IG Group's H1 trading revenue up on volatile markets

(Reuters) - Volatile markets helped online brokerage IG Group (IGG.L) rack up an 8.8 percent increase in net trading revenue in its first half as traders speculated on economic weakness in emerging markets.

The company, which provides online stockbroking and trading services to retail investors, said net trading revenue rose to 214.8 million pounds ($306.7 million) for the six months ended Nov. 30, from 197.4 million pounds a year earlier.

Pretax profit fell 2.8 percent to 98.6 million pounds, hurt by a rise in operating costs and a combination of higher betting duty and lower interest on client funds, the company said.

Online retail brokers traded $325 billion worth of currencies daily in the third quarter, down from record levels early this year but up from the previous quarter helped by a series of China-driven market shocks, industry data showed in November.

IG Group, which said its second half had started well, would pay out an interim dividend of 8.45 pence per share, unchanged from a year ago.

IG Group shares, which have fallen 5.9 percent since the start of the year, closed at 743.5 pence on Monday on the London Stock Exchange.

(Reporting by Noor Zainab Hussain in Bengaluru; Editing by Gopakumar Warrier)