IG Group (IGG) made headlines on 30 July with the announcement of its intention to acquire US company Underdog, pending regulatory approval. The proposed acquisition, valued at up to $1.3 billion (£960 million), sent shockwaves through the market as IG Group’s shares plummeted below the acquisition price. The reasons for this sharp decline have been extensively analyzed in previous reports, such as ‘IG’s bid to tap prediction markets gets a mixed reaction’ (IC, 4 Sep 2026).
What has received less attention, however, is the significant stake in Underdog held by IG’s chief executive, Breon Corcoran. This strategic move aligns with IG’s overarching goal of exploring new avenues for growth, as outlined in the company’s strategic review announced back in March. The review highlighted the importance of identifying “complementary and adjacent sectors capable of transforming the group’s growth potential.”
IG Group’s core business revolves around leveraged trading, encompassing spread betting and contracts for difference (CFDs). Spread betting allows investors to profit from market movements without incurring capital gains tax in the UK and Ireland, while CFDs enable speculation on asset price movements without owning the underlying asset. Both trading instruments involve leveraging a small margin to gain exposure to larger market positions, covering a wide range of markets including sports, shares, indices, foreign exchange, commodities, and cryptocurrencies.
In its mission statement, IG Group positions itself as a facilitator of financial freedom for ambitious individuals, emphasizing the high-risk nature of leveraged trading. Beyond its core offerings, the company also provides share dealing services and access to US-listed options, futures, stocks, and ETFs through its tastytrade subsidiary.
As IG Group navigates the complexities of the financial markets and expands its footprint with strategic acquisitions like Underdog, investors will be closely monitoring the company’s growth trajectory and strategic direction in the ever-evolving landscape of online trading platforms.