IG Group partners with Alloy to balance regulatory compliance with ambitious growth goals

Rhea-AI Summary

IG Group (IGGHY), a FTSE 250 online trading company, has partnered with identity and fraud prevention platform Alloy to enhance its regulatory compliance and customer experience. The partnership addresses key challenges in the UK financial services industry, where stringent regulatory requirements must be balanced with growth objectives. Through Alloy's automated verification and monitoring tools, IG has significantly improved its perpetual KYC processes, achieving higher automated activations and streamlined operations across multiple jurisdictions. The integration enables IG to consolidate operational workflows, orchestrate multiple data signals for due diligence, and reduce manual activities while maintaining regulatory compliance. This transformation has allowed IG to shift resources from remediation efforts to proactive process improvements and customer journey enhancements.

Positive

• Partnership with Alloy has significantly increased automated account activations
• Implementation of automated verification reduces manual KYC processes and operational costs
• Enhanced ability to manage regulatory compliance across multiple global jurisdictions
• Improved resource allocation from remediation to proactive process improvements

Negative

• Previous manual KYC processes were causing operational inefficiencies and customer dropouts
• Company faced challenges with outdated tech stack and rigid systems before the partnership

LONDON, June 18, 2025 /PRNewswire/ -- IG Group ("IG"), the FTSE 250 online trading company, has partnered with Alloy, a leading identity and fraud prevention platform provider. The partnership enables IG to better achieve full regulatory compliance without impinging on the company's capacity to provide a seamless customer experience and hit ambitious business growth objectives.

The UK financial services industry has developed one of the most rigorous and demanding regulatory regimes globally. Meeting compliance standards is critical to the success of any UK financial services or fintech company. Asked to name the most concerning consequences of fraud in Alloy's recently published State of UK Fraud Report, almost all C-suite leaders at UK fintechs put satisfying regulatory requirements and mitigating reputational damage at the top of the list.*

On top of this pressure to remain compliant, UK fintechs and banks also face pressure to grow. Many businesses operate on outdated, internally-built tech stacks that are too rigid to adapt to evolving demands. At the point of onboarding or verifying customers, the collection and verification of documentation is often managed manually, resulting in fragmented workflows, poor data visibility and a high volume of referrals to KYC analysts for further manual inspection. These delays and hurdles typically result in lower than desired STPs (straight through processing rates), which in turn lead to higher lead times to account activation and higher dropout rates in prospective clients.

Alloy's industry research indicates that this complexity is heightened in businesses like IG that serve customers in multiple markets globally and are processing multimillion pound transactions. Without automated workflows that enable perpetual KYC, unnecessary friction and delays can be passed onto customers.

William Mead, Head of Operations at IG Group, comments: "Integrating Alloy's identity and fraud prevention platform into our risk management processes is transforming perpetual KYC from a conceptual ideal to a real-life, proven way of operating that increases automation and efficiency, and reduces risk and development burden.

"From the outset, Alloy's UK team fundamentally appreciated the drain on capacity and resources that continual ID verification creates without the right technology in place. Alloy's automated verification and monitoring tools help us refocus our attention and efforts to deliver the sort of user experience an IG customer expects from us. By continually ensuring we know who our customers are in accordance with expanding regulatory rules, the experience we can provide feels less intrusive, less onerous and more streamlined."

By leveraging Alloy, IG has been able to develop a dynamic and holistic approach to risk management through the client lifecycle from onboarding to in-life. This approach reduces the potential for regulatory risk, alleviates the need for remediation efforts after risks are exposed, and improves customer conversion and retention. At the same time, Alloy enables IG to consolidate operational workflows in all jurisdictions and orchestrate multiple data signals for due diligence flows based on risk level and geographic requirements, which results in far more automated processes and fewer manual activities.

Since integration, IG has experienced a significant increase in automated activations. Most of the time previously spent handling remediation efforts after risks were retrospectively exposed is deployed elsewhere on activities like proactively improving internal processes and enhancing the customer journey.

James Baston-Pitt, Alloy's Head of Growth UK, EMEA and APAC, adds: "IG is an exceptional company that has been focused and collaborative in making bold transformations to their customer decision-making and in-life processes. Balancing the importance of robust, compliant, and seamless experiences globally involves fine-tuning customer journeys to maximise automation in both core and expansion markets. We are very excited about what we have achieved together so far."

Notes to Editors

* 93% of UK fintech C-Suite leaders rank regulatory penalties and reputational damage as the most concerning consequences of fraud - Alloy State of UK Fraud Report, March 2025

Press office contacts

Carmen Dixon | 07717 278 846 | carmen@ripplecomms.co
Jo Candy | 07909 992082 | jo@ripplecomms.co

About IG Group

IG Group (LSEG:IGG) provides online trading platforms and educational resources to empower ambitious clients around the globe. Headquartered in the UK, IG Group is a FTSE 250 company that offers clients access to ~19,000 financial markets worldwide. www.iggroup.com

About Alloy

Alloy provides an identity and fraud prevention platform that enables global financial institutions and fintechs to manage identity risk so they can grow with confidence. Over 700 of the world's largest financial institutions and fintechs turn to Alloy's end-to-end platform to access actionable intelligence and the broadest network of data sources across the industry, as well as stay ahead of fraud, credit, and compliance risks. Founded in 2015, Alloy is powering the delivery of great financial products to more customers around the world. https://www.alloy.com/uk

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SOURCE Alloy

FAQ

How will the Alloy partnership impact IGGHY's regulatory compliance?

The partnership enables IG Group to achieve full regulatory compliance through automated verification and monitoring tools, improving perpetual KYC processes while maintaining seamless customer experience.

What operational improvements has IG Group achieved through the Alloy integration?

IG Group has achieved significant increases in automated activations, consolidated operational workflows across jurisdictions, and reduced manual activities in their KYC processes.

How does the Alloy partnership affect IGGHY's customer experience?

The partnership creates less intrusive, more streamlined customer experiences by automating verification processes and reducing manual KYC checks while maintaining regulatory compliance.

What challenges was IG Group facing before implementing Alloy's solution?

IG Group was dealing with outdated tech stacks, manual document verification, fragmented workflows, poor data visibility, and high volumes of manual KYC analyst referrals.

How does the Alloy partnership help IGGHY's international operations?

The partnership allows IG to consolidate operational workflows across all jurisdictions and orchestrate multiple data signals for due diligence based on risk level and geographic requirements.