broker for the custody and trade of cryptocurrency related assets. The

Group does not provide custody or safeguarding services in relation to these assets. Customers

are instead required to contract directly with a third party custodian for the custody of their

cryptocurrency assets. The cryptocurrency assets where the Group acts as a broker are not

recognised on the Consolidated Statement of Financial Position.

Other receivables

Other receivables are the financial assets which give rise to payments on specified dates that

are solely payments of principal amount and interest on the principal amount outstanding. They

are assets that have not been designated as FVTPL. Such assets are carried at amortised cost

using the effective interest method if the time value of money is significant.

For other receivables under IFRS 15 – Revenue from Contracts with Customers that do not

contain a significant financing element, the Group applies a simplified approach for measuring

impairment, similar to that of trade receivables.

130

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Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

2. Material accounting policiescontinued

Prepayments

Prepayments are assets with fixed or determinable payments made in advance for services or

goods. They do not qualify as financial assets and are amortised over the period in which the

economic benefit is expected to be consumed.

Cash and cash equivalents

Cash comprises of cash on hand and demand deposits which may be accessed within 90 days

without penalty. Cash equivalents are short-term highly liquid investments that are readily

convertible into known amounts of cash and which are subject to an insignificant risk of

changes in value. This includes money market funds.

The Group holds money on behalf of clients in accordance with the client money rules of the UK

Financial Conduct Authority (FCA) and other regulatory bodies. Such monies are classified as

either cash and cash equivalents or segregated client funds in accordance with the relevant

regulatory requirements or legal protections attached to the monies.

The Group deposits a certain amount of its own cash into segregated client money accounts as

buffers to prevent shortfalls. As the Group retains rights to these balances, they are recognised

on the Statement of Financial Position within trade receivables. These buffer balances do not

meet the criteria for cash and cash equivalents.

The majority of the Group’s cash balances are held with investment-grade banks. The Group

considers the risk of default, and how adverse changes in economic and business conditions

might impact the ability of the banks to meet their obligations. The Group assesses the

expected credit losses on cash and cash equivalents on a forward-looking basis and whether

there has been a significant increase in credit risk since initial recognition.

Money market funds are mutual funds that invest in a diversified range of money market

instruments, such as government owned instruments and short-term debt from highly credit

rated counterparties. Money market funds are presented within cash and cash equivalents as

they are short-term highly liquid investments that are readily convertible into known amounts of

cash, they are subject to an insignificant risk of changes in value and they can be withdrawn

without penalty.

Segregated client funds are held in segregated client money accounts which are held off-

balance sheet. The Group’s ability to control these funds is restricted by local client money

regulations. Furthermore, the Group is not exposed to credit risk in the event of insolvency of

the financial institutions in which the funds are held, nor is the Group able to use these funds for

its own operations.

Client funds are held by the Group when a client agrees that full ownership of such monies is

unconditionally transferred to the Group. Accordingly, these funds are recognised within cash

and cash equivalents with a corresponding liability to clients within trade payables.

The Group has a notional multi-currency pooling arrangement (the Pool). Where there is no

legally enforceable right to offset the amounts due to the Pool against the amounts due from

the Pool across different currencies, nor is there an intention for settlement to take place on a

net basis, the Group shows a gross presentation for these balances on the Consolidated

Statement of Financial Position. The balance due to the Pool is included in other payables.

Further details on the Pooling arrangement is disclosed in note 22 of the Consolidated

Financial Statements.

Other payables

Non-derivative financial liabilities are recognised initially at fair value and subsequently

measured at amortised cost using the effective interest rate method if the time value of money

is significant.

Provisions

Provisions are recognised when the Group has a present legal or constructive obligation as a

result of past events, it is probable that an outflow of resources will be required to settle the

obligation, and the amount can be reliably estimated.

Contingent liabilities

Contingent liabilities, which include certain guarantees and letters of credit pledged as

collateral security, and contingent liabilities related to legal proceedings or regulatory matters,

are not recognised in the Consolidated Financial Statements but are disclosed unless the

probability of settlement is remote. Contingent liabilities are assessed continually to determine

whether an outflow of economic benefits has become probable. If it becomes probable that an

outflow of future economic benefits will be required for an item previously dealt with as a

contingent liability, a provision is recognised in the Consolidated Financial Statements of the

period in which the change in probability occurs.

Debt securities in issue

Debt securities in issue are recognised initially at fair value. Subsequently, debt securities are

measured at amortised cost, with any difference between net proceeds and the redemption

value being recognised in the Consolidated Income Statement over the lifetime of the security

using the effective interest rate method. Transaction fees are recognised on the Consolidated

Income Statement.

Share capital

(a) Classification of shares as debt or equity

When shares are issued, any component that creates a financial liability for the Group is

presented as a liability on the Consolidated Statement of Financial Position; measured initially

at fair value net of transaction costs and subsequently at amortised cost until extinguished on

conversion or redemption. Dividends paid are charged as an interest expense in the

Consolidated Income Statement.

Equity instruments issued by the Company are recorded as the proceeds are received,

net of direct issue costs. Equity instruments are classified according to the substance of the

contractual arrangements entered into. An equity instrument is any contract that evidences a

residual interest in the assets of the Group after deducting all of its liabilities .

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Company Information

131

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

2. Material accounting policiescontinued

(b) Own shares held in Employee Benefit Trusts

Shares held in Employee Benefit Trusts for the purposes of employee share schemes are

classified as a deduction from shareholders’ equity and are recognised at cost. Consideration

received for the sale of such shares is recognised in equity, with any difference between the

proceeds from the sale and the cost being taken to reserves. No gain or loss is recognised in the

Consolidated Income Statement on the purchase, sale, issue or cancellation of equity shares.

Upon entering into a contract with a bank or broker which includes an obligation for that bank

or broker to acquire the Company’s own shares on its behalf, a financial liability is recognised at

the present value of the amount payable to the bank or broker, taking into consideration the

contractual terms of the broker agreement, with a corresponding debit to the share buyback

reserve, which is included within other reserves. Following initial recognition, the financial

liability is measured in accordance with the Group’s existing accounting policies for financial

liabilities. The amount recognised in the share buyback reserve is reduced by the consideration

paid for the purchase of own shares and transferred to retained earnings. The value of the

Group’s issued share capital is reduced by the nominal value of the shares repurchased and

transferred to the capital redemption reserve, which forms part of other reserves.

Where the contract to repurchase shares expires prior to completing the repurchase, and

incomplete delivery of the shares has taken place, the remaining balance recognised in the

share buyback reserve is reversed along with the remaining financial liability. Any consideration

paid to acquire own shares which exceeds the amount initially recognised is a transaction

related cost and recognised directly in equity.

3. Segmental analysis

The Executive Directors are the Group’s Chief Operating Decision Maker (CODM). Management

has determined the reportable segments based on the information reviewed by the CODM for

the purposes of allocating resources and assessing performance.

The Group manages market risk and a number of other activities on a Group-wide portfolio

basis and accordingly a large proportion of costs are incurred centrally. These central costs

are not allocated to individual segments for decision-making purposes for the CODM, and,

accordingly, these costs have not been allocated to segments. Additionally, the Group’s assets

and liabilities are not allocated to individual segments and not reported as such for decision

making purposes to the CODM. Therefore, the segmental analysis does not include a measure

of profitability, nor a complete segmented balance sheet, as this would not reflect the

information which is received by the CODM on a regular basis.

The CODM are presented a view of total revenue split by product. Total revenue is an alternative

performance measure which comprises net trading revenue and net interest on client funds.

Total revenue by reportable segment

Net trading revenue represents trading revenue that is generated from clients trading activities

after deducting introducing partner commissions. Net interest on clients funds represents

interest earned on client money balances after deducting interest paid to clients. These two

amounts collectively make up total revenue. The CODM uses total revenue as the primary

measure of performance of the segments. The CODM considers business performance from a

product perspective, split into OTC derivatives, exchange-traded derivatives, stock trading and

investments and net interest on clients funds. The products shown in the segmental analysis are

aggregated where these products are economically similar in nature.

The segmental breakdown of total revenue is as follows:

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
OTC derivatives	681.0	782.0
Exchange-traded derivatives	141.1	137.1
Stock trading and investments	22.8	22.7
Net trading revenue	844.9	941.8
Net interest on client funds	142.4	80.8
Total revenue	987.3	1,022.6

132

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Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

3. Segmental analysiscontinued

The CODM also considers business performance based on geographical location. This geographical

split reflects the location of the office that manages the underlying client relationships.

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Net trading revenue by geography:
UK	280.3	322.0
Australia	84.7	99.8
Japan	78.5	99.3
Singapore	72.4	68.8
EMEA Non-EU	47.8	55.3
Emerging markets	36.7	39.5
UK, APAC & Emerging markets	600.4	684.7
US	143.2	140.9
EU	101.3	116. 2
Net trading revenue	844.9	941.8
Net interest on client funds – US	75.6	50.4
Net interest on client funds – Other	66.8	30.4
Total revenue	987.3	1,022.6

The Group does not derive more than 10.0% of revenue from any one single client.

The segmental breakdown of non-current assets excluding financial investments, other

investments and deferred tax assets, based on geographical location is as follows:

	31 May 2024	31 May 2023
	£m	£m
US	716.5	770.7
UK	133.3	152.6
EMEA Non-EU	9.1	4.7
EU	8.0	5.7
Japan	2.4	1.9
Australia	2.3	0.4
Singapore	1.1	0.3
Emerging markets	–	0.1
Total non-current assets	872.7	936.4

4. Operating costs

		Year ended	Year ended
		31 May 2024	31 May 2023
	Note	£m	£m
Fixed remuneration		215.4	193.0
Variable remuneration		52.8	55.6
Employee-related expenses		268.2	248.6
Advertising and marketing		83.1	93.5
Depreciation, amortisation and impairment	13,14	75.8	61.6
IT, market data and communications		57.3	51.9
Trading related costs		36.8	38.7
Legal and professional costs		33.8	25.8
Premises-related costs		10.6	10.8
Regulatory fees		5.4	8.5
Other costs		33.1	44.4
Total operating costs from continuing operations		604 .1	583.8
Total operating costs from discontinued operations		–	0.2

During FY24, the Group announced measures to streamline operations and reduce headcount.

As at 31 May 2024, the Group has recognised a provision for redundancy compensation of £7.6

million on the balance sheet and an expense of £12.6 million has been recognised within fixed

remuneration costs.

Premises related costs include £0.2 million (31 May 2023: £0.6 million) short-term operating

leases which do not meet the criteria to be capitalised as right-of-use assets.

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Company Information

133

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

5. Auditors’ remuneration

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Audit fees 1
Parent company and consolidated financial statements	1.7	1.3
Subsidiaries	1.5	1.4
Total audit fees	3.2	2.7
Audit related fees
Services supplied pursuant to legislation	0.6	0.6
Total audit related fees	0.6	0.6
Non-audit fees
Other services	0.2	0.2
Total non-audit fees	0.2	0.2

1 Included in the balances above, are adjustments made to the audit fees after completion of audits.

Audit related fees include services provided by the Group’s auditors, that are specifically

required by legislation or regulation, and other audit related assurance services. The amounts

stated in the table above are exclusive of value-added tax.

6. Staff costs

Staff costs for the year, including Executive Directors, were as follows:

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Wages and salaries	186.9	165.5
Performance-related bonuses	30.0	34.3
Social security costs	21.6	23.2
Share-based payments	18.0	15.1
Pension costs	11.7	10.5
Total staff costs	268.2	248.6

The Group does not operate any defined benefit pension schemes. Pension costs includes

employee-nominated payments to defined contribution schemes and Company contributions.

The Directors’ remuneration for the years ended 31 May 2024 and 31 May 2023 are set out in

the Directors’ Remuneration Report on pages 89 to 105.

The average monthly number of employees, including Executive Directors, split into the key

activity areas was as follows:

	Year ended	Year ended
	31 May 2024	31 May 2023
Technology and change management	1,160	1,119
Support functions	440	416
Sales and client management	405	426
Marketing	370	362
Trading and operations	342	342
	2,717	2,665

7. Finance income

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Bank interest receivable	14.7	7.5
Interest receivable on cash held at brokers	17. 2	5.9
Interest receivable on financial investments	14.7	9.1
Interest receivable on money market funds	13.1	7. 6
Other interest	0.2	0.1
	59.9	30.2

8. Finance costs

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Interest and fees on debt securities	9.9	10.0
Interest payable on client funds	4.6	–
Interest payable to brokers	4.4	2.2
Interest and fees on revolving credit facility	2.9	2.7
Bank interest payable	1.5	0.6
Interest payable on lease liabilities	1.3	0.5
Interest and fees on sale and repurchase agreements	0.2	0.2
	24.8	16.2

134

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Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

9. Taxation

Tax on profit on ordinary activities

Tax charged in the Consolidated Income Statement:

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Current income tax:
UK corporation tax	68.9	75.1
Non-UK corporation tax	34.6	24.3
Adjustment in respect of prior years	2.0	(6.1)
Total current income tax	105.5	93.3
Deferred income tax:
Origination and reversal of temporary differences	(8.4)	(7. 4)
Adjustment in respect of prior years	(2.8)	0.8
Impact of change in tax rates on deferred tax balances	(1.2)	(0.1)
Total deferred income tax	(12.4)	(6.7)
Total tax expense	93.1	86.6
Tax expense attributable to:
Continuing operations	93.1	86.2
Discontinued operations	–	0.4
Tax expense not charged to Consolidated Income Statement:
Tax recognised in other comprehensive expense	2.2	(6.2)
Tax recognised directly in equity	(1.4)	(1.0)

Reconciliation of the total tax expense

The standard UK corporation tax rate for the year ended 31 May 2024 is 25.0% (31 May 2023:

20.0%). Taxation outside the UK is calculated at the rates prevailing in the relevant jurisdictions.

The tax expense in the Consolidated Income Statement for the year can be reconciled as set

out below:

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Profit before taxation
From continuing operations	400.8	449.9
From discontinued operations	–	1.7
Total profit before tax	400.8	451.6
Profit before tax multiplied by the UK standard rate
of corporation tax of 25.0% (31 May 2023: 20.0%)	100.2	90.3
Expenses not deductible for tax purposes	3.0	1.6
Current year losses not recognised as deferred tax assets	1.2	0.3
Adjustment in respect of prior years	0.3	(5.3)
Patent Box deduction	(7.0)	(3.2)
Recognition and utilisation of losses previously not recognised	(2.8)	(0.4)
Impact of change in tax rates on deferred tax balances	(1.2)	(0.1)
Impact of overseas tax rates	(0.6)	3.4
Total tax expense attributable to:	93.1	86.6
Continuing operations	93.1	86.2
Discontinued operations	–	0.4

The effective tax rate for the year is 23.2% (31 May 2023: 19.2%).

The deferred tax assets and liabilities have been assessed at the tax rates that are expected to

apply when the related asset is realised or liability settled.

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Company Information

135

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

9. Taxationcontinued

Deferred income tax assets

	31 May 2024	31 May 2023
	£m	£m
Tax losses available for offset against future profits	4.5	3.8
Temporary differences arising on share-based payments	4.4	4.8
Temporary differences arising on fixed assets	–	1.1
Other temporary differences	15.7	13.5
	24.6	23.2

Deferred income tax liabilities

	31 May 2024	31 May 2023
	£m	£m
Temporary differences arising on business combinations	(47. 8)	(57. 6 )
Temporary differences arising on fixed assets	(1.3)	(0.2)
Other temporary differences	(2.2)	(3.0)
	(51.3)	(60.8)

Deferred income tax recovery

	31 May 2024	31 May 2023
	£m	£m
Deferred tax assets to be recovered within 12 months	9.8	4.4
Deferred tax assets to be recovered after 12 months	14.8	18.8
	24.6	23.2

Deferred income tax settlement

	31 May 2024	31 May 2023
	£m	£m
Deferred tax liabilities to be settled within 12 months	(8.4)	(7. 4)
Deferred tax liabilities to be settled after 12 months	(42.9)	(53.4)
	(51.3)	(60.8)

The recognised deferred tax asset reflects the extent to which it is considered probable that

future taxable profits can be offset against the tax losses carried forward.

Share-based payment awards have been charged to the Consolidated Income Statement but

are not allowable as a tax deduction until the awards are exercised. The excess of the expected

tax relief in future years over the amount charged to the income statement is recognised as a

credit directly to equity.

Unrecognised deferred tax assets

		31 May 2024
	Gross
	unrecognised
	losses for tax
	purposes	Tax value of loss
	£m	£m	Expiry date
Overseas trading losses	6.0	1.4	N/A
UK capital losses	23.5	5.9	N/A
	29.5	7. 3

		31 May 2023
	Gross
	unrecognised
	losses for tax
	purposes	Tax value of loss
	£m	£m	Expiry date
Overseas trading losses	16.1	4.1	N/A
UK capital losses	23.5	5.9	N/A
	39.6	10.0

The Group has an unrecognised deferred tax asset of £7.3 million (31 May 2023: £10.0 million) in

respect of prior and current year losses, the recoverability of which is dependent on sufficient

taxable profits of the entities.

The movement in the deferred income tax assets included in the Consolidated Statement of

Financial Position is as follows:

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
At the beginning of the year	23.2	17.5
Tax credited/(charged) to the Income Statement	4.5	(0.3)
Tax (charged)/credited to other comprehensive expense	(2.2)	6.2
Tax credited directly to equity	0.1	0.6
Impact of movements in foreign exchange rates	0.1	–
Reallocations between deferred tax assets and liabilities	(1.1)	(0.8)
At the end of the year	24.6	23.2

136

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Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

9. Taxationcontinued

The movement in the deferred income tax liability included in the Consolidated Statement of

Financial Position is as follows:

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
At the beginning of the year	(60.8)	(67. 2)
Amounts arising on acquisitions in the year	–	(0.6)
Tax credited to the income statement	7. 9	7.0
Impact of movements in foreign exchange rates	0.5	(0.8)
Reallocations between deferred tax assets and liabilities	1.1	0.8
At the end of the year	(51.3)	(60.8)

Factors affecting the tax charge in future years

Factors that may affect the Group’s future tax charge include the geographic location of the

Group’s earnings, the tax rates in those locations, changes in tax legislation, the recognition of

previously unrecognised tax losses and the resolution of open tax issues. The Group’s future tax

charge may also be impacted by changes in the Group’s business activities, client composition

and regulatory status, which could impact the Group’s exemption from the UK Bank Corporation

Tax Surcharge.

The calculation of the Group’s total tax charge involves a degree of estimation and judgement

with respect to the recognition of deferred tax assets, which are dependent on the Group’s

estimation of future profitable income, transfer pricing and of certain items whose tax

treatment cannot be finally determined until resolution has been reached with the relevant tax

authority. The Group operates in a number of jurisdictions worldwide, and tax laws in those

jurisdictions are themselves subject to change.

The OECD Pillar 2 global minimum tax rules come into force for the Group from 1 June 2024.

The tax footprint of the Group is such that the Pillar 2 rules are not expected to have a material

impact on the Group’s tax charge as there is currently insignificant activity in low tax

jurisdictions. The Group has applied the exception under IAS 12 – Income taxes to recognising

and disclosing information about deferred taxes related to Pillar 2 and therefore, there was no

impact on the recognition and measurement of deferred tax balances as a result of the

legislation being substantively enacted.

The Group determines its tax liability by taking into account its tax risks and it makes provision

for those matters where it is probable that a tax liability will arise. Tax payable may ultimately be

materially more or less than the amount already accounted for.

10. Earnings per ordinary share

Basic earnings per ordinary share is calculated by dividing the profit for the year attributable to

ordinary equity holders of the parent by the weighted average number of ordinary shares in

issue during the year, excluding shares held as own shares in the Group’s Employee Benefit

Trusts. Diluted earnings per ordinary share is calculated using the same profit figure as used in

basic earnings per ordinary share and by adjusting the weighted average number of ordinary

shares assuming the vesting of all outstanding share scheme awards.

	Year ended	Year ended
	31 May 2024	31 May 2023
Profit attributable to owners of the parent (£m)	307.7	365.0
Weighted average number of shares:
Basic	387,771,781	418,693,685
Dilutive effect of share-based payments	4,648,739	3,869,357
Diluted	392,420,520	422,563,042

	Year ended	Year ended
	31 May 2024	31 May 2023
Basic earning per ordinary share	79.4p	87. 2 p
– Attributable to continuing operations	79.4p	86.9p
– Attributable to discontinued operations	0.0p	0.3p
Diluted earning per ordinary share	78.4p	86.4p
– Attributable to continuing operations	78.4p	86.1p
– Attributable to discontinued operations	0.0p	0.3p

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Company Information

137

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

11. Dividends paid and proposed

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Final dividend for FY23 at 31.94 pence per share (FY22: 31.24p)	126.7	133. 2
Interim dividend for FY24 at 13.56 pence per share (FY23: 13.26p)	51.6	54.9
	178.3	188 .1

The final dividend for the year ended 31 May 2024 of 32.64 pence per share was approved

by the Board on 24 July 2024 and has not been included as a liability at 31 May 2024. This

dividend will be paid on 17 October 2024, following approval at the Company’s Annual

General Meeting (AGM), to those members on the register at the close of business on

20 September 2024.

12. Goodwill

The movement in the goodwill balance for the year is as follows:

	31 May 2024	31 May 2023
	£m	£m
At the beginning of the year	611.0	604.7
Impact of foreign exchange movement	(12.0)	6.3
At the end of the year	599.0	611.0

Goodwill has been allocated for impairment testing purposes to the CGUs as follows:

	31 May 2024	31 May 2023
	£m	£m
US	497. 2	509.2
UK	100.9	100.9
South Africa	0.8	0.8
Australia	0.1	0.1
	599.0	611. 0

Goodwill arose as follows:

 US – from the acquisition of tastytrade on 28 June 2021

 UK – from the reorganisation of the UK business on 5 September 2003

 South Africa – from the acquisition of Ideal CFDs on 1 September 2010

 Australia – from the acquisition of the non-controlling interest in IG Australia Pty Limited in the

year ended 31 May 2006

Impairment testing

The Group’s goodwill balance has been subject to a full impairment assessment and there has

not been any impairment recognised for the four CGUs (31 May 2023: £nil). For the purposes of

the Group’s impairment testing of goodwill, the carrying amount of each CGU is compared to

the estimated recoverable amount of the relevant CGU and any deficits are considered

impairments requiring recognition in the year.

The carrying amount of a CGU includes only those assets that can be attributed directly to it, or

allocated on a reasonable and consistent basis.

The estimated recoverable amount for each CGU is based upon the higher of the value-in-use

(VIU) and the Fair Value Less Cost of Disposal (FVLCD) for each CGU. For all CGUs, the

recoverable amount was higher than the carrying value and was determined using the VIU

method. The Group’s largest goodwill balance is associated with the US CGU.

Key assumptions used in the calculation of the recoverable amount of the US CGU

The key assumptions for the VIU calculations are those regarding the future cash flow

projections, long-term growth rate, and the discount rate.

Future cash flow projections:

The future cash flow projections of seven years were based on the most recent financial

forecasts considered for the US CGU. The future cash flow projections cover a period of four

years, reflecting the period over which the North American Board strategically assess

performance. A declining growth rate of 14.0% to 6.0% was used to extrapolate net trading

revenue in the final year of the four-year forecast period for a further three years, as the US

business is not expected to reach a steady state growth rate by the end of year four. The

terminal value was calculated based on the seventh year.

The cash flow projections take into account historical performance, together with the Group’s

views on future achievable growth relating to growth of market share and increased client

acquisition. Key assumptions are the projected annual growth of net trading revenue and

EBITDA margin. Net trading revenue growth is driven by increasing client numbers based on

assumptions relating to acquisition, conversion and retention of clients. EBITDA margin is based

on net trading revenue, interest on client money and cost assumptions. Interest on client money

is based on our expectation of future longer term interest rates and increases in total client

money balances as the underlying client base increases during the forecasted period. Revenue

related costs are forecasted to increase over the four year period, whilst operating costs such

as marketing and headcount expenditure are expected to grow to support the future growth in

revenue. The cash flow projections also take into account assumptions relating to working

capital requirements and capital expenditure.

138

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Financial Statements continued

Notes to the Financial Statements continued

12. Goodwillcontinued

Long-term growth:

The long-term growth is used to extrapolate the cash flows to perpetuity for the US CGU. A

long-term growth rate of 2.0% (31 May 2023: 2.0%) has been applied to derive a terminal value

based on the cash flows in year seven.

Discount rates:

The discount rate used to calculate the recoverable amount of the US CGU is based on a

post-tax weighted average cost of capital (WACC). The discount rate depends on a number of

inputs reflecting the current market assessment of the time value of money, determined by

external market information, and inputs relating to the risks associated with the cash flows

which are subject to management’s judgement.

A pre-tax discount rate is derived from the post-tax WACC. The pre-tax discount rate applied to

the seven-year cash flow period and thereafter is 20.8% (31 May 2023: 19.6%). The year-on-year

movement in the discount rate is as a result of rising interest rates and the change in the

weighting between cost of equity and debt.

Sensitivity to changes in key assumptions

The recoverable amount exceeds the carrying amount of the cash-generating unit. The impact

of sensitivities to reasonable changes in a single variable and the change required to reduce

headroom to nil are shown in the tables below.

The VIU calculation has been subject to a sensitivity analysis reflecting reasonable changes in

individual key assumptions. The below table shows the impact of reasonable changes in

individual key assumptions for the cash flow period for 31 May 2024. There is sufficient

headroom in the recoverable amount of the CGU based on the assumptions made.

		Reduction in
		recoverable
	Sensitivity	amount	Impairment	Changes required to reduce
FY24 Assumption	applied	£m	£m	headroom to nil
Net trading revenue rate	(5.0)%	(131.1)	nil	12.0% underperformance
EBITDA margin	(10.0)%	(101.2)	nil	14.4% underperformance
Discount rates	0.5%	(34.8)	nil	7.0% increase
Long-term growth rate	(0.5)%	(20.6)	nil	7.9% reduction

		Reduction in
		recoverable
	Sensitivity	amount	Impairment	Changes required to reduce
FY23 Assumption	applied	£m	£m	headroom to nil
Net trading revenue rate	(5.0)%	(104.7)	(77.7)	1.2% underperformance
EBITDA margin	(10.0)%	(85.1)	(58.1)	3.2% underperformance
Discount rates	0.5%	(29.3)	(2.3)	0.6% increase
Long-term growth rate	(0.5)%	(17.9)	nil	0.8% reduction

Key assumptions used in the calculation of the recoverable amount of CGUs excluding US

Future cash flow projections:

The Group has changed their approach to financial planning, with a shorter forecasting period

being used in response to factors both driven by, and impacting, the industry. The future cash

flow projections now cover a period of three years, reflecting the period over which the Group

Board strategically assess performance. Projected revenue is based on assumptions relating to

client acquisition and trading activity, and assumptions on interest earned on client funds.

Projected costs are based on assumptions relating to revenue related costs, including trading

and client transaction fees, and structural costs. Projected profitability takes into account

historical performance and the Group’s knowledge of the current market, together with the

Group’s views on the future achievable growth.

Regional long-term growth:

Regional long-term growth is used to extrapolate the cash flows to perpetuity for each CGU.

After a management forecast period of three years, a long-term growth rate of 2.0% (31 May

2023: 2.0%) has been applied to the cash flows to derive a terminal value.

Discount rates:

The discount rates used to calculate the recoverable amount of each CGU are based on a

post-tax WACC which is specific to each geographical region. The discount rate depends

on a number of inputs reflecting the current market assessment of the time value of money,

determined by external market information, and inputs relating to the risks associated with

the cash flow of each individual CGU which are subject to management’s judgement.

The post-tax WACC is grossed up to a pre-tax discount rate. The pre-tax discount rate applied to

calculate the recoverable amount of each CGU is as follows:

	31 May 2024	31 May 2023
UK	14.1%	14.0%
South Africa	19.6%	21.0%
Australia	15.3%	16.0%

Sensitivity to changes in key assumptions excluding the US CGU

The VIU calculation has been subject to a sensitivity analysis reflecting reasonable changes in

individual key assumptions. For all goodwill balances, there is sufficient headroom in the

recoverable amount of the CGU based on the assumptions made, and there is no reasonably

likely scenario under which material impairment could be expected to occur based on the

testing performed.

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Financial Statements continued

Notes to the Financial Statements continued

13. Intangible assets

				Internally
	Customer		Non-compete	developed		Software and
	relationships	Trade names	agreements	software	Domain names	licences	Total
	£m	£m	£m	£m	£m	£m	£m
Cost
At 1 June 2022	179.4	62.4	31.6	64.1	37. 0	33.6	4 08.1
Additions	–	–	–	7.0	–	7.6	14.6
Additions – business acquisition	–	–	–	8.0	–	–	8.0
Disposals	–	–	–	(2.8)	–	(11.7)	(14.5)
Impact of movements in foreign exchange rates	2.3	0.8	0.4	0.1	0.1	–	3.7
At 31 May 2023	181.7	63.2	32.0	76.4	37.1	29.5	419.9
At 1 June 2023	181.7	63.2	32.0	76.4	37.1	29.5	419.9
Additions	–	–	–	1.4	–	0.9	2.3
Disposals	–	–	–	(1.2)	–	(10.7)	(11.9)
Write–offs	–	–	–	(3.1)	–	–	(3.1)
Impact of movements in foreign exchange rates	(4.3)	(1.5)	(0.8)	(0.7)	–	(0.1)	(7.4)
At 31 May 2024	177.4	61.7	31.2	72.8	37.1	19.6	399.8
Accumulated amortisation and impairment
At 1 June 2022	17.5	3.7	5.8	37.4	22.3	29.3	116 . 0
Charge for the year	17.3	4.4	6.6	7.1	3.7	3.2	42.3
Disposals	–	–	–	(2.8)	–	(11.7 )	(14.5)
Impact of movements in foreign exchange rates	(0.2)	(0.1)	(0.1)	(0.1)	0.1	–	(0.4)
At 31 May 2023	34.6	8.0	12.3	41.6	26.1	20.8	143.4
At 1 June 2023	34.6	8.0	12.3	41.6	26.1	20.8	143.4
Charge for the year	18.1	4.2	6.3	8.8	2.9	4.4	44.7
Disposals	–	–	–	(0.4)	–	(10.6)	(11. 0)
Impairment	–	–	–	–	8.1	–	8.1
Impact of movements in foreign exchange rates	(1.0)	(0.2)	(0.4)	(0.3)	–	(0.1)	(2.0)
At 31 May 2024	51.7	12.0	18.2	49.7	37.1	14.5	183.2
Net book value – 31 May 2023	147.1	55.2	19.7	34.8	11.0	8.7	276.5
Net book value – 31 May 2024	125.7	49.7	13.0	23.1	–	5.1	216.6

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Financial Statements continued

Notes to the Financial Statements continued

14. Property, plant and equipment

		Office equipment,
	Leasehold	fixtures and	Computer and	Right-of-use
	improvements	fittings	other equipment	assets	Total
	£m	£m	£m	£m	£m
Cost
At 1 June 2022	24.1	7.1	55.3	36.6	123.1
Additions	0.4	0.4	10.8	8.9	20.5
Additions – business acquisition	0.2	0.5	–	–	0.7
Disposals	(0.6)	(0.2)	(2.1)	(4.4)	(7. 3)
Impact of movements in foreign exchange rates	–	(0.2)	(0.4)	(0.3)	(0.9)
At 31 May 2023	24.1	7.6	63.6	40.8	136 .1
At 1 June 2023	24 .1	7.6	63.6	40.8	136.1
Additions	2.1	0.9	12.2	10.7	25.9
Disposals	(8.7)	(2.0)	(25.0)	(11.1)	(46.8)
Transfers	(0.2)	(0.5)	0.7	–	–
Impact of movements in foreign exchange rates	(0.2)	(0.1)	(0.5)	(0.7)	(1.5)
At 31 May 2024	17.1	5.9	51.0	39.7	113.7
Accumulated depreciation
At 1 June 2022	20.4	6.2	43.2	16.7	86.5
Charge for the year	1.7	0.5	8.5	8.0	18.7
Disposal	(0.5)	(0.2)	(1.4)	(2.2)	(4.3)
Impact of movements in foreign exchange rates	(0.1)	(0.4)	(0.2)	(0.2)	(0.9)
At 31 May 2023	21.5	6.1	5 0.1	22.3	100.0
At 1 June 2023	21.5	6.1	50.1	22.3	100.0
Charge for the year	1.3	0.5	9.9	7. 2	18.9
Disposals	(8.7)	(2.0)	(24.7)	(11.0)	(46.4)
Impact of movements in foreign exchange rates	(0.1)	(0.1)	(0.1)	(0.3)	(0.6)
At 31 May 2024	14.0	4.5	35.2	18.2	71.9
Net book value – 31 May 2023	2.6	1.5	13.5	18.5	36.1
Net book value – 31 May 2024	3.1	1.4	15.8	21.5	41.8

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Financial Statements continued

Notes to the Financial Statements continued

15. Financial investments

	31 May 2024	31 May 2023
	£m	£m
UK Government securities	460.7	606.4
Split as:
Non-current portion	351.4	379.6
Current portion	109.3	226.8

The Group held £345.0 million UK Government securities as at 31 May 2024 (31 May 2023:

£372.3 million) to satisfy margin requirements.

The Group also held £139.2 million (31 May 2023: £35.0 million) of financial assets as collateral

from certain brokers, which are not recognised on balance sheet.

16. Cash and cash equivalents

	31 May 2024	31 May 2023
	£m	£m
Cash at bank	622.6	627.4
Money market funds	360.6	171.1
	983.2	798.5

The Group’s Swiss banking subsidiary, IG Bank S.A., is required to protect customer deposits

under the FINMA Privileged Deposit Scheme. At 31 May 2024, IG Bank S.A. was required to hold

£34.7 million (31 May 2023: £34.8 million) to satisfy this requirement. This amount, which

represents restricted cash, is included in the cash at bank balance in the table above.

Segregated client funds and client funds invested in qualifying money market funds amounted

to £2,282.6 million as at 31 May 2024 (31 May 2023: £2,303.9 million). Included within these

balances is £226.2 million (31 May 2023: £232.5 million) of segregated client funds for

customers of the Group’s Japanese subsidiary, IG Securities Limited. Under Japanese law, the

Group is liable for any credit losses suffered by clients on the segregated client money balance.

The Group also holds similar balances in its German subsidiary, IG Europe GmbH, where under

German law the Group is liable for credit losses suffered by clients on segregated client money

balances, above the deposit protection insurance offered by the local financial regulator. The

Group’s exposure against these balances amounted to £158.4 million as at 31 May 2024 (31 May

2023: £95.4 million). Both these amounts are held off-balance sheet due to the Group being

unable to use these client funds. The interest received on segregated client funds is included

within net operating income.

Reconciliation to Consolidated Statement of Cash Flows

		31 May 2024	31 May 2023
	Note	£m	£m
Cash and cash equivalents as per Consolidated
Statement of Financial Position		983.2	798.5
Amounts due to the Pool	22	(70.9)	(3.3)
Balance as per Consolidated Statement of Cash Flows		912.3	795.2

17. Trade receivables

	31 May 2024	31 May 2023
	£m	£m
Amounts due from brokers	456.0	486.6
Own funds in client money	49.4	79.4
Amounts due from clients	2.9	4.4
	508.3	570.4

Amounts due from brokers represent balances with brokers and execution partners where the

combination of cash held on account and the valuation of financial derivative open positions, or

unsettled trade receivables, results in an amount due to the Group.

Own funds in client money represent the Group’s own cash held in segregated clients bank

accounts, in accordance with the FCA CASS rules and similar rules of other regulators in whose

jurisdiction the Group operates and includes £16.0 million (31 May 2023: £24.7 million) to be

transferred to the Group on the following business day.

Amounts due from clients arise when clients’ total funds held with the Group are insufficient to

cover any trading losses incurred by clients, when clients utilise trading credit limits or when

clients are due to pay the Group fees in relation to the services received. Amounts due from

clients are presented net of an allowance for impairment.

Allowances for expected credit losses on trade receivable balances are disclosed in note 30.

18. Other assets

Other assets are cryptocurrency assets and rights to cryptocurrency assets, which are

controlled by the Group for the purpose of hedging the Group’s exposure to clients’

cryptocurrency trading positions. The Group holds rights to cryptocurrency assets on exchange

and in vaults as follows:

	31 May 2024	31 May 2023
	£m	£m
Vaults	35.8	13.5
Exchange	0.8	1.5
	36.6	15.0

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Financial Statements continued

Notes to the Financial Statements continued

18. Other assetscontinued

Other assets are measured at fair value less costs to sell. Other assets are level 2 assets (31 May

2023: level 2) in accordance with the fair value hierarchy (note 29).

19. Debt securities in issue

The Group issued £300.0 million 3.125% senior unsecured bonds due in 2028. The issued debt

has been initially recognised at fair value less transaction fees. As at 31 May 2024, £1.4 million

unamortised arrangement fees are recognised on the Consolidated Statement of Financial

Position (31 May 2023: £1.7 million).

The Group also has access to a £400.0 million revolving credit facility, which increased by £25.0

million in November 2023 and a further £25.0 million in May 2024 as a result of accordions to

the existing revolving credit facility. The revolving credit facility will mature in October 2026,

after the Group exercised its option in October 2023 to extend the maturity for a further year.

Under the terms of the revolving credit facility agreement, the Group is required to comply with

financial covenants covering maximum levels of leverage and debt to equity. The Group has

complied with all covenants throughout the year.

20. Lease liabilities

The liability represents the obligation to make payments relating to leasing of premises. The

table below shows the maturity analysis of these lease liabilities as at the balance sheet date.

	31 May 2024	31 May 2023
	£m	£m
Future minimum payments due:
Within one year	8.7	7. 4
After one year but not more than five years	11. 8	9.9
After more than five years	3.3	3.4
	23.8	20.7

In addition to the £23.8 million lease liability (31 May 2023: £20.7 million), the Group has £0.2

million lease commitments under non-cancellable operating leases which are not capitalised as

right-of-use assets (31 May 2023: £0.4 million) and have been expensed during the year.

21. Trade payables

	31 May 2024	31 May 2023
	£m	£m
Client funds
UK	280.3	253.9
US	47.8	56.1
EU	41.7	55.4
EMEA Non-EU	53.3	49.0
Japan	6.7	4.9
Singapore	0.7	1.1
Total client funds	430.5	420.4
Amounts due to brokers	54.5	48.6
Issued turbo warrants	4.5	2.7
Amounts due to clients	3.8	6.3
	493.3	478.0

Client funds reflects the Group’s liability for client monies which are recognised on balance

sheet in cash and cash equivalents.

Amounts due to brokers represents balances where the value of unsettled positions, or the

value of open derivative positions held in accounts which are not covered by an enforceable

netting agreement results in an amount payable by the Group.

Amounts due to clients represents balances that will be transferred from cash and cash

equivalents into segregated client funds on the following business day in accordance with the

FCA CASS rules and similar rules of other regulators in whose jurisdiction the Group operates.

22. Other payables

	31 May 2024	31 May 2023
	£m	£m
Non-current
Other payables	1.3	1.2
	1.3	1.2
Current
Accruals	98.6	109.4
Amounts due to the Pool	70.9	3.3
Payroll taxes, social security and other taxes	6.0	3.5
	175.5	116. 2

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Financial Statements continued

Notes to the Financial Statements continued

22. Other payables continued

The amounts due to the Pool relates to the national multi-currency pooling arrangement (the

‘Pool’) which enables the Group to better manage the funding requirements of its overseas

operating subsidiaries. The Pool enables funds to be drawndown in any currency denomination

required for operational purposes, provided the Pool has sufficient funds across all of the

different currencies.

23. Contingent liabilities and provisions

The Group is subject to legal and regulatory risks in a number of jurisdictions which may result in

legal claims or regulatory action against the Group. Through the Group’s ordinary course of

business there are ongoing legal proceedings and engagements with regulatory authorities.

Where possible, an estimate of the potential financial impact of these legal proceedings is made

using management’s best estimate, but where the most likely outcome cannot be determined

no provision is recognised.

The Group has ongoing litigation in respect of a class action lawsuit served against two of its

operating entities in 2023. The class action covers the period from May 2017 to August 2023

and relates to the sale of OTC derivative products to retail clients in Australia. The action is at an

early procedural stage and it is not possible to determine the potential outcome or to reliably

estimate any potential liability, so no provision has been recognised.

The Group is also subject to a group of claims that could have a financial impact of

approximately £19.4 million as at 31 May 2024 (31 May 2023: £20.5 million). The claims are for

damages arising from the alleged wrongful reversal of client nickel trades on 8 March 2022. On

11 July 2024 the Group obtained a favourable ruling from the High Court of the Republic of

Singapore in relation to one of the claims against the Group, totalling £13.1 million. There have

been no significant developments during the year in relation to the remainder of the claims. As a

result, no provision has been recognised.

Under the terms of the agreement with the Group’s clearing broker for its operations in the US,

Apex Clearing Corporation, the Group guarantees the performance of its customers in meeting

contracted obligations. In conjunction with the clearing broker, the Group seeks to control the

risks associated with its customer activities by requiring customers to maintain collateral in

compliance with various regulatory and internal guidelines. Compliance with the various

guidelines is monitored daily and, pursuant to such guidelines, the customers may be required

to deposit additional collateral, or reduce positions where necessary.

Other than stated above, the Group does not expect there to be other contingent liabilities that

would have material adverse impact on the Consolidated Financial Statements. The Group had

no material provisions as at 31 May 2024 (31 May 2023: £nil).

24. Share capital and share premium

			Share premium
		Share capital	account
	Number of shares	£m	£m
Allotted and fully paid
(i) Ordinary shares (0.005p)
At 1 June 2022	431,574,455	–	125.8
Shares bought back and immediately
cancelled	(22,626,613)	–	–
At 31 May 2023	408,947,842	–	125.8
At 1 June 2023	408,947,842	–	125.8
Shares bought back and immediately
cancelled	(35,854,101)	–	–
At 31 May 2024	373,093,741	–	125.8
(ii) Deferred redeemable shares (0.001p)
At 1 June 2023	65,000	–	–
At 31 May 2024	65,000	–	–
(iii) Redeemable preference shares (£1.00)
At 1 June 2023	40,000	–	–
Redemption of preference shares	(40,000)	–	–
At 31 May 2024	–	–	–

On 25 January 2023, the Board approved a buyback of up to £50.0 million. This commenced on

1 April 2023 and completed on 26 July 2023, with the purchase and cancellation of 3,644,714

shares made during FY24.

On 19 July 2023, the Board approved a £250.0 million buyback programme. This commenced

on 2 August 2023 with a £100.0 million tranche which was completed on 30 October 2023, with

the purchase and cancellation of 15,307,818 shares. The second £150.0 million tranche began

on 7 November 2023 and as at 31 May 2024, 16,775,161 shares had been bought back under

this tranche for a total consideration of £122.0 million.

As at 31 May 2024, the Group has repurchased 35,727,693 shares, with an aggregate nominal

value of £1,786.38, for total consideration of £247.5 million (including related costs of £4.0

million). As at 31 May 2024 the Group had 66,685 shares repurchased but not cancelled.

144

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Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

24. Share capital and share premiumcontinued

No shares were issued in the current year. Except as the ordinary shareholders have agreed or

may otherwise agree, on winding up of the Company, the balance of assets available for

distribution, after the payment of all of the Company’s creditors and subject to any special rights

attaching to other classes of shares, are distributed among the shareholders according to the

amounts paid up on shares by them.

Deferred redeemable shares

These shares carry no entitlement to dividends and no voting rights.

During FY24, there have been no changes to the Group’s deferred redeemable shares (31 May

2023: none).

Redeemable preference shares

The Group’s preference shares were fully redeemed in December 2023, resulting in a £nil

balance as at 31 May 2024 (31 May 2023: £40,000). The preference shares are no longer

required as part of the Group’s capital structure so approval for redemption was granted by the

Board on 18 May 2023.

25. Merger reserve

The merger reserve, totalling £590.0 million (31 May 2023: £590.0 million), arises from two

transactions:

 £81.0 million relates to the FY09 acquisition of FX Online Japan KK. IG Group Holdings plc

carried out a share placement of 27,864,407 shares to raise cash to fund the acquisition. The

share placement was facilitated through IG Jersey Cashbox Limited, a Jersey incorporated

company which has since been liquidated

 £509.0 million relates to the FY22 acquisition of tastylive, Inc. IG Group Holdings plc issued

61,000,000 ordinary shares as part of the consideration

The issue of shares associated with these transactions qualified for merger relief under Section

612 of the Companies Act 2006 and the amount in excess of the nominal value of ordinary

shares, after deducting transaction costs which were directly attributable to the issue of shares,

has been recognised in the merger reserve instead of the share premium account.

26. Other reserves

		Own shares
		held in
	Share-based	Employee		Share
	payments	Benefit	FVOCI	buyback	Total other
	reserve	Trusts	reserve	reserve	reserves
	£m	£m	£m	£m	£m
At 1 June 2022	18.5	(6.0)	(4.1)	–	8.4
Share buyback liability	–	–	–	(2.1)	(2 .1)
Employee Benefit Trust purchase of shares	–	(14.6)	–	–	(14.6)
Transfer of vested awards from share-based payment reserve	(7. 6 )	–	–	–	(7.6)
Equity-settled employee share-based
payments	13.3	–	–	–	13.3
Exercise of employee share awards	(11.3 )	11. 3	–	–	–
Change in value of financial assets held
at fair value through other comprehensive income	–	–	(11. 9)	–	(11. 9)
Share-based payments converted to cash-settled liabilities	(2.4)	–	–	–	(2.4)
At 31 May 2023	10.5	(9.3)	(16.0)	(2.1)	(16.9)
At 1 June 2023	10.5	(9.3)	(16.0)	(2.1)	(16.9)
Share buyback liability	–	–	–	(1.5)	(1.5)
Transfer of completed share buyback	–	–	–	2.1	2.1
Employee Benefit Trust purchase of shares	–	(13.3)	–	–	(13.3)
Transfer of vested awards from share-based payment reserve	(17.4)	–	–	–	(17. 4)
Equity-settled employee share-based
payments	16.7	–	–	–	16.7
Exercise of employee share awards	(18.1)	18.1	–	–	–
Change in value of financial assets held
at fair value through other comprehensive income	–	–	6.9	–	6.9
Share-based payments converted to cash-settled liabilities	(0.6)	–	–	–	(0.6)
Fair value loss reclassified to Consolidated Income Statement on disposal	–	–	1.1	–	1.1
At 31 May 2024	(8.9)	(4.5)	(8.0)	(1.5)	(22.9)

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145

IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

26. Other reservescontinued

The share-based payments reserve relates to the estimated cost of equity-settled employee

share plans based on a straight-line basis over the vesting period. The FVOCI reserve includes

unrealised gains or losses in respect of financial investments, net of tax.

The share buyback reserve relates to the amount due by the Group to the intermediary bank for

the repurchase of the Group’s own shares.

Own shares held in Employee Benefit Trusts

The movements in own shares held in Employee Benefit Trusts in respect of employee share

plans during the year were as follows:

	Year ended	Year ended
	31 May 2024	31 May 2023
	Number	Number
At the beginning of the year	1,332,921	659,929
Subscribed for and purchased during the year	1,845,229	2,112,631
Exercise and sale of own shares held in trust	(2,549,838)	(1,439,639)
At the end of the year	628,312	1,332,921

The Group has a UK-resident Employee Benefit Trust which holds shares in the Company to

satisfy awards under the Group’s HMRC-approved Share incentive Plan. At 31 May 2024,

160,832 ordinary shares (31 May 2023: 147,895) were held in the Trust. The market value of the

shares at 31 May 2024 was £1.3 million (31 May 2023: £1.0 million).

The Group has a Jersey-resident Employee Benefit Trust which holds shares in the Company to

satisfy awards under the Long-term Incentive Plan and Sustained Performance Plan. At 31 May

2024 the Trust held 455,751 ordinary shares (31 May 2023: 1,171,960). The market value of the

shares at 31 May 2024 was £3.7 million (31 May 2023: £7.9 million).

The Group has an Australian-resident Employee Equity Plan Trust which holds shares in the

Company to satisfy awards under a SIP. At 31 May 2024, 11,729 ordinary shares (31 May 2023:

13,066) were held in the Trust. The market value of the shares at 31 May 2024 was £0.1 million

(31 May 2023: £0.1 million).

27. Employee share plans

The Group operates four employee share plans; a Sustained Performance Plan (SPP), a Long-

term Incentive Plan (LTIP), a Share Incentive Plan (SIP) and a Medium-term Incentive Plan (MTIP).

The LTIP, MTIP and SIP are equity-settled. The SPP awarded prior to 31 May 2021 was fully

equity-settled. The SPP awarded after 31 May 2021 has changed such that 30.0% of the award

for the Executive Directors are settled in cash, and does not meet the criteria to be recognised

as either a cash-settled share-based payment or an equity-settled share based payment.

Sustained performance plan

The SPP award was introduced in the year ended 31 May 2014 for the Group’s Executive

Directors and other selected senior employees. The Remuneration Committee approves any

awards made under the plan and is responsible for setting the policy for the operation of the

SPP, agreeing performance targets and participation.

The legal grant of awards under the SPP occurs after the relevant performance period. At the

outset of the financial year the Remuneration Committee approves, and communicates to the

participants, performance conditions and a pre-defined maximum monetary award in terms of a

multiple of salary.

Under the 2013 SPP scheme, the grant of awards, in the form of equity-settled par value

options, was based upon three performance conditions: relative total shareholder return (TSR);

earnings per share (EPS); and operational non-financial performance (NFP). The last award

granted under the 2013 SPP plan was in August 2023, after which this plan expired in

accordance with plan rules.

In the September 2023 AGM, shareholders approved the new 2023 SPP plan. The 2023 SPP

plan will expire after 10 years, in September 2033. The structure of the 2023 SPP plan consist of

two parts: (1) the Annual SPP award; and (2) the Long-term SPP award. Under the Annual SPP

award, the grant of awards, in the form of equity-settled par value options, is based upon four

performance conditions: relative total shareholder return (TSR), earnings per share (EPS),

operational non-financial performance (NFP) and revenue diversification (Revenue). The

Long-term SPP award is also in the form of equity-settled par value options, only has one vesting

condition: relative TSR. For further details in relation to the 2023 SPP plan, please refer to the

Remuneration Report in the FY23 Annual Report.

146

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IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

27. Employee share planscontinued

The following table shows the movement of options in the SPP, the additional awards issued and dividends accrued for the year ended 31 May 2024:

				At the beginning	Awarded during	Lapsed during	Exercised during	Dividend accrued		At the end
	Performance period	Share price	Expected full	of the year	the year	the year	the year	during the year		of the year
Award date	(year ended)	at award	vesting date	Number	Number	Number	Number	Number		Number
04 Aug 2014	31 May 2014	609.90p	01 Aug 2025	7, 975	–	–	(4,572)	243		3,646
06 Aug 2015	31 May 2015	742.55 p	01 Aug 2025	8,905	–	–	(5,060)	273		4,118
02 Aug 2016	31 May 2016	868.65p	01 Aug 2025	36,431	–	–	(19,909)	1,178	17,70	0
01 Aug 2017	31 May 2017	626.50p	01 Aug 2025	33,386	–	–	(20,863)	894	13,417
07 Aug 2018	31 May 2018	893.00p	01 Aug 2025	119, 3 8 6	–	–	(73,383)	3,280	49,283
06 Aug 2019	31 May 2019	559.20p	01 Aug 2025	98,454	–	(1,101)	(6 4 ,163)	2,758	35,948
06 Aug 2020	31 May 2020	734.00p	01 Aug 2025	6 4 4,145	–	(17, 8 30)	(412,810)	19,000	232,505
05 Aug 2021	31 May 2021	911. 50 p	01 Aug 2025	1,135,113	–	(20,782)	(508,770)	71,913	677,474
10 Jan 2022	–	829.50p	30 Jun 2023	15,390	–	(2,112)	(14,835)	1,557		–
10 Jan 2022	–	829.50p	30 Jun 2024	12,990	–	–	–	–	12,990
04 Aug 2022	–	818.00p	30 Sep 2023	3,615	11,4 4 6	–	(15,061)	–		–
04 Aug 2022	31 May 2023	818.00p	30 Sep 2024	3,605	–	–	–	–	3,605
	31 May 2024
08 Aug 2022	31 May 2022	822.00p	01 Aug 2027	1,686,706	–	(33,859)	(808,341)	91,087	935,593
11 Aug 2022	31 May 2023	834.00p	11 Aug 2025	26,976	–	–	(9,107)	–	17,	86 9
30 Sep 2022	31 May 2023	763.50p	30 Sep 2025	25,539	–	–	(8, 511)	–		17,028
04 Jul 2023	–	655.00p	04 Jul 2023	–	2,210	–	(2,210)	–		–
03 Aug 2023	31 May 2023	684.50p	03 Aug 2026	–	2,234	–	–	–		2,234
03 Aug 2023	–	684.50p	03 Aug 2023	–	869	–	(869)	–		–
09 Aug 2023	31 May 2023	694.50p	01 Aug 2028	–	1,652,064	(178,566)	(238,677)	28,351		1,263,172
28 Sep 2023	31 May 2026 1	644.00p	27 Sep 2026	–	360,799	(112 , 5 4 8 )	–	–		248,251
29 Jan 2024	31 May 2026 1	709.50p	28 Jan 2027	–	174,228	–	–	–		174, 228
Total				3,858,616	2,203,850	(366,798)	(2,207,141)	220,534		3,709,061

1 Performance period is three years from the start of the financial year of the award date.

The average share price at exercise of options during the year was 715.95 pence. The exercise price of all SPP awards is 0.005 pence and the weighted average remaining contractual life of share

options as at 31 May 2024 was 2.84 years (31 May 2023: 2.14 years).

The SPP awards for the year ended 31 May 2024 will be granted on 8 August 2024 following the approval of actual performance against targets set by the Remuneration Committee. A ten-day

share price averaging period, that commences after the Company’s closed period, is utilised to convert the notional value awarded into a number of options.

The following table details the number of options expected to be awarded for the year ended 31 May 2024, based on the year-end share price:

			Awards expected for the year ended 31 May 2024
Expected award date	Closing share price at 31 May 2024	Expected full vesting date	Number
3 Aug 2024	810.00p	1 Aug 2029	513,438

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IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

27. Employee share planscontinued

Long-term Incentive Plan

The LTIP is made available to senior management who are not invited to participate in the SPP. Awards under the LTIP are nominal cost options, which vest after three years, conditional upon

continued employment at the vesting date. There are no other performance targets. For awards granted in August 2022, the remuneration committee have applied a performance underpin which

would take account of the underlying financial and non-financial performance of the participant and/or any relevant group member, over the vesting period.

The maximum number of LTIP awards that can vest under the awards made are:

							Dividend
							equivalent
				At the beginning	Awarded during	Lapsed during	awarded during	Exercised during	At the end
	Share price	Expected		of the year	the year	the year	the year	the year	of the year
Award date	at award	vesting date		Number	Number	Number	Number	Number	Number
6 Aug 2020	734.00p	6 Aug 2023		302,467	–	(6,578)	5 3 ,115	(341,858)	7,14	6
5 Aug 2021	911. 5 0 p	5 Aug 2024		322,958	–	(19,743)	–	(3,129)		300,086
4 Aug 2022	818.00p	4 Aug 2025		573,506	–	(57,275)	–	–		516,231
3 Aug 2023	684.50p	3 Aug 2026		–	790,655	(51,212)	–	–		739,443
Total			1,198	, 931	790,655	(134,808)	53 ,115	(344,987)		1,562,906

The exercise price of all options awarded under the LTIP is 0.005 pence and the weighted average remaining contractual life of share options as at 31 May 2024 was 1.46 years (31 May 2023:

1.41 years).

Medium-term Incentive Plan

The MTIP was made available to certain employees within the Group. Awards under the MTIP were nominal cost options, which vest after 15 months, conditional upon continued employment at the

vesting date. There were no other performance targets. The exercise price of all options awarded under the MTIP was 0.005 pence.

On 5 November 2022 the awards under this scheme vested. There were no new awards granted to any employee under the MTIP in the current year. The table below shows the movement in the

awards during the current period:

						Dividend
						equivalent
			At the beginning	Awarded during	Lapsed during	awarded during	Exercised during	At the end
	Share price	Expected	of the year	the year	the year	the year	the year	of the year
Award date	at award	vesting date	Number	Number	Number	Number	Number	Number
5 Aug 2021	911. 50 p	5 Nov 2022	4,806	–	–	–	3,718	1,088

Share-Incentive Plan

SIP awards are made available to all UK, Australian and US employees. The terms of the award are approved by the Remuneration Committee.

The UK and Australian awards invite all employees to purchase up to £1,800/A$3,000 (31 May 2023: £1,800/A$3,000) of partnership shares, with the Company matching on a one-for-one (31 May

2023: one-for-one) basis. All matching shares vest after three years as long as the employee remains employed with the Group for the term of the award. Shares awarded under the scheme are

held in trust in accordance with local tax authority rules. Employees are entitled to receive dividends on the partnership and matching shares held in trust for as long as they remain employees.

148

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IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

27. Employee share planscontinued

The US award invites employees to invest a maximum of 5.0% of their salary to the award. Employees are invited to purchase shares in IG Group

Holdings plc at a discount of 15.0% to the scheme price, being the lower of: (i) the opening share price; or (ii) the closing share price for the period.

The maximum number of matching shares that can vest based on the SIP awards made are:

				At the beginning	Awarded during	Lapsed during		Exercised during	At the end
		Share price	Expected	of the year	the year	the year		the year	of the year
Country of award	Award date	at award	vesting date	Number	Number	Number		Number	Number
UK	6 Aug 2020	734.00p	6 Aug 2023	40,691	–	(1,035)		(39,656)	–
Australia	15 Jul 2020	740.79p	15 Jul 2023	2,109	–	–	(2,10	9)	–
UK	5 Aug 2021	911.50 p	5 Aug 2024	41,031	–	(1,757)		(2,572)	36,702
Australia	15 Jul 2021	851.50p	15 Jul 2024	3,229	–	(190)		(696)	2,343
UK	4 Aug 2022	814.00p	3 Aug 2025	55,820	–	(3,498)		(2,866)	49,456
Australia	15 Jul 2022	707.00p	15 Jul 2025	5,860	–	(1,043)		(642)	4,175
UK	4 Aug 2023	688.00p	4 Aug 2026	–	75,225	(2,262)		(3,716)	69,247
Australia	15 Jul 2023	718.07p	15 Jul 2026	–	4,489	(219)		(511)	3,759
Total				14 8,740	79,714	(10,004)		(52,768)	165,682

Of the above SIP awards exercised during the year ended 31 May 2024, the average weighted share price at exercise was:

		Weighted average
		share price
Country of award	Award date	at exercise
UK	6 Aug 2020	69 0.15p
Australia	15 Jul 2020	6 67.5 p
UK	5 Aug 2021	703.51p
Australia	15 Jul 2021	667. 5 p
UK	3 Aug 2022	6 97. 0 6 p
Australia	15 Jul 2022	6 67.5 p
UK	4 Aug 2023	703.92p
Australia	15 Jul 2023	6 67.5 p

The weighted average exercise price of the SIP awards exercised during the year ended 31 May is 690.45p

Accounting for share schemes

The expense recognised in the Consolidated Income Statement in respect of share-based payments was £16.7 million (31 May 2023: £13.3 million).

The fair value of the equity-settled share-based payments to employees is determined at the date at which a shared understanding of the terms and

conditions of the arrangement is reached between the Company and the participants. The weighted average fair value of the equity-settled awards

granted or deemed as such under IFRS 2 – Share based payments, during the year was £19.6 million (31 May 2023: £22.5 million). For SIP awards the fair

value is determined to be the share price at the grant date without making an adjustment for expected future dividends, as award recipients are entitled

to dividends over the vesting period. For LTIP and MTIP awards the fair value is determined to be the share price at grant date without making an

adjustment for the expected future dividends as dividend equivalents are awarded on options granted.

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IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

27. Employee share planscontinued

For potential SPP awards made under the TSR criteria, fair value is calculated using an option

pricing model prepared by advisers. For the SPP awards made under the EPS and NFP

operational measures, the fair value is determined by taking the share price at deemed grant

date less the present value of expected future dividends for the duration of the performance

period. Dividend equivalents accrue under the SPP on awarded but not yet vested options post

the performance period. Dividend equivalents cease to accrue on unexercised options after the

vesting date.

The inputs below were used to determine the fair value of the TSR element of the SPP award

for FY24:

	FY24	FY24
	Annual Award	Long-term Award
Deemed date of grant	09 Aug 2023	28 Sep 2023
Share price at grant date (pence)	694.50	644.00
Expected life of awards (years)	0.81	2.67
Risk-free Sterling interest rate (%)	4.98	4.42
IG Group Holdings plc expected volatility (%)	21.87	23.66

IG Group Holdings plc’s expected volatility is based on historical TSR volatility of IG Group

Holdings plc measured daily over a period prior to the date of grant and commensurate with the

remaining performance period. The weighted average fair values for outstanding awards across

all schemes are as follows:

	At the beginning	Awarded during	Lapsed during	Exercised during	At the end of
	of the year	the year	the year	the year	the year
Year ended
31 May 2024	759.11p	638.52p	647.67p	719.83p	718.62p
Year ended
31 May 2023	683.09p	881.44p	859.71p	610.54p	75 9 .11p

28. Related party transactions

The Directors and other members of management classified as persons discharging

management responsibility in accordance with the Market Abuse Regulation are considered to

be the key management personnel of the Group in accordance with IAS 24 – Related Party

Disclosures. The Directors’ Remuneration Report discloses all benefits and share-based

payments earned during the year and the preceding year by the Executive Directors. The total

compensation for key management personnel was as follows:

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Share-based payments	13.1	9.2
Short-term employee benefits	10.6	10.4
Termination benefits	2.6	0.1
	26.3	19.7

The average number of key management personnel during the year was ten (year ended 31 May

2023: eleven). Included within short-term employee benefits are pension charges of £0.2 million

(year ended 31 May 2023: £0.2 million).

The Group incurred £nil (31 May 2023: £0.3 million) short-term rental costs in relation to office

space leased from key management personnel in 31 May 2024.

The Group has a 9.3% shareholding and 33.3% voting rights in Zero Hash Holdings Limited (Zero

Hash) which is accounted for as investment in associate on the Group’s balance sheet. Zero

Hash facilitates cryptocurrency trading for clients of tastytrade, Inc. recognised £nil million

revenue from Zero Hash (year ended 31 May 2023: £0.1 million). In addition to this, the Group

has sublet part of its US office to Zero Hash, under normal commercial terms and conditions,

and at market rate. The rental income generated in the year ended 31 May 2024 from this

sublease is £0.2 million (year ended 31 May 2023: £0.1 million).

There were no other related party transactions which had a material impact on the

Consolidated Financial Statements. The Group had no transactions with its Directors other than

those disclosed in the Directors’ Remuneration Report.

150

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IG Group Holdings plc

Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

29. Financial instruments

Accounting classifications and fair values

The table below sets out the classification of each class of financial assets and liabilities and their fair values.

					Total carrying
		FVTPL	Amortised cost	FVOCI	amount	Fair value
As at 31 May 2024	Note	£m	£m	£m	£m	£m
Financial assets
Cash and cash equivalents	16	360.6	622.6	–	983.2	983.2
Financial investments	15	–	–	460.7	460.7	460.7
Trade receivables – amounts due from brokers	17	(30.8)	486.8	–	456.0	456.0
Trade receivables – own funds in client money	17	–	49.4	–	49.4	49.4
Trade receivables – amounts due from clients	17	–	2.9	–	2.9	2.9
Other receivables		–	15.3	–	15.3	15.3
Other investments		1.8	–	–	1.8	1.8
		331.6	1,177.0	460.7	1,969.3	1,969.3
Financial liabilities
Trade payables – client funds	21	53.0	(483.5)	–	(430.5)	(430.5)
Trade payables – issued turbo warrants	21	(4.5)	–	–	(4.5)	(4.5)
Trade payables – amounts due to brokers	21	(10.4)	(44.1)	–	(54.5)	(54.5)
Trade payables – amounts due to clients	21	–	(3.8)	–	(3.8)	(3.8)
Debt securities in issue	19	–	(298.1)	–	(298.1)	(259.7)
Lease liabilities	20	–	(23.8)	–	(23.8)	(23.8)
Amounts due to the Pool	22	–	(70.9)	–	(70.9)	(70.9)
Other payables – accruals	22	–	(98.6)	–	(98.6)	(98.6)
Other payables – non-current	22	–	(1.3)	–	(1.3)	(1.3)
		38.1	(1,024.1)	–	(986.0)	(947.6)

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Financial Statements continued

Notes to the Financial Statements continued

29. Financial instruments continued

					Total carrying
		FVTPL	Amortised cost	FVOCI	amount	Fair value
As at 31 May 2023	Note	£m	£m	£m	£m	£m
Financial assets
Cash and cash equivalents	16	171.1	627. 4	–	798.5	798.5
Financial investments	15	–	–	606.4	606.4	606.4
Trade receivables – amounts due from brokers	17	(95.6)	582.2	–	486.6	486.6
Trade receivables – own funds in client money	17	–	79.4	–	79.4	79.4
Trade receivables – amounts due from clients	17	–	4.4	–	4.4	4.4
Other receivables		–	10.0	–	10.0	10.0
Other investments		1.2	–	–	1.2	1.2
		76.7	1,303.4	606.4	1,986.5	1,986.5
Financial liabilities
Trade payables – client funds	21	116 .7	(537.1)	–	(420.4)	(420.4)
Trade payables – issued turbo warrants	21	(2.7)	–	–	(2.7)	(2.7)
Trade payables – amounts due to brokers	21	(39.5)	(9.1)	–	(48.6)	(48.6)
Trade payables – amounts due to clients	21	–	(6.3)	–	(6.3)	(6.3)
Debt securities in issue	19	–	(297. 6 )	–	(297.6 )	(228.8)
Lease liabilities	20	–	(20.7)	–	(20.7)	(20.7)
Amounts due to the Pool	22	–	(3.3)	–	(3.3)	(3.3)
Other payables – accruals	22	–	(109.4)	–	(109.4)	(109.4)
Other payables – non-current	22	–	(1.2)	–	(1.2)	(1.2)
		74.5	(984.7)	–	(910.2)	(841.4)

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Annual Report 2024

Financial Statements continued

Notes to the Financial Statements continued

29. Financial instruments continued

Financial instrument valuation hierarchy

The hierarchy of the Group’s financial instruments carried at fair value is as follows:

	Level 1	Level 2	Level 3	Total fair value
As at 31 May 2024	£m	£m	£m	£m
Financial assets
Cash and cash equivalents	360.6	–	–	360.6
Trade receivables – amounts due from brokers	(33.6)	2.8	–	(30.8)
Financial investments	460.7	–	–	460.7
Other investments	–	–	1.8	1.8
Financial liabilities
Trade payables – amounts due to brokers	(8.6)	(1.8)	–	(10.4)
Trade payables – client funds	40.0	12.6	0.4	53.0
Trade payables – issued turbo warrants	–	–	(4.5)	(4.5)

	Level 1	Level 2	Level 3	Total fair value
As at 31 May 2023	£m	£m	£m	£m
Financial assets
Cash and cash equivalents	171.1	–	–	171.1
Trade receivables – amounts due from brokers	(105.1)	9.5	–	(95.6)
Financial investments	606.4	–	–	606.4
Other investments	–	–	1.2	1.2
Financial liabilities
Trade payables – amounts due to brokers	(38.4)	(1.1)	–	(39.5)
Trade payables – client funds	93.7	23.0	–	116.7
Trade payables – issued turbo warrants	–	–	(2.7)	(2.7)

Fair value hierarchy levels 1 to 3 are based on the degree to which the fair value is observable:

 Level 1 assets are valued using unadjusted quoted prices in active markets for identical financial instruments. This category includes the Group’s

open exchange-traded hedging positions. The quoted market price used for financial assets held by the Group is the period end bid price

 Level 2 assets are valued using techniques where a price is derived based significantly on observable market data. For example, where an active

market for an identical financial instrument to the product used by the Group to hedge its market risk does not exist. This category includes the

Group’s open non-exchange-traded hedging positions. This comprises shares, foreign currency and foreign currency options. The fair values used in

the valuation of these products are sometimes brokered values and may occur after the close of a market but before the measurement date. The

effects of discounting are generally insignificant for these Level 2 financial instruments

 Level 3 assets are valued using techniques that incorporate information other than observable market data that is significant to the overall valuation

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Annual Report 2024

29. Financial instruments continued

There have been no changes to the valuation techniques for any of the Group’s financial instruments held at fair value in the year (31 May 2023: none).

However, during the current year the Group reclassified £36.1 million (31 May 2023: £101.9 million) trade receivables – due from brokers balances from

level 2 to level 1, £8.7 million (31 May 2023: £28.0 million) trade payables – due to brokers balances from level 2 to level 1, £31.1 million (31 May 2023:

£76.3 million) trade payables – client funds balances from level 2 to level 1 and £4.5 million (31 May 2023: £2.7 million) trade payables – issued turbo

warrants balances from level 2 to level 3. These reclassifications are reflected in the previous table and prior year comparative balances for 31 May

2023 have been restated accordingly.

Amounts due to clients of £14.9 million (31 May 2023: £28.0 million) have been reclassified from amortised cost to FVTPL, and the fair value levelling of

these assets has been disclosed in the previous table. Accordingly, the prior year comparative balances for 31 May 2023 have been restated to reflect

this classification.

Fair value of financial assets and liabilities measured at amortised cost

The fair value of the Group’s financial assets and liabilities measured at amortised cost approximates their carrying amount, with the exception of debt

securities in issue.

Items of income, expense, gains or losses

All of the Group’s gains and losses arising from financial assets and liabilities classified as fair value through the profit and loss are included in net trading

revenue for the years ended 31 May 2024 and 31 May 2023, except for changes in the fair value of the Group’s other investments and balances held in

money market funds.

Offsetting financial assets and liabilities

The following financial assets and liabilities have been offset and are subject to enforceable netting agreements.

			Gross amounts of			Gross amounts not offset
		Gross amounts of	recognised				Net amounts
		recognised	financial	Net amounts of		Collateral	subject to
		financial	instruments	financial	Financial	pledged or	offsetting
		instruments	offset	instruments	instruments	received	arrangements
As at 31 May 2024	Note	£m	£m	£m	£m	£m	£m
Financial assets
Trade receivables – amount due from/(to)
brokers	17	1,385.7	(929.7)	456.0	–	(139.2)	316.8
Total		1,385.7	(929.7)	456.0	–	(139.2)	316.8
Financial liabilities
Trade payables – amounts due to/(from) brokers	21	(984.2)	929.7	(54.5)	–	54.5	–
Trade payables – client funds	21	(506.7)	76.2	(430.5)	–	–	(430.5)
Total		(1,490.9)	1,005.9	(485.0)	–	54.5	(430.5)

Financial Statements continued

Notes to the Financial Statements continued

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Annual Report 2024

29. Financial instruments continued

			Gross amounts of			Gross amounts not offset	Net amounts
		Gross amounts of	recognised	Net amounts of			subject to
		recognised	financial	financial	Financial	Collateral pledged	offsetting
		financial assets	instruments offset	instruments	instruments	or received	arrangements
As at 31 May 2023	Note	£m	£m	£m	£m	£m	£m
Financial assets
Trade receivables – amount due from/(to)
brokers	17	1,254.3	(767.7)	486.6	–	(35.0)	451.6
Total		1,254.3	( 76 7.7 )	486.6	–	(35.0)	451.6
Financial liabilities
Trade payables – amounts due to/(from) brokers	21	(816.3)	767.7	(48.6)	–	48.6	–
Trade payables – client funds	21	(565.0)	144.6	(420.4)	–	–	(420.4)
Total		(1,381.3)	912.3	(469.0)	–	48.6	(420.4)

The Group is entitled to offset amounts due from brokers on a broker account level by currency. Collateral at brokers represent UK Government Gilt

Securities listed with brokers to meet the broker’s requirements. Client funds represents balances with clients where the cash held on balance sheet

and the valuation of open derivative positions result in an amount due to clients.

30. Financial risk management

Financial risks arising from financial instruments are analysed into market, credit, concentration and liquidity risks. Details of how risks are managed are

provided in the Risk Management section on pages 36 to 41 of the Annual Report.

Market risk

Market risk disclosures are analysed into the following categories:

 Non-trading interest rate risk

 Price and foreign currency risk, which is further analysed between the impact on financial investments held at FVOCI and the impact on the Group’s

year-end net trading book position. The Group’s foreign currency exposure on its financial assets and liabilities denominated in currencies other than

the reporting currency is included in the trading book

Financial Statements continued

Notes to the Financial Statements continued

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30. Financial risk management continued

Non-trading interest rate risk

The interest rate risk profile of the Group’s financial assets and liabilities at each year-end was as follows:

		Within 1 year		Between 2 and 5 years		More than 5 years	Total
	31 May 2024	31 May 2023	31 May 2024	31 May 2023	31 May 2024	31 May 2023	31 May 2024	31 May 2023
	£m	£m	£m	£m	£m	£m	£m	£m
Fixed rate
Financial investments	109.3	226.8	351.4	379.6	–	–	460.7	606.4
Debt securities in issue	–	–	(298.1)	–	–	(297.6)	(298.1)	(297.6 )
Other payables	–	–	–	–	(1.3)	(1.2)	(1.3)	(1.2)
Floating rate
Cash and cash equivalents	983.2	798.5	–	–	–	–	983.2	798.5
Trade receivables – amounts
due from brokers	456.0	486.6	–	–	–	–	456.0	486.6
Trade receivables – own funds in client money	49.4	79.4	–	–	–	–	49.4	79.4
Trade payables – amounts due to brokers	(54.5)	(48.6)	–	–	–	–	(54.5)	(48.6)
Amounts due to the Pool	(70.9)	(3.3)	–	–	–	–	(70.9)	(3.3)
	1,472.5	1,539.4	53.3	379.6	(1.3)	(298.8)	1,524.5	1,620.2

Non-trading interest rate risk sensitivity analysis – fixed rate

Interest on financial instruments classified as fixed rate is fixed until the maturity of the instrument. The level of fixed interest receivable in each year

would be similar to that received in the current year and is considered immaterial to the Group’s result for the year.

Non-trading interest rate risk sensitivity analysis – floating rate

Interest on financial instruments classified as floating rate is repriced at intervals of less than one year. Trade receivables and payables include client and

broker balances upon which interest is paid or received based upon market rates.

Interest rate sensitivity has been performed on floating rate financial instruments by considering the impact of a 1.0% decrease in interest rates on

financial assets and financial liabilities. The impact of such a movement on the Group’s profit before tax for the year is shown below. The impact is

symmetrical for an increase in interest rates.

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
(Decrease)/increase in profit before tax
Cash and cash equivalents	(9.8)	(8.0)
Trade receivables – amounts due from brokers	(4.6)	(4.9)
Trade receivables – own funds in client money	(0.5)	(0.8)
Trade payables – amounts due to brokers	0.5	0.5
Other payables – amounts due to the Pool	0.7	0.0

Financial Statements continued

Notes to the Financial Statements continued

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Annual Report 2024

30. Financial risk management continued

Additionally, the Group is exposed to interest rate risk in relation to interest income earned on

segregated client money balances which are not recognised on the Consolidated Statement of

Financial Position. Interest rate sensitivity analysis has been performed by considering the

impact of a 1.0% decrease in the base rate that these balances’ interest rates are linked to. The

impact on the Group’s profit before tax is shown below.

	Year ended	Year ended
	31 May 2024	31 May 2023
Impact:	£m	£m
Decrease in profit before tax
Interest income on client funds	(35.5)	(36.7)

Price risk

The Group is exposed to investment securities price risk because financial investments held by

the Group are priced based on closing market prices published by the UK Debt Management

Office.

The table below summarises the impact on the Group’s other comprehensive income, due to

decrease in the value of financial investments. The analysis is based on the assumption that the

yield curve of financial investments moved upwards by 1.0% (31 May 2023: 1.0%) with all other

variables held constant:

	Year ended	Year ended
	31 May 2024	31 May 2023
Impact:	£m	£m
Decrease in FVOCI reserve (equity)	(7.8)	(10.3)

The Group is also exposed to price and foreign currency risk in relation to its net trading book

position. The Group accepts some residual market risk to facilitate instant execution of client

trades but does not take proprietary positions for the purposes of speculative gain. The Group

manages the market risk it faces in providing its services to clients by internalising client flow

(allowing individual client trades to offset one another) and hedging when the residual

exposures reach predefined limits. The Group’s Risk Management Framework is set out on

pages 36 to 41 of the Annual Report.

The Group’s market risk policy includes Board-approved notional market risk limits which set out

the Group’s appetite and the extent to which the Group is willing to be exposed to this residual

market risk. Product market risk limits control the maximum (long or short) residual exposure

the Group can hold before hedging externally. Predefined limits are set and regularly reviewed

in accordance with a limits framework which references client trading volumes, market liquidity,

volatility and expected shortfall results for each underlying market.

Financial Statements continued

Notes to the Financial Statements continued

Alongside these notional limits the Group employs a range of risk measurement techniques

including stress testing and Value at Risk (VaR) modelling to quantify potential market risk and

client credit risk losses. The primary technique used to monitor market risk exposure is stress

testing. Stress testing models potential losses in extreme but plausible events. This measure

covers all products offered to clients and is monitored on an hourly basis, with breaches

investigated and reported to the Chief Risk Officer and senior stakeholders in each line of

defence on a regular basis. Stress testing covers a range of scenarios including future known

economic and political events, market or region-specific scenarios and potential macro

systemic shocks, which references the 20-year price returns for all markets at the 99.9th

percentile confidence interval.

The VaR model uses a 99% confidence interval over one day and one year’s historical price data

for all markets as inputs to determine the risk factors to apply to the portfolio exposures. VaR

has limitations as it is reliant on historical data only and estimates potential future losses on this

basis. Additionally, VaR does not quantify the potential losses outside of the 99% confidence

level – the tail risk, which is why the stress testing model is the primary method used the monitor

market risk exposure.

The Group’s end of day market risk VaR for the year is shown in the table below:

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Market risk as at 31 May	12.9	14.0
Average market risk (daily)	11. 3	13.4
Maximum market risk (daily)	16.7	21.8
Minimum market risk (daily)	7.7	9.5

Foreign currency risk

The Group faces foreign currency exposures on financial assets and liabilities denominated in

currencies other than the functional currency of its subsidiaries. In the normal course of

business, the Group hedges these exposures along with its trading book positions.

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Annual Report 2024

30. Financial risk management continued

Credit risk

The principal sources of credit risk to the Group’s business are from financial institutions and individual clients. The Group recognised net credit losses

of £15.5 million during the year (year ended 31 May 2023: £1.1 million).

Amounts due from financial institutions, which are stated net of an expected credit loss of £1.2 million (31 May 2023: £1.0 million), are all less than 30

days past due. Amounts due from clients, which are stated net of an expected credit loss of £29.4 million at 31 May 2024 (31 May 2023: £17.1 million),

include both amounts less than and greater than 30 days past due.

The analysis in the following table shows credit exposures by credit rating.

				Trade receivables – amounts		Trade receivables – amounts	Trade receivables – own funds
		Cash and cash equivalents		due from brokers		due from clients	in client money
	31 May 2024	31 May 2023	31 May 2024	31 May 2023	31 May 2024	31 May 2023	31 May 2024	31 May 2023
	£m	£m	£m	£m	£m	£m	£m	£m
Credit rating
AA+ & above	399.5	34.9	–	–	–	–	–	–
AA to AA-	74.6	88.8	33.4	–	–	–	2.6	5.7
A+ to A-	464.6	630.1	350.3	423.1	–	–	46.7	73.4
BBB+ to BBB-	22.3	22.7	39.3	33.1	–	–	–	0.2
BB+ to B	19.8	10.3	24.5	20.5	–	–	0.1	–
Unrated	2.4	11.7	8.5	9.9	2.9	4.4	–	0.1
Total carrying amount	983.2	798.5	456.0	486.6	2.9	4.4	49.4	79.4

Loss allowance

Below is a reconciliation of the total loss allowance:

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
At the beginning of the year	18.1	18.6
Loss allowance for the year:
– gross charge for the year	18.2	5.7
– recoveries	(2.7)	(4.6)
– debts written off	(2.9)	(1.4)
Foreign exchange	(0.1)	(0.2)
At the end of the year	30.6	18.1

The loss allowance has been calculated in accordance with the Group’s expected credit loss model. The following table provides an overview of the

Group’s credit risk and the associated loss allowance for assets held at amortised cost and FVOCI.

Financial Statements continued

Notes to the Financial Statements continued

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Annual Report 2024

30. Financial risk management continued

		31 May 2024
	Stage 1	Stage 2	Stage 3
	12-month	Lifetime	Lifetime	Total
	£m	£m	£m	£m
Credit grade
Investment grade	1,434.5	–	–	1,434.5
Non-investment grade	58.2	0.1	29.3	87.6
Gross carrying amount	1,492.7	0.1	29.3	1,522 .1
Loss allowance	(1.2)	(0.1)	(29.3)	(30.6)
Total carrying amount	1,491.5	–	–	1,491.5

		31 May 2023
	Stage 1	Stage 2	Stage 3
	12-month	Lifetime	Lifetime	Total
	£m	£m	£m	£m
Credit grade
Investment grade	1,313.0	–	–	1,313.0
Non-investment grade	56.6	0.6	16.8	74.0
Gross carrying amount	1,369.6	0.6	16.8	1, 387.0
Loss allowance	(1.0)	(0.3)	(16.8)	(18.1)
Total carrying amount	1,368.6	0.3	–	1,368.9

The Group’s trade receivables in stage 3 include amounts arising from IFRS 15 – Revenue from

Contracts with Customers which are assessed in accordance with the simplified approach.

Concentration risk

The Group’s largest credit exposure to any one individual broker at 31 May 2024 was £124.7

million (A+ rated) (31 May 2023: £85.8 million (A+ rated)). Included in cash and cash equivalents,

the Group’s largest credit exposure to any bank at 31 May 2024 was £142.6 million (A+ rated)

(31 May 2023: £118.6 million (A+ rated)). The Group has no significant credit exposure to any one

particular client or group of connected clients.

Liquidity risk

The Group manages its liquidity risk through various mechanisms. The Group has a revolving

credit facility agreement with its bank, on which further details have been disclosed in note 19

of the Consolidated Financial Statements. The Group also has a sale and repurchase agreement

with its bank in relation to its UK Government Gilt Securities. Both these agreements help the

Group to better manage its liquidity requirements, as well as mitigate liquidity risks.

Maturities of financial liabilities

The tables below outlines the Group’s financial liabilities into relevant maturity categories based

on their contractual maturities. The amounts disclosed below are the contractual undiscounted

cash flows.

			31 May 2024
	Within	Between	Over		Carrying amount
	1 year	2 and 5 years	5 years	Total	of liability
	£m	£m	£m	£m	£m
Debt securities in issue	9.4	332.5	–	341.9	298.1
Lease liabilities	8.7	14.0	5.5	28.2	23.8
Trade payables:
– client funds	430.5	–	–	430.5	430.5
– amounts due
to clients	3.8	–	–	3.8	3.8
– amounts due
to brokers	54.5	–	–	54.5	54.5
– issued turbo
warrants	4.5	–	–	4.5	4.5
Other payables:
– accruals	98.6	–	–	98.6	98.6
– other borrowing	–	–	1.3	1.3	1.3
– amounts due to the Pool	70.9	–	–	70.9	70.9
Total	680.9	346.5	6.8	1,034.2	986.0

Financial Statements continued

Notes to the Financial Statements continued

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Annual Report 2024

30. Financial risk management continued

			31 May 2023
	Within	Between	Over		Carrying amount
	1 year	2 and 5 years	5 years	Total	of liability
	£m	£m	£m	£m	£m
Debt securities in issue	9.4	37.5	304.4	351.3	297.6
Lease liabilities	7. 4	13.5	3.8	24.7	20.7
Trade payables:
– client funds	420.4	–	–	420.4	420.4
– amounts due
to clients	6.3	–	–	6.3	6.3
– amounts due
to brokers	48.6	–	–	48.6	48.6
– issued turbo
warrants	2.7	–	–	2.7	2.7
Other payables:
– accruals	109.4	–	–	109.4	109.4
– other borrowing	–	–	1.2	1.2	1.2
– amounts due to the Pool	3.3	–	–	3.3	3.3
Total	607.5	51.0	309.4	9 6 7. 9	910.2

Capital management

The Group manages its capital resources in line with its capital allocation framework, which

includes holding sufficient capital to meet regulatory capital requirements. The regulatory capital

resources of the Group is a measure of equity, adjusted for goodwill and intangible assets,

deferred tax assets, declared dividends, significant investment in financial sector entities and

prudent valuation, which at 31 May 2024 totalled £936.9 million (31 May 2023: £996.3 million).

The Group monitors its capital resources and minimum capital requirements daily, calculating

the market and credit risk requirements arising from exposure at the end of each day and this

includes internal warning indicators as part of the Group’s Board Risk Dashboard.

The Group met all externally imposed capital requirements throughout the years ended 31 May

2024 and 31 May 2023. In addition to regulatory capital requirements, the Group is required to

comply with financial covenants covering a maximum leverage ratio and net debt to equity.

Further details can be found in note 19.

Financial Statements continued

Notes to the Financial Statements continued

31. Cash flow information

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Operating activities
Operating profit
From continuing operations	369.2	438.5
From discontinued operations	–	(0.2)
Adjustments for:
Depreciation and amortisation	63.6	61.0
Impairments, write–offs & disposal of tangible and intangible assets	12.2	0.8
Equity-settled share-based payments charge	16.7	13.3
Interest received on client funds	(145.7)	(81.8)
Interest paid on client funds	3.3	1.0
Decrease/(increase) in trade receivables, other receivables and other assets	30.9	(103.0)
Increase/(decrease) in trade and other payables	9.8	(108.2)
Cash generated from operations	360.0	221.4

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Annual Report 2024

31. Cash flow information continued

Liabilities arising from financing activities

	Debt securities
	in issue	Leases	Share buyback	Total
	£m	£m	£m	£m
As at 1 June 2022	297.2	22.7	–	319.9
Shares repurchased including costs	–	–	177.3	177.3
Payments made for share buyback	–	–	(175.2)	(175.2)
Changes to existing lease
agreements	–	1.2	–	1.2
Additions to leases	–	7.3	–	7.3
Disposal of leases	–	(3.3)	–	(3.3)
Unwinding of discount on leases	–	0.5	–	0.5
Lease payments made in the year	–	(7.6)	–	(7.6)
Financing arrangement fees	(0.3)	–	–	(0.3)
Amortisation of fees	0.7	–	–	0.7
Impact of movements in foreign
exchange rates	–	(0.1)	–	(0.1)
As at 31 May 2023	297.6	20.7	2.1	320.4
As at 1 June 2023	297.6	20.7	2.1	320.4
Shares repurchased including costs	–	–	248.2	248.2
Payments made for share buyback	–	–	(245.6)	(245.6)
Changes to existing lease
agreements	–	7.9	–	7.9
Additions to leases	–	2.2	–	2.2
Lease payments made in the year	–	(7. 9)	–	(7.9)
Unwinding of discount	0.2	1.3	–	1.5
Amortisation of fees	0.3	–	–	0.3
Impact of movements in foreign
exchange rates	–	(0.4)	–	(0.4)
As at 31 May 2024	298.1	23.8	4.7	326.6

Financial Statements continued

Notes to the Financial Statements continued

32. Discontinued operations

In FY22, the Group completed the sale of its operations in North American Derivatives

Exchange, Inc. (Nadex) to Foris DAX Markets, Inc. for cash consideration of $213.7 million (£162.7

million). The financial performance and cash flow information associated with the disposal of

Nadex operations, as well as any subsequent cash flows in relation to this sale, are reported in

discontinued operations.

Financial performance and cash flow information

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Operating costs	–	(0.2)
Operating loss	–	(0.2)
Other non-operating income	–	1.9
Profit before tax	–	1.7
Tax expense	–	(0.4)
Profit after tax	–	1.3
Profit from discontinued operations	–	1.3

	Year ended	Year ended
	31 May 2024	31 May 2023
	£m	£m
Net cash (outflow) from ordinary activities	–	(1.5)
Net cash inflow from investing activities	–	1.8
Net cash increase generated by discontinued operations	–	0.3

	Year ended	Year ended
	31 May	31 May
	2024	2023
Basic earnings per ordinary share from discontinued operations	–	0.3p
Diluted earnings per ordinary share from discontinued operations	–	0.3p

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Annual Report 2024

33. Investment in associates

The Group has an investment in Zero Hash Holdings Limited (Zero Hash), a cryptocurrency trading platform. The Group accounts for Zero Hash as an

associate as the Group has significant influence over the operations of the Company. The Group has a presence on the board of Zero Hash, with one of

the three directors being an employee of the Group. The financial reporting period for Zero Hash is from 1 January to 31 December.

	31 May 2024	31 May 2023
	£m	£m
At the beginning of the year	12.5	14.8
Share of loss after tax	(2.4)	(2.6)
Foreign exchange movement	(0.2)	0.3
At the end of the year	9.9	12.5

		Registered office and
Name of entity	Principal place of business	country of incorporation		Class of shares	% equity owned by the Group	Nature of business
Zero Hash Holdings	Chicago,	1013	Centre Road Suite	Series C- preferred	9.3%	Digital asset trading
Limited	Illinois, United States	403-A, City of	Wilmington, County of	Share
		New Castle, 19805,
		United States

Financial Statements continued

Notes to the Financial Statements continued

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Annual Report 2024

34. Investments in subsidiaries

The following companies are all owned directly or indirectly by IG Group Holdings plc:

Name of Company	Registered office and country of incorporation		Holding	Voting rights	Nature of business
Subsidiary undertakings held directly
IG Group Limited	Cannon Bridge House,		Ordinary shares	100%	Holding company
	25 Dowgate Hill,
	London, EC4R 2YA,
	United Kingdom
Subsidiary undertakings held indirectly
IG Index Limited	Cannon Bridge House,		Ordinary shares	100%	Spread betting
	25 Dowgate Hill,
	London, EC4R 2YA,
IG Markets Limited	United Kingdom		Ordinary shares	100%	CFD trading, foreign exchange and market risk
					management
IG Markets South Africa Limited			Ordinary shares	100%	CFD trading
Market Data Limited			Ordinary shares	100%	Data distribution
Daily FX Limited			Ordinary shares	100%	Content provider
IG Knowhow Limited			Ordinary shares	100%	Software development
IG Finance 9 Limited			Ordinary shares	100%	Financing
Financial Domaigns Registry Holdings Limited			Ordinary shares	100%	Non-trading
Deal City Limited			Ordinary shares	100%	ETF trading
IG Trading and Investments Limited			Ordinary shares	100%	Stock trading
IG Australia Pty Limited	Level 32, Queen & Collins,		Ordinary shares	100%	CFD trading, foreign exchange and stock trading
	376 – 390 Collins Street,
	Melbourne VIC 3000 Australia
IG Asia Pte Limited	9 Battery Road, 01-02 MYP Centre,		Ordinary shares	100%	CFD trading and foreign exchange
	049910	Singapore
Kunxin Translation (Shenzhen) Co. Limited	19-B16, Shenzhen Dinghe Tower, No.100 of		Ordinary shares	100%	Translation services
	Fuhua 3rd Road, Fuan Community, Futian	District, Shenzhen
IG Securities Limited	Izumi Garden Tower 26F, 1-6-1 Roppongi,		Ordinary shares	100%	CFD trading, foreign exchange and other
	Minato-ku,106-6026 Tokyo				derivatives
IG Europe GmbH	Westhafenplatz 1, Frankfurt am Main,		Ordinary shares	100%	CFD trading and other derivatives trading
Spectrum MTF Operator GmbH	60327	Germany	Ordinary shares	100%	Multilateral Trading Facility
Raydius GmbH			Ordinary shares	100%	Issuer of turbo warrants
IG Bank S.A.	42 Rue du Rhone, Geneva, 1204 Switzerland		Ordinary shares	100%	CFD trading and foreign exchange
IG Infotech (India) Private Limited	Infinity, 2nd Floor, Katha No 436, Survey No		Ordinary shares	100%	Software development and support services
	13/1B, 12/2B, Challagatta Village, Bangalore,
	560071	India

Financial Statements continued

Notes to the Financial Statements continued

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

163

IG Group Holdings plc

Annual Report 2024

Name of Company	Registered office and country of incorporation				Holding	Voting rights	Nature of business
Fox Sub 2 Limited	57/63 Line Wall Road, Gibraltar				Ordinary shares	100%	Financing
Fox Japan Holdings					Ordinary shares	100%	Holding company
IG Limited	Office 2&3, Level 27, Currency House – Tower 2,				Ordinary shares	100%	CFD trading and stock trading
	Dubai International Financial Centre, PO Box –
	506968			Dubai, United Arab Emirates
Brightpool Limited	Cedars Oasis Building, 9th Floor Office 902,				Ordinary shares	100%	Market maker
	169-171 Arch. Makarios III Avenue,
IG International Limited	3027,	Canon’s Court, 22 Victoria Street,	Limassol, Cyprus		Ordinary shares	100%	CFD trading and foreign exchange
		Hamilton, HM 12 Bermuda
IG Securities Hong Kong Limited		19/F, Lee Garden One, 33 Hysan Avenue			Ordinary shares	100%	Non-trading
IG US Holdings Inc.	1330	Causeway Bay Hong Kong	West Fulton St., Suite 650, Chicago,		Ordinary shares	100%	Holding company
	Illinois, 60607, United States
tastyfx LLC (formally IG US LLC)	1330		West Fulton St., Suite 610, Chicago,		Ordinary shares	100%	Foreign exchange trading
	Illinois, 60607, United States
tastylive, Inc	1330		West Fulton St., Suite 620, Chicago,		Ordinary shares	100%	Network and content provider
	Illinois, 60607, United States
tastytrade, Inc	1330		West Fulton St., Suite 600, Chicago,		Ordinary shares	100%	Brokerage firm
	Illinois, 60607, United States
tasty Software Solutions LLC	1330		West Fulton St., Suite 660, Chicago,		Ordinary shares	100%	Software development
	Illinois, 60607, United States
Small Exchange, Inc	850	New Burton Road Suite 201, Dover,			Ordinary shares	100%	Exchange
	Delaware, 19904, United States
Bad Trader LLC	1330		West Fulton St., Suite 630, Chicago,		Ordinary shares	100%	Content provider
	Illinois, 60607, United States
tastytrade Australia, Pty Limited	Level	Pitt Street, Sydney, NSW 2000	17,	123	Ordinary shares	100%	Brokerage firm
tastytrade Canada, Inc.	1055		West Georgia Street, 1500 Royal Centre,		Ordinary shares	100%	Non-trading
	PO Box 1117, Vancouver, BC, BC V6N 4N7,
	Canada
tastytrade Singapore Pte. Limited	One Marina Boulevard #28-00, Singapore				Ordinary shares	100%	Non-trading
	018989

1 Share capital consists solely of ordinary shares and the proportion of ownership interests held equals the voting rights.

Financial Statements continued

Notes to the Financial Statements continued

34. Investments in subsidiaries continued

164

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Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

34.Investments in subsidiaries continued

The following UK entities, all of which are 100% owned by the Group, are not subject to an audit

by virtue of s479A of the Companies Act 2006 relating to subsidiary companies: IG Finance 9

Limited (07306407), Deal City Limited (09635230), Financial Domaigns Registry Holdings

Limited (09235699) and IG Markets South Africa Limited (07094705).

Employee Benefit Trusts:

IG Group Holdings plc Inland Revenue Approved Share Incentive Plan (UK Trust)

IG Group Limited Employee Benefit Trust (Jersey Trust)

IG Group Employee Equity Plan Trust (Australian Trust)

35. Subsequent events

During the period from 1 June 2024 to 22 July 2024, the Group repurchased 2,939,818 ordinary

shares with a nominal value of 0.005p for an aggregate purchase amount of £25.2 million

(including related costs of £0.8 million). The total number of shares repurchased under the share

buyback programme since 1 June 2023 up until 22 July 2024 amounted to 38,667,511.

On 11 July 2024, the Group obtained a favourable ruling in respect to a Group of claims. For

further details refer to note 23.

There have been no other subsequent events that have a material impact on the Group’s

financial information.

Financial Statements continued

Notes to the Financial Statements continued

165

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Primary Statements

Company Statement of Financial Position 167

Company Statement of Changes in Equity 168

Company Statement of Cash Flows 169

Notes to the Company Financial

Statements

1. General information and basis of preparation 170

2. Material accounting policies 170

3. Auditors’ remuneration 170

4. Directors’ remuneration 170

5. Staff costs 170

6. Investment in subsidiaries 170

7. Leases 171

8. Cash flow information 171

9. Other receivables 172

10. Debt securities in issue 172

11. Other payables 172

12. Share capital and share premium 172

13. Merger reserve 172

14. Other reserves 172

15. Related party transactions 173

16. Directors’ shareholdings 173

17. Contingent liabilities, provisions and guarantees 173

18. Financial risk management 173

19. Subsequent events 173

20. Dividends paid and proposed 173

Company Financial Statements

166

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Company Financial Statements

Note

31 May 2024

£m

31 May 2023

£m

Assets

Non-current assets

Investment in subsidiaries 6 1,103.3 1,087. 2

Right-of-use assets 7 1.6 3.6

Prepayments 1.1 0.3

Other receivables 9 298.3 298.3

1,404.3 1,389.4

Current assets

Prepayments 1.8 2.5

Other receivables 9 333.4 600.7

Cash and cash equivalents 2.4 0.9

337.6 6 0 4 .1

Total assets 1,741.9 1,993.5

Note

31 May 2024

£m

31 May 2023

£m

Liabilities

Non-current liabilities

Debt securities in issue 10 298.1 297. 6

Lease liabilities 7 – 2.2

298.1 299.8

Current liabilities

Other payables 11 8.0 189.0

Lease liabilities 7 2.5 2.6

10.5 191.6

Total liabilities 308.6 491.4

Equity

Share capital and share premium 12 125.8 125.8

Merger reserve 13 590.0 590.0

Other reserves 14 (19.9) (5.9)

Retained earnings 737. 4 792.2

Total equity 1,433.3 1,502.1

Total equity and liabilities 1,741.9 1,993.5

The Company’s profit for the year was £350.8 million (31 May 2023: profit of £423.4 million).

The Financial Statements of IG Group Holdings plc (registered number 04677092) were

approved by the Board of Directors on 24 July 2024 and signed on its behalf by:

Charles A. Rozes

Chief Financial Officer

Company Statement of Financial Position

as at 31 May 2024

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Company Information

IG Group Holdings plc

Annual Report 2024

Company Financial Statements continued

Share capital

£m

Share premium

£m

Merger reserve

£m

Other reserves

£m

Retained earnings

£m

Total equity

£m

At 1 June 2022 – 125.8 590.0 7. 5 725.9 1,449.2

Profit and total comprehensive income for the year – – – – 423.4 423.4

Equity dividends paid – – – – (188.1) (188.1)

Movement due to share buyback – – – (2.1) (176.6) (178.7)

Employee Benefit Trust purchase of own shares – – – (14.6) – (14.6)

Transfer of vested awards from the share-based payment reserve – – – ( 7. 6 ) 7.6 –

Equity-settled employee share-based payments – – – 13.3 – 13.3

Share-based payments converted to cash-settled liabilities – – – (2.4) – (2.4)

At 31 May 2023 – 125.8 590.0 (5.9) 792.2 1,502.1

At 1 June 2023 – 125.8 590.0 (5.9) 792.2 1,502.1

Profit and total comprehensive income for the year – – – – 350.8 350.8

Equity dividends paid – – – – (178.3) (178.3)

Movement due to share buyback – – – 0.6 (244.7) (244.1)

Employee Benefit Trust purchase of own shares – – – (13.3) – (13.3)

Transfer of vested awards from the share-based payment reserve – – – (17. 4) 17. 4 –

Equity-settled employee share-based payments – – – 16.7 – 16.7

Share-based payments converted to cash-settled liabilities – – – (0.6) – (0.6)

At 31 May 2024 – 125.8 590.0 (19.9) 737.4 1,433.3

Company Statement of Changes in Equity

for the year ended 31 May 2024

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Company Information

IG Group Holdings plc

Annual Report 2024

Note

Year ended

31 May 2024

£m

Year ended

31 May 2023

£m

Operating activities

Cash generated from operations 8 453.7 392.2

Net cash flow generated from operating activities 453.7 392.2

Financing activities

Interest paid on lease liabilities (0.1) (0.2)

Interest and other financing costs paid (12.6) (13.0)

Repayment of principal element of lease liabilities (2.3) (2.0)

Payments made for share buyback (245.6) (175.2)

Equity dividends paid to owners of the parent (178.3) (188.1)

Employee Benefit Trust purchase of own shares (13.3) (14.6)

Net cash flow (used in) financing activities (452.2) (393.1)

Net increase/(decrease) in cash and cash equivalents 1.5 (0.9)

Cash and cash equivalents at the beginning of the year 0.9 1.8

Cash and cash equivalents at the end of the year 2.4 0.9

Company Financial Statements continued

Company Statement of Cash Flows

for the year ended 31 May 2024

Strategic Repot Governance Repot Financial Statements

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Company Information

169

IG Group Holdings plc

Annual Report 2024

Company Financial Statements continued

Notes to the Company Financial Statements

1. General information and basis of preparation

General information

The Financial Statements of IG Group Holdings plc (the Company) for the year ended 31 May

2024 were authorised for issue by the Board of Directors on 24 July 2024 and Statement of

Financial Position was signed on the Board’s behalf by Charles A. Rozes. IG Group Holdings plc is

a public company limited by shares, which is listed on the London Stock Exchange and

incorporated in the United Kingdom and domiciled in England and Wales. The address of the

registered office is Cannon Bridge House, 25 Dowgate Hill, London, EC4R 2YA.

Basis of preparation

The Financial Statements of the Company have been prepared in accordance with UK-adopted

International Accounting Standards and with the requirements of the Companies Act 2006 as

applicable to companies reporting under those standards. There were no unendorsed standards

effective for the year ended 31 May 2024 affecting these separate Financial Statements.

The Financial Statements have been prepared under the historical cost convention and in

conformity with UK-adopted International Accounting Standards require use of certain critical

accounting estimates. It also requires management to exercise its judgement in the process of

applying the Company’s accounting policies. There are no significant areas of judgement or

complexity, or areas where assumptions and estimates are significant to the Company’s

Financial Statements.

As permitted by Section 408(1)(b), (4) of the Companies Act 2006, the individual Income

Statement of the Company has not been presented in these Financial Statements. A Statement

of Comprehensive Income has also not been presented in these Financial Statements. No items

of other comprehensive income arose in the year (31 May 2023: £nil).

The Company’s functional currency and presentational currency is Sterling.

Basis of preparation

Going concern assessment is disclosed within note 1 of the Consolidated Financial Statement.

2. Material accounting policies

The accounting policies applied are the same as those set out in note 2 of the Consolidated

Financial Statements except for the following:

Investment in subsidiaries

Subsidiaries are entities on which the Company has control. Control is achieved where the

Company has existing rights that give it the ability to direct the activities that affect the

Company’s returns and exposure or rights to variable returns from the entity. Investments in

subsidiaries are stated at cost less accumulated impairment losses.

Impairment of investment in subsidiaries

The Directors of the Company carry out an annual assessment to determine if any indication of

impairment exists. If such indicators are identified, then the amount of impairment is

ascertained by comparing the carrying amount of the investment in each subsidiary to its

recoverable amount. The recoverable amount of a subsidiary is determined based on VIU

calculations which requires the use of assumptions. The calculation of VIU incorporates cash

flow projections based on financial budgets approved by management.

Dividends

Dividends receivable are recognised when the shareholder’s right to receive the payment is

established.

3. Auditors’ remuneration

Auditors’ remuneration is disclosed within note 5 of the Consolidated Financial Statements.

4. Directors’ remuneration

Directors’ remuneration is disclosed within the Director’s Remuneration Report section of the

Group Annual Report.

5. Staff costs

The Company has no employees (31 May 2023: nil).

6. Investment in subsidiaries

31 May 2024

£m

31 May 2023

£m

Cost:

At the beginning of the year 1,087.2 1,076.3

Equity-settled employee share-based payments 16.1 10.9

At the end of the year 1,103.3 1,087.2

The Company’s direct and indirectly owned subsidiaries are disclosed in note 34 of the

Consolidated Financial Statements.

The investments in subsidiaries are assessed annually by the Directors of the Company, to

determine if there is any indication that any of the investments might be impaired. Based on an

assessment carried out, the carrying amount of the Company’s investments in subsidiary is

supported by the net present value of future cash flows. Therefore, no impairment was

recognised during the current year.

170

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Company Information

IG Group Holdings plc

Annual Report 2024

7. Leases

(i) Right-of-use asset

31 May 2024

£m

31 May 2023

£m

Cost

At the beginning of the year 10.1 9.7

Additions – 0.4

At the end of the year 10.1 10.1

Accumulated depreciation

At beginning of the year 6.5 4.7

Charge for the year 2.0 1.8

At the end of the year 8.5 6.5

Net book value 1.6 3.6

The Company’s right-of-use asset represents the commercial lease for office space. The table

below shows the discounted rental commitments under non-cancellable operating leases.

Future minimum payments due

31 May 2024

£m

31 May 2023

£m

Within one year 2.5 2.6

After one year but not more than five years – 2.2

2.5 4.8

The following table shows the maturity analysis of the undiscounted cash flows for non-

cancellable leases. Balances due within 12 months equal their carrying balances as the impact

of discounting is not significant.

(ii) Lease liability

Future minimum payments due

31 May 2024

£m

31 May 2023

£m

Within one year 2.5 2.6

After one year but not more than five years – 2.5

2.5 5 .1

8. Cash flow information

Year ended

31 May 2024

£m

Year ended

31 May 2023

£m

Operating activities

Operating (loss) (6.2) (6.4)

Dividends received 358.0 430.0

Lease asset depreciation 2.0 1.8

Decrease/(increase) in trade and other receivables 279.4 (204.9)

(Decrease)/increase in trade and other payables (179.5) 171.7

Cash generated from operations 453.7 392.2

Liabilities arising from financing activities

Debt securities

in issue

£m

Leases

£m

Share buyback

£m

Total

£m

Liabilities as at 1 June 2022 297. 2 6.4 – 303.6

Shares repurchased including costs – – 177.3 177.3

Payments made for share buyback – – (175.2) (175.2)

Financing arrangement fees (0.3) – – (0.3)

Unwind of capitalised financing fees 0.7 – – 0.7

Lease payments made in the year – (2.2) – (2.2)

Unwinding of discount on leases – 0.2 – 0.2

Changes to existing lease

agreements – 0.4 – 0.4

Liabilities as at 31 May 2023 297.6 4.8 2.1 304.5

Liabilities as at 1 June 2023 297.6 4.8 2 .1 304.5

Shares repurchased including costs – – 248.2 248.2

Payments made for share buyback – – (245.6) (245.6)

Amortisation of fees 0.3 – – 0.3

Lease payments made in the year – (2.4) – (2.4)

Unwinding of discount 0.2 0.1 – 0.3

Liabilities as at 31 May 2024 298.1 2.5 4.7 305.3

Company Financial Statements continued

Notes to the Company Financial Statements continued

171

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Company Information

IG Group Holdings plc

Annual Report 2024

9. Other receivables

31 May 2024

£m

31 May 2023

£m

Amounts due from Group companies (current)

– IG Markets Limited 316.1 589.1

– IG Index Limited 15.7 8.6

– Other Group companies 1.6 3.0

333.4 600.7

All amounts above are repayable on demand and are non-interest bearing.

Under the Group’s cash management framework, entities holding cash that is surplus to

short-term requirements generally lend the money to IG Markets Limited. In addition to the

£316.1 million due from IG Markets Limited outlined above, the Company has entered into an

agreement with IG Markets Limited to provide a £298.3 million loan to be repaid as one final

payment in November 2028. This is classified within non-current other receivables in the

Statement of Financial Position.

10. Debt securities in issue

Details of debt securities in issue are disclosed within note 19 of the Consolidated Financial

Statements.

11. Other payables

31 May 2024

£m

31 May 2023

£m

Accruals and provisions 6.6 7.1

Other taxes and social security 1.4 1.8

Amounts due to Group companies

– IG Group Limited – 180.0

– Other Group companies – 0.1

8.0 189.0

All amounts due to Group companies in the table above were repayable on demand and were

non-interest bearing.

12. Share capital and share premium

Share capital and share premium is disclosed within note 24 of the Consolidated Financial

Statements.

13. Merger reserve

Details of the merger reserve are disclosed within note 25 of the Consolidated Financial

Statements.

14. Other reserves

Share-based

payments

reserve

£m

Own shares held

in Employee

Benefit Trusts

£m

Share buyback

reserve

£m

Total other

reserves

£m

At 1 June 2022 13.5 (6.0) – 7.5

Equity-settled employee share-

based payments 13.3 – – 13.3

Exercise of employee share awards (11.3 ) 11.3 – –

Employee Benefit Trust purchase of

shares – (14.6) – (14.6)

Transfer of vested awards from the

share-based payments reserve (7.6 ) – – ( 7. 6)

Share-based payments converted to

cash-settled liabilities (2.4) – – (2.4)

Share buyback liability – – (2.1) (2.1)

At 31 May 2023 5.5 (9.3) (2 .1) (5.9)

At 1 June 2023 5.5 (9.3) (2.1) (5.9)

Equity-settled employee share-

based payments 16.7 – – 16.7

Exercise of employee share awards (18.1) 18.1 – –

Employee Benefit Trust purchase of

shares – (13.3) – (13.3)

Transfer of vested awards from the

share-based payments reserve (17.4) – – (17.4)

Share-based payments converted to

cash-settled liabilities (0.6) – – (0.6)

Share buyback liability – – (1.5) (1.5)

Transfer of complete share buyback – – 2 .1 2.1

At 31 May 2024 (13.9) (4.5) (1.5) (19.9)

Company Financial Statements continued

Notes to the Company Financial Statements continued

172

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Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

15. Related party transactions

Transactions with related parties are as follows:

Year ended

31 May 2024

£m

Year ended

31 May 2023

£m

Income:

Subsidiary – dividends 358.0 430.0

358.0 430.0

Finance income:

Subsidiary 12.3 13.2

12.3 13.2

Service income:

Subsidiary 2.1 1.9

2.1 1.9

16. Directors’ shareholdings

The Directors of the Company hold shares as disclosed in the Remuneration Report in the

Group Annual Report.

17. Contingent liabilities and provisions

In the ordinary course of business, the Company is required to issue guarantees on behalf of its

subsidiaries. These primarily relate to guarantees provided to third party banks and hedging

counterparties. Under the terms of the agreements the Company acts as guarantor for

unsettled liabilities that may arise under other agreements between Group companies and

financial institutions, in certain circumstances. The amounts guaranteed by the Company as at

31 May 2024 was £1.6 million (31 May 2023: £7.0 million).

18. Financial risk management

Financial risks arising from financial instruments are managed at a Group-wide level and details

are in the Risk Management section of the Group Annual Report.

Credit risk

Held within other receivables are amounts receivable by the Company from related parties that

are unrated. The Directors consider the Company’s receivables to be recoverable as they are

with Group companies and the companies have adequate resource to ensure repayment in full.

Therefore, credit risk is minimal.

Liquidity risk

The following tables analyse the Company’s financial liabilities into relevant maturity categories

based on their contractual maturities. The amounts disclosed in the table are the contractual

undiscounted cash flows. The Company is able to obtain financial support from other Group

companies if this is needed. Therefore, liquidity risk is minimal.

31 May 2024

Within

1 year

£m

Between

2 and 5 years

£m

Over

5 years

£m

Total

£m

Carrying

amount

£m

Debt securities in issue 9.4 332.5 – 341.9 298.1

Lease liabilities 2.5 – – 2.5 2.5

Total 11.9 332.5 – 344.4 300.6

31 May 2023

Within

1 year

£m

Between

2 and 5 years

£m

Over

5 years

£m

Total

£m

Carrying

amount

£m

Debt securities in issue 9.4 37.5 304.4 351.3 297.6

Lease liabilities 2.6 2.5 – 5.1 4.8

Total 12.0 40.0 304.4 356.4 302.4

Capital management

The capital of the Company is managed as part of the capital of the Group. Further details are

included in the Consolidated Financial Statements in note 30.

19. Subsequent events

The subsequent events of the Company are the same as those disclosed in the notes to the

Consolidated Financial Statements in note 35.

20. Dividends paid and proposed

The dividends paid and proposed by the Company are the same as those disclosed in the notes

to the Consolidated Financial Statements in note 11.

Company Financial Statements continued

Notes to the Company Financial Statements continued

173

Strategic Repot Governance Repot Financial Statements

Shareholder and

Company Information

IG Group Holdings plc

Annual Report 2024

Shareholder information

Shareholder communications

You can opt to receive communications from

us by email rather than by post and we will

email you whenever we add shareholder

communications to the Company’s website.

Please visit investorcentre.co.uk/ and

If you subsequently wish to change this

instruction you can do so by contacting

our Registrar at the address shown below.

You can also make this request online

via your Investor Centre account.

The Registrar can also be contacted

by telephone on +44 (0)371 495 2032.

Calls to this number cost no more than

a national rate call. These prices are for

indication purposes only; if in doubt, please

check the cost of calling this number

with your phone line provider. Lines are

open from 8:30am to 5:30pm, Monday

to Friday, excluding bank holidays.

Shareholder enquiries

If you have any queries relating to your

shareholding, dividend payments, lost share

certificates, or change of personal details,

please contact Computershare by using any

of the contact details above.

American Depositary Receipts (ADRs)

IG’s ADR programme trades in the US OTC

market, under the symbol IGGHY. Each ADR

currently represents one ordinary share.

Dividend dates

Ex-dividend date 19 September 2024

Record date 20 September 2024

Last day to elect

for dividend

reinvestment plan 26 September 2024

Final dividend

payment date 17 October 2024

Annual shareholder calendar

Company reporting

Final results announced 25 July 2024

Annual Report published 13 August 2024

Annual General Meeting 18 September 2024

Company Information

IG Group Holdings plc

Annual Report 2024

Appendices

Appendix

Property, plant and equipment excluding right-of-use asset

£m 31 May 2024 31 May 2023

Property, plant and equipment 41.8 36.1

Right-of-use assets (note 14) (21.5) (18.5)

Property, plant and equipment

20.3 17.6

1 Excludes right-of-use assets.

Operating lease net liabilities

£m 31 May 2024 31 May 2023

Right-of-use assets (note 14) 21.5 18.5

Lease liabilities (current) (8.7) (7. 4)

Lease liabilities (non-current) (15.1) (13.3)

Operating lease net liabilities (2.3) (2.2)

Own cash

£m 31 May 2024 31 May 2023

Cash and cash equivalents 983.2 798.5

Less: Amounts due to pooling arrangement (note 16) (70.9) (3.3)

Own cash 912.3 795.2

Issued debt

£m 31 May 2024 31 May 2023

Debt securities in issue (298.1) (297. 6)

Unamortised fees capitalised (note 19) (1.4) (1.7)

Issued debt (299.5) (299.3)

Net amounts due from brokers

£m 31 May 2024 31 May 2023

Financial investments – UK Government securities held at brokers

(note 15) 345.0 372.3

Trade receivables – amounts due from brokers (note 17) 456.0 486.6

Trade payables – amounts due to brokers (note 21) (54.5) (48.6)

Other assets (note 18) 36.6 15.0

Net amounts due from brokers 783.1 825.3

Financial investments

£m 31 May 2024 31 May 2023

Financial investments (note 15) 460.7 606.4

Less: Financial investments – UK Government securities held at

brokers (note 15) (345.0) (372.3)

Financial investments 115.7 234.1

Net deferred tax liability

£m 31 May 2024 31 May 2023

Deferred tax assets (note 9) 24.6 23.2

Deferred tax liabilities (note 9) (51.3) (60.8)

Net deferred tax liability (26.7) (37.6)

Net tax receivable

£m 31 May 2024 31 May 2023

Income tax receivable (note 9) 10.3 8.8

Income tax payable (note 9) (8.1) (6.1)

Net tax receivable 2.2 2.7

Own funds in client money

£m 31 May 2024 31 May 2023

Trade receivables – own funds in client money (note 17) 49.4 79.4

Less: Trade payables – amounts due to clients

(2.1) (4.3)

Own funds in client money 47.3 75.1

1 Amounts considered as part of own funds.

Working capital

£m 31 May 2024 31 May 2023

Prepayments (non-current) 5.4 0.3

Prepayments (current) 27. 4 25.3

Amounts due from clients (note 17) 2.9 4.4

Unamortised fees capitalised (note 19) 1.4 1.7

Other receivables 15.3 10.0

Other payables (non-current) (note 22) (1.3) (1.2)

Other payables – Accruals (note 22) (98.6) (109.4)

Other payables – Payroll taxes, social security and other taxes

(note 22) (6.0) (3.5)

Trade payables – amounts due to clients

(1.7) (2.0)

Working capital (55.2) (74.4)

1 Amounts considered part of working capital.

Appendices

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Net own funds generated from operations

£m FY24 FY23

Cash generated from operations 360.0 221.4

Interest received on client funds 142.7 75.8

Interest paid on client funds (2.8) (1.0)

Cash generated from operations net of client interest 499.9 296.2

– (Increase) in other assets (21.6) (0.8)

– (Decrease)/increase in trade payables (18.5) 95.3

– Decrease/(increase) in trade receivables (10.2) 102.5

– Repayment of principal element of lease liabilities (6.6) ( 7.1)

– Interest paid on lease liabilities (1.3) (0.5)

– Fair value movement in financial investments 11.3 (18.1)

Own funds generated from operations (A) 453.0 467.5

Profit before tax (B) 400.8 449.9

Conversion rate from profit to cash (A/B) % 113% 104%

Adjusted operating costs

£m FY24 FY23

Operating costs (Note 4) 6 0 4 .1 583.8

– Net credit losses on financial assets 15.5 1.1

Operating costs inc. net credit losses 619.6 584.9

– Operating costs relating to the operational improvement

programme (19.1) –

– Amortisation on tastytrade acquisition intangibles and

recurring non-cash costs (35.1) ( 37.0)

– Operating costs relating to the tastytrade acquisition and

integration (1.3) (2.7)

– Operating costs relating to the Nadex sale – (4.2)

Adjusted operating costs 564.1 541.0

Adjusted profit before tax and earnings per share

£m (unless stated) FY24 FY23

Earnings per share (p) (Consolidated Income Statement) 79.4 86.9

Weighted average number of shares for the calculation of EPS

(millions) (note 10) 387. 8 418.7

Profit after tax (Consolidated Income Statement) 307.7 363.7

Tax expense (Consolidated Income Statement) 93.1 86.2

Profit before tax (Consolidated Income Statement) 400.8 449.9

– Operating costs relating to operational improvement

programme 19.1 –

– Operating costs relating to the tastytrade acquisition and

integration 1.3 2.7

– Amortisation on tastytrade acquisition intangibles and

recurring non-cash costs 35.1 37.0

– Operating costs relating to the Nadex sale – 4.2

– Operating income relating to Nadex sale – (3.3)

Adjusted profit before tax (A) 456.3 490.5

Adjusted tax expense (106.0) (94.0)

Adjusted profit after tax 350.3 396.5

Adjusted earnings per share (pence per share) 90.3 94.7

Adjusted revenue (B) 987. 3 1,022.6

Adjusted PBT margin (A/B) % 46.2% 48.0%

Appendices continued

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IG Group Holdings plc

Annual Report 2024

Group-wide Key Performance Indicator (KPI) Definitions

Net trading revenue (£m)

Represents the transaction fees paid by

clients (client income), net of introducing

partner commissions, our external hedging

costs, client trading profit and losses, and

corresponding hedging profits and losses.

Total revenue (£m)

Represents the sum of net trading revenue

and interest income.

Net operating income (£m)

Represents trading revenue, interest income

and other operating income, net of

introducing partner commissions, betting

duty and financial transaction taxes.

Net trading revenue generated from

non-OTC products (%)

Represents net trading revenue generated

from exchange traded derivatives and stock

trading and investments.

Adjusted profit before tax margin (%)

Represents the profit that we generate as a

percentage of total revenue, prior to tax

charges, on an adjusted basis.

Net own funds generated from

operations (£m)

Represents the level of net own funds (cash)

that we generate from our operations after

deductions for taxes.

Total number of active clients (000)

Represents the total number of unique clients

who have generated trading revenue from our

OTC or ETD products, or stock trading and

investment clients who held a balance at the

period end.

Employee engagement score (%)

Represents the average score of four key

questions from or annual employee survey.

Gender diversity (%)

Represents the percentage of women

employed across the Group.

ESG KPI: scope 1–3 greenhouse gas

emissions per employee (TCO

Total scope 1–3 greenhouse gas emissions

in the financial year, divided by average

headcount during the year.

ESG KPI: people benefiting from our

Brighter Future initiatives globally

Represents the total number of people

benefiting from collaboration between

IG Group and charity partners such as

Teach First. This includes both direct and

indirect impact.

Platform uptime (%)

This measures the percentage of time that

IG’s trading platforms were online during the

financial year. Partial outages or degradation

of service are included as uptime.

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Company Information

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Annual Report 2024

Notes

178

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Company Information

IG Group Holdings plc

Annual Report 2024

Notes

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Company Information

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Annual Report 2024

Notes

180

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Shareholder and

Company Information

Cautionary statement

Certain statements included in our 2024 Annual Report, or incorporated by reference to it, may constitute ‘forward-looking

statements’ in respect of the Group’s operations, performance, prospects and/or financial condition.

Forward-looking statements involve known and unknown risks and uncertainties because they are beyond the Group’s control and are

based on current beliefs and expectations about future events about the Group and the industry in which the Group operates.

No assurance can be given that such future results will be achieved; actual events or results may differ materially as a result of risks

and uncertainties facing the Group. If the assumptions on which the Group bases its forward-looking statements change, actual

results may differ from those expressed in such statements. The forward-looking statements contained herein reflect knowledge and

information available at the date of this Annual Report and the Group undertakes no obligation to update these forward-looking

statements except as required by law.

This report does not constitute or form part of any offer or invitation to sell, or any solicitation of any offer to purchase, any shares or

other securities in the Company, and nothing in this report should be construed as a profit forecast.

Printed by a CarbonNeutral® Company certified to ISO 14001 environmental management system.

Printed on material from well-managed, FSC® certified forests and other controlled sources.

100% of the inks used are HP Indigo ElectroInk which complies with RoHS legislation and meets the chemical requirements of the

Nordic Ecolabel (Nordic Swan) for printing companies, 95% of press chemicals are recycled for further use and, on average 99% of

any waste associated with this production will be recycled and the remaining 1% used to generate energy.

The paper is Carbon Balanced with World Land Trust, an international conservation charity, who offset carbon emissions through the

purchase and preservation of high conservation value land. Through protecting standing forests, under threat of clearance, carbon is

locked-in, that would otherwise be released.

IG Group Holdings plc

Cannon Bridge House

25 Dowgate Hill

London EC4R 2YA

T: +44 (0)20 7896 0011

F: +44 (0)20 7896 0010

W: iggroup.com