IG Markets stop doing CFD SIPPs

[theoracle]

Got a letter from IG this morning saying that "we have made a commercial decision not to offer our CFD service to SIPP accounts" and that I have until 30th April to close existing positions.

Not that bothered as was thinking of going to futures anyway, but does anyone know why they have done this?

Seems odd to throw away an extra source of business...not like they have to do anything different?

 

[Wooden Horse]

They blame it on market volatility. They are worried about potential defaults, also as it is difficult to transfer money into the trading account quickly they don't like the exposure.

It's a shambles.

What happens when the volatility dies down?

 

[nboy]

i think they got burnt by a few too many Sipp large clients. basically, with the Sipp structure the cash is in trust & they give credit, but cant access the cash if things go against them, unlike a regular broker arrangement. obviously on margin they are taking on a risk which they cant recover from the trustee, but they can still recover from the individual. if you have just blown your large CFD sipp account and they havent hedged against it, you still have your trustee sipp .... so you sell your house quickly and dissapear to south/central america or the far east, and can still drawdown your sipp in the future.

thats my take on it untill corrected.

 

[nboy]

PS

i'm was in the same position ... so any news on new entrants to the Sipp/CFD market would be greatly appreciated. IB and Saxo are undeceided based on he above experience. my to 5 so far in order of preff are:

GNI
GFT
MoneyCorp Markets
ODL
eTrade

 

[nboy]

Not that bothered as was thinking of going to futures anyway, but does anyone know why they have done this?

PSS How can you trade a Sipp via Futures? would be interested to know. thx.

 

[marvellous]

My IG Markets/ Sippdeal extra SIPP was closed also. I was just emailed by GNI that they are doing it. Compatible SIPPs are James Hay, IPM

PS

i'm was in the same position ... so any news on new entrants to the Sipp/CFD market would be greatly appreciated. IB and Saxo are undeceided based on he above experience. my to 5 so far in order of preff are:

GNI
GFT
MoneyCorp Markets
ODL
eTrade

 

[goodtyneguy]

My IG Markets/ Sippdeal extra SIPP was closed also. I was just emailed by GNI that they are doing it. Compatible SIPPs are James Hay, IPM

and EPML https://www.epml.co.uk/trading-links/investment-links

 

[nboy]

FYI Berkley Futures allow Sipps.