Trade ICAP Shares

ICAP (IAP.L)

About

ICAP is the world’s electronic interdealer broker, delivering specialist intermediary broking services to trading professionals in the wholesale financial markets. The group covers a very broad range of OTC financial products and services in commodities, foreign exchange, interest rates, credit and equity markets, as well as data, commentary and indices.

Industry

Investment Services

Website

www.icap.com

Trading Options

Financial Spread Betting
Contracts For Difference
Share Dealing / Stockbroker

ICAP and Market Latest News

Yahoo! Finance: IAP.L News
Asia-focus banks carry Footsie to 10-week high [at Financial Times] (FT Times)
HSBC and Standard Chartered were in demand as banks led the FTSE 100 to a 10-week high.
London close: Lead slashed as miners fail (ShareCast)
A big chunk of the morning's hard-fought gains went up in smoke late in the session as an early rally on Wall Street quickly turned into nothing.
FTSE 100 movers: Banks higher on European results (ShareCast)
Banks are leading the market higher after good results from their European counterpart UBS.
London midday: Shares edge higher (ShareCast)
London's blue chips are still edging higher, with banks leading the way after Swiss peer UBS beat earnings estimates.
London mid-morning: Banks buoy Footsie (ShareCast)
Banks are helping to keep Footsie in the blue after their Swiss peer UBS beat earnings estimates.
MONEY MARKETS-After stress tests, now what? (Other)
UPDATE 1-MOVES-Royal Bank of Scotland, Standard Chartered (Other)
No new stress after test, euro rates edge up (Reuters MOLT)
MONEY MARKETS-No new stress after test, euro rates edge up (Other)
MOVES-Royal Bank of Scotland, Standard Chartered, Nomura (Other)
FOREX-Euro up on data; risks into stress tests (Other)
FOREX-Euro slips on report Spain savings banks fail test (Other)
FOREX-Euro steadies vs dollar before stress test results (Other)
FOREX-Dollar falls vs yen as risk cut after Bernanke (Other)
Regulators may silence derivative squawk boxes [at Financial Times] (FT Times)
Among the few noisy spots to remain on Wall Street's trading floors are derivative trading desks.
Market overview: FTSE 100 up 75 (ShareCast)
1630: close Profit takers moved in late in the afternoon to deny the Footsie a triple digit gain. The FTSE 100 index rose 75 points to 5,215, breaking a five-day losing streak. Banking shares Lloyds, Barclays and Royal Bank of Scotland were three of the five most heavily traded stocks, but it was mining stocks that posted tghe big gains as the price of copper surged. The market gave the thumbs-up to Reckitt's £2.54bn bid for SSL. At the opposite end of the mergers and acquisitions scale BSkyB confirmed it is offloading its netowrking arm, Easynet, for £100m to a private equity group.
FTSE 100 movers: Footsie rises on the back of strong miners (ShareCast)
Mining stocks lead the surge in the Footsie as copper inventories continue to decline.
MONEY MARKETS-Rise in euro Libor slows as liquidity reassessed (Other)
Market overview: FTSE 100 up 78 (ShareCast)
1345: Mining stocks are among the best performers in a buoyant FTSE 100 as metals prices rise. Kazakhmys leads the sector - and the FTSE 100 - higher. Antofagasta, Xstrata, Vedanta Resources and Eurasian Natural Resources also climb. British Airways has also gained altitude. US authorities have told it, American Airlines and Iberia they are free to run a joint business on transatlantic flights after granting the trio anti-trust immunity. Among the handful of fallers are defensive stocks such as Imperial Tobacco and Astrazeneca. FTSE 100 up 90 at 5,230.
Oils, banks and miners haul FTSE higher (Reuters MOLT)
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ICAP: Financial Spread Betting vs CFD vs Share Dealing

Table below compares Financial Spread Betting, Contract For Difference and Share Dealing trading. For simplicity we use the average brokerage fees to calculate the profit/loss if £1,000 available for investment in ICAP shares (ICAP share price is 450p). Supposedly, you think that ICAP shares will go up by 10% in one month.

Calculations

Spread Betting

CFD

Share

Number of Shares Equivalent

4,444

4,444

222

Shares go up by 10% in 1 month, Gross Profit

£2,000

£2,000

£100

Commission to open position (buy)

£60

£15

£12

Commission to close position (sell)

£0

£15

£12

Total Commission

£60

£30

£24

Financing for one month (5% LIBOR rate)

£108

£108

£0

Tax (20% band)

£0

£372

£15 + £5 (Stamp Duty)

Net Profit

£1,832

£1,490

£56


ICAP: Financial Spread Betting and Contracts For Difference (CFDs) are margined (or leveraged) products and let you go long (buy) or short (sell) with ICAP shares, they are more suitable for short and medium term investments and cover a wide range of markets, including shares, indices, commodities and currencies. Share investing, on the other hand, is a conservative and old way of gaining financial independence and preserving capital. Even though some stockbrokers offer credit facilities it is very rare and not popular amongst private investors.

Risk Warning: Financial Spread Betting and Contracts For Difference (CFDs) are leveraged products and carry a high level of risk to your capital. You may lose more than your initial investment. Share price can go down as well as up and returns on investments are not guaranteed.