Icap, the world's biggest interdealer broker, has reported a good start to its financial year, helped by active and volatile markets, and said new derivatives regulation would drive growth over the next two years. Pre-tax profits fell 5 per cent to £333m in the year to 31 March on revenue that was little changed at £1.6bn.
Electronic broking and post-trade services grew to 48 per cent of operating profit and will pass 50 per cent this year because of pressures for transparency in over-the-counter markets, Icap's chief executive, Michael Spencer, said.
"We are absolutely plum-placed to benefit from the further electronification of the OTC space. We believe that will be the big story this year and next year."