Contracts for difference firms ramp up in Ireland

Contracts for difference and financial spread betting firms are bolstering their teams in Ireland in the wake of some stellar performances this year.

CMC Markets has recently set up in Ireland as contracts for difference (CFDs) find favour with investors. The firm's CFD offerings allow investors to gain exposure to stock market indices, commodities and FX rates and bet on prices moving up or down.

John Mullally, senior consultant in the banking division at recruiters Robert Walters, says: "The firm has a big global presence but is relatively new to the Irish market. Therefore, a lot of the work we've been doing for them is for sales and marketing roles. They're also taking on traders, but at a junior level, and are looking for numerate graduates."

So, what does it take to be a CFD trader? A spokesperson for the firm says the relative infancy of the sector means relevant experience isn't entirely necessary.

"People can come in and be offered an opportunity to be trained into the role. We look for an entrepreneurial spirit, leadership, team players and sensible judgement, but also people who are courageous enough to take calculated risks," she says.

Local spread-betting firm Worldspreads saw an incredible 576% rise in operating profit on 2007, which the firm puts down to a trading period of "above-average volatility".

Another Irish financial spread betting firm, Delta Index, is less concerned with upping its trading team and more focused on technology. The firm says it has earmarked €1m for IT investment over the next year as it continues development work in Dublin.

Michael O'Shea, joint managing director of the firm, says: "We expect our core IT and software development teams to double to 20 people over the next 18 months, in line with our expansion into European markets and the rollout of additional financial products."

A typical graduate trader in a CFD firm can expect to earn around €30k, says Mullally, but he reckons the bonus potential isn't as great as in a bank or a stockbroking firm.