Interdealer broker TP ICAP Group plc today provided a trading update for the three months ended 31 March 2021.

Revenue for the first quarter of 2021 was £483 million, 9% lower than the £530 million in revenue for the equivalent period last year on a constant currency basis (12% lower on a reported basis).

The Period’s year-on-year lower revenue reflected exceptional volumes in March 2020. This reflected extremely volatile market conditions caused by the emergence of the COVID-19 pandemic in early 2020.

• Global Broking revenue declined 10% in the first quarter of 2021 against the year-ago period on a constant currency basis (13% on a reported basis) due to market-wide lower client volumes across most asset classes. Equities revenues grew significantly, benefiting from higher volumes and diversification from the LCM acquisition.
• Energy & Commodities revenue declined 12% in the first three months of 2021 relative to the equivalent quarter last year on a constant currency basis (15% on a reported basis). Similar to Global Broking, client activity was down across all asset classes compared to the equivalent exceptional quarter last year.
• Agency Execution revenue declined by 3% in the first quarter of 2021 on a constant currency basis (8% on a reported basis) on market-wide lower volumes.
• Parameta Solutions revenue grew 11% in the first quarter of 2021 on a constant currency basis (5% on a reported basis). The business continues to benefit from strategic initiatives to launch new and higher value products, expand distribution channels and deepen and diversify its client relationships.

TP ICAP’s full year guidance of low single-digit revenue growth on a constant currency basis, excluding Liquidnet revenues, remains unchanged.

The Group notes that trading activity in April 2021 has returned to more normal levels compared with levels seen in prior years and is in line with the Group’s full year guidance.