Trading boss quits as profits tumble

A TOP executive has quit Nex Group after the trading firm warned profits would be lower than expected.

Jenny Knott has resigned as head of the posttrade arm, which provides information and costsaving services to clients.

Two weeks ago, Nex said that restructuring costs in the division were higher than expected in the six months to September 30, meaning profit margins of 20pc rather than last year’s 29pc.

The departure of Knott, who has been replaced by chief operating officer Ken Pigaga, follows the departures of the finance chief, two division heads and two senior executives in the past 15 months.

Nex, run by City veteran Michael Spencer, is an electronic trading company created out of former firm Icap. Spencer sold Icap’s voice-broking arm to rival Tullett Prebon for £1.3bn. Tullett then changed its name to TP Icap.

There is speculation a bid for Nex could be made by the London Stock Exchange or the Deutsche Boerse. Shares fell 0.4pc, or 2.5p, to 658.5p.