IG Group halts its Sprint product

FINANCIAL SPREAD BETTING GROUP GETS OUT IN FRONT OF THE U.K. REGULATOR

IG Group halts its Sprint product action for new clients…

The looming clampdown on contracts-for-difference spread betting announced late last year by the UK Financial Conduct Authority has spurred one of the major operators in the sector, FTSE-listed IG Group, to withdraw its Sprint binary options product from new clients in an attempt to get ahead of the regulator's proposed new industry restrictions.

It could be an expensive decision - the product generates around GBP 15 million a year for the company as punters make leveraged bets on market changes over anything from an hour to a minute in duration.

The decision to can Sprints for new clients was announced in IG's interim report this week, which showcased a positive set of H2-2016 performance numbers that included pre-tax profit up 7 percent at GBP 105.2 million, and net revenue up 14 percent at GBP 245 million.

However, it has to be remembered that the reporting period (to end-November) was just before the FCA's announcement that it was about to crackdown on the sector, where CFD punters were sustaining 82 percent losses, suggesting they did not really understand the risks involved.

The prospect of FCA restrictions created a furore in the market with share prices in leading sector firms like IG plummeting as much as a third, knocking billions off the market capitalization of the companies so impacted.

Putting a positive spin on its Sprint decision, IG Group explained that the product no longer suits its strategic move towards more sophisticated trading and investing. However, the company is hedging its bets by keeping the product open to existing clients, with whom it is clearly popular.

In a later interview with the Telegraph newspaper, IG Group director Kieran McKinney acknowledged that Sprint will likely be among the products targeted by the FCA clampdown, and that his company is getting out ahead of the regulator's restraints.

USA Online Gamblers. The Best Online Casino with the fastest payouts and highest bonus. Get your Exclusive Bovada Bonus Code now. Up to $4250 in free sign up bonuses. Dont miss out on this limited time special offer.Online Poker, Online Casino and Online SPorts betting all included in this exclusive Bovada Bonus.

Betway has signed numerous deals with British race courses - The online operator renewed deals with Jockey Club Racecourse, Arena Racing Company and York Racecourse to retain its sponsorship of headline events while extending its support to the Newmarket and Haydock race courses.

Nolimit City has partnered Relax Gaming - “Relax work with the operators we want to supply our games to, and this is an effective and efficient way of doing it,” Jonas Tegman, chief technology officer at Nolimit City, said.

Quickspin will launch its Achievements Engine - #quickspin The Achievements Engine, hailed as an industry-first, is an engagement and retention initiative that will encourage players to keep spinning the reels as they chase tokens and prizes.

LIBRATUS Crushing Live Poker Pros - #Libratus #poker Kim agreed, saying: “I didn’t realize how good it was. I felt like I was playing against someone who was cheating, like it could see my cards...I’m not accusing it of cheating. It was just that good.”

IG Group halts its Sprint product - It could be an expensive decision - the product generates around GBP 15 million a year for the company as punters make leveraged bets on market changes over anything from an hour to a minute in duration.

Be The King instant win game is now live - It’s a nail-biting game of courage and judgement as players choose when to take the money and when to risk it," the Gamevy statement declares.

Another Pennsylvania Sports Betting Bill - The state House already has a bill before it in the form of HB4060 authored by Representative Robert Kosowski, which calls for support for legalized intrastate sports betting subject to a positive vote in a residents' referendum.

NYX Gaming in Deal With New Zealand Racing Board - Recentpoker.com readers will recall, the NZRB announced its intention to engage with Paddy Power Betfair and OpenBet to potentially formalize a Fixed Odds Betting platform in late December 2016.

BetConstruct Fantasy Sports Adds USA Sports - BetConstruct’s fantasy sports offer has expanded to offer American sports in time for the US Fantasy Sports Trade Association’s (FSTA) Winter Conference 2017, which is being held in Nashville this week .

PCSO On Philippines Gambling issues - The Philippine state-run Charity Sweepstakes Office (PCSO) is calling on illegal gambling operators to “Go Legal”, Manilla news agency SunStar reports.