London Capital Group (LCG), a UK-based CFDs and FX broker, has faced significant financial challenges, culminating in a £6 million loss in 2023. However, the company anticipates a turnaround, projecting profitability in the second half of 2024 due to a strategic pivot in its business model. The Shift to an Introducing Broker Model In mid-2023, LCG transitioned from a traditional brokerage model to operating as an introducing broker. This strategic shift, spearheaded by CEO Dave Worsfold and Managing Director Matt Basi , involves partnering with industry leaders such as IG Group and its parent company, FlowBank . Under this new model, LCG generates revenue by introducing clients to partner firms, which pay LCG a portion of trading fees. This change has allowed LCG to: Outsource technology, client onboarding, and custody services. Reduce operating costs significantly. Focus on providing high-touch, bespoke client services. Financial Challenges in 2023 Despite the strategic pivot,...