TP ICAP sees Trump trading surge

TP ICAP expected to report a 12% growth in revenues in 2016 compared to the year prior.

TP ICAP – formerly known as Tullett Prebon – has reported a surge in trading activity in the fourth quarter of 2016, following market volatility from Donald Trump’s election.

Annual revenues are expected to be 12% higher than 2015, when sales stood at £796 million, and 4% higher at constant exchange rates, TP ICAP said.

The fourth quarter saw a surge across TP ICAP’s ‘heritage’ products, including fixed income, interest rate derivatives and treasuries.

TP ICAP explained: “The aftermath of the US presidential election and the expectation of future interest rate rises have seen an increase in volatility and market activity, which has particularly benefitted these products.”

The firm’s acquisition of ICAP’s global hybrid voice broking business officially closed on 30 December 2016 and its integration plans have now moved towards implementation.

Following the acquisition, ICAP rebranded as NEX Group and has shifted its focus to electronic markets and post-trade services.

Discussing the rebrand, chief executive officer at NEX Group, Michael Spencer, explained the business “will be a fast moving, entrepreneurial pure electronic and post trade leader, well positioned for growth.”

ICAP’s voice broking business reported profits before tax increased a significant 28% in the first half of 2016 to £59 million.

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