Good morning everyone, and thank you for joining us today. It's great to be able to meet again in person after two years of online meetings. We're going to give you a more in-depth presentation than usual this morning, so you will hear from the CEOs of our business divisions, as well as me and Robin. This gives you the opportunity to meet two new senior colleagues. Dan Fields is our new CEO of Global Broking. Dan joined us in May. He has over 25 years' experience in capital markets, including having been Global Head of Markets at Société Générale. This experience, together with his strong client relationships, makes Dan well-placed to drive forward the transformation of global broking. Mark Govoni joined us in April as the CEO of Agency Execution.
Mark comes from Instinet, where his most recent role was President of U.S. Brokerage. Mark brings real expertise in U.S. equities, and we're delighted that he's leading our agency execution business. Dan and Mark join us at an exciting time to accelerate the execution of our strategy. You are already familiar with Andrew Polydor, CEO of Energy & Commodities, and Eric Sinclair, the CEO of Parameta Solutions. Here is our agenda for this morning. I will start with operational and strategic highlights before Robin covers the group financial performance. Dan, Andrew, Mark, and Eric will then talk about each of our business divisions before I wrap up with a brief conclusion. We will then open the floor for question. Turning to the highlights. Sorry. It's been a strong first half with significant volatility driven by macro events and rising inflation.
Against this backdrop, we increased revenue by 7% or 12%, including Liquidnet. Within these, global broking revenue was up 8% with growth across all asset classes. We delivered a strong performance in rates in particular, which, as you know, is our largest asset class. Revenue per broker was up 14%, and contribution per broker grew 21% before the impact of charges taken as a result of Russian sanctions. We also delivered continued double-digit revenue growth in our data and analytics business. This strong performance raised our margin to 16.1%, excluding impact from Russia. Including the impact, the margin was 13.1%.
Following our redomiciliation last year, we have carried out the first phase of the review and identified around GBP 100 million of cash, which we will free up by the end of 2023 to pay down debt. This will increase our credit rating headroom and reduce future finance costs. More broadly, the board will continue to assess our balance sheet requirements and is committed to identifying and returning any surplus capital to shareholders. We are announcing today an interim dividend per share of 4.5 pence, up 13% on the first half of last year. Moving now to our strategic highlights. I'm pleased to report good progress as we execute our strategy. We continue to transform Global Broking with the rollout of Fusion, our award-winning electronic platform, from which clients can access the group's aggregated liquidity.
We are on track to meet our rollout targets for this year in both Global Broking and Energy & Commodities. In Agency Execution, we launched a Liquidnet dealer-to-client credit proposition in June as planned. This is a key growth opportunity and an important milestone in our strategy to fully electronify the life cycle of a bond. The initial launch was to a small number of clients, and this will be followed up with a wider campaign to the remaining client base during the second half. We are pleased with the progress to date. Dealers are already connected, and the first trades have been completed. Within Energy & Commodities, Fusion Digital Assets is an electronic marketplace for institutions. The launch of the platform is pending FCA approval. This is an exciting opportunity as this technology will enable blockchain trading in other asset classes in the future.
We've also announced today a new initiative developed by Parameta Solutions in partnership with PeerNova, a Silicon Valley data management firm and over a dozen of the world's largest investment banks. We are launching a new consensus pricing solution called Clear Consensus. This leverages our unique access to trade data to transform the way banks assess the fair value of their assets. This initiative helps further diversify our revenue and client base. As you can see, we're making meaningful progress in our strategy to transform and to diversify. Now over to Robin to take you through our financial performance in more detail.
Thank you, Nico, and good morning everyone. We delivered a strong performance in the first half against a backdrop of heightened volatility caused by geopolitical events, tightening monetary policy, and a slowdown in GDP growth. Total revenue excluding Liquidnet was up 7% in constant currency or 12% including Liquidnet. We delivered growth across all our divisions and asset classes and continue to grow our overall market share. A strong performance from rates resulted in an uplift in profitability. As you heard from Nico, adjusted EBIT margin was 16.1% excluding the impact of Russia. We continue to focus on managing our cost base effectively, and we are on track to deliver GBP 25 million of group savings for 2022. In addition, we are also on track to deliver GBP 25 million of Liquidnet synergies by the end of 2023 in line with guidance.
Turning to the income statement where my comparisons with the prior year are in constant currency. Revenue increased by 12% including Liquidnet. Adjusted EBITDAR was up 14% with the margin up 0.3 percentage points. Adjusted EBIT increased 15% to GBP 142 million, and EBIT margin was also 0.3 percentage points higher at 13.1%. Excluding the impact of Russian exposures, the margin was 16.1%. Net finance costs were GBP 26 million, 10% lower than the first half last year as a result of our successful refinancing last November. This is in line with our full year guidance of GBP 52 million. Adjusted earnings before significant items increased 33% to GBP 100 million and adjusted earnings per share grew from 10.2 pence- 12.8 pence.
An interim dividend of 4.5 pence per share, which is up 13%, will be paid on 4th of November. Our policy targets a 50% payout ratio for the full year, and typically this will include a payout of 30%-40% of first half adjusted earnings with the balance paid in the final dividend. Before I move on, I'd like to talk in more detail about the evolution of our Russian exposures since we last reported our position in March. P&L charges have increased by GBP 18 million to GBP 32 million. This includes a GBP 17 million increase in unrealized losses and a GBP 1 million increase in the expected credit loss provision. There are no other sanction trade debtor exposures at risk to provide for, so this GBP 32 million charge represents our maximum exposure.
We have marked the entire portfolio to zero as there is very little, very limited visibility on market prices. This follows a U.S. ruling in June, which prohibits all U.S. banks from any further trading in Russian debt or equity instruments on the secondary market. These losses could, of course, reverse in the future if the market value of the assets increases. This slide shows market volume movements by asset class in pale blue alongside our year-on-year revenue growth in dark blue. As the charts illustrate, market volumes were mixed. In rates, LCH dealer volumes were up by nearly 20%. Historically, we have been more closely correlated to these volumes. The lack of correlation in the first half is due to market activity being concentra`ted in zero to two-year maturities where the curve is steep. Transactions in shorter dated contracts have a lower value.
In credit, we outperformed strongly, while in equities we outperformed Euronext volumes and underperformed Eurex. In foreign exchange, we were broadly correlated with the number of futures contracts traded on the CME, and in energy and commodities, we underperformed ICE volumes. Let me now take you through the key year-on-year movements in our adjusted EBIT. Reported EBIT was GBP 142 million compared with GBP 117 million in the first half last year. If you retranslate 2021 EBIT using current exchange rates, it results in an EBIT of GBP 123 million. Contribution before the impact of Russia and excluding Liquidnet increased by GBP 32 million, reflecting the growth of the rates franchise in Global Broking. Management and support costs increased by GBP 2 million and strategic investment was also GBP 2 million higher. Liquidnet's EBIT contribution increased by GBP 7 million year on year.
Finally, the weakness of sterling contributed to a GBP 16 million foreign exchange gain on the retranslation of net financial assets. As you know, we successfully redomiciled from the U.K. to Jersey last year. Together with our continued progress on reducing legal entities, this has enabled us to identify opportunities to unlock cash. In aggregate, we expect to free up approximately GBP 100 million by the end of 2023. This will be used for the repayment of debt in order both to increase our investment grade rating headroom and reduce future finance costs, which is a priority in a rising interest rate environment. We also continue to manage our liquidity needs effectively and have successfully renewed our RCF for a further three years at a lower interest rate. We have added new lenders and increased the facility from GBP 270 million to GBP 350 million.
Let's turn now to the performance of the business divisions, starting with Global Broking. Again, my comparisons are in constant currency to give you a clearer picture of the underlying trends in the business. Total revenue increased by 8% to GBP 636 million, benefiting from increased market volatility with growth across all asset classes. Rates, our largest and most profitable asset class, grew revenue by 8%. Both credit and foreign exchange and money markets delivered double-digit growth at 11% and 10% respectively, with 7% growth in equities. We no longer report emerging markets revenue separately, and it has now been split out across all the other asset classes. The contribution margin decreased to 35.2%, reflecting the impact of Russian provisions. Excluding this impact, the margin was just over 40%.
Revenue per broker increased by 14%, reflecting both higher revenue and a reduction in the average number of brokers. Contribution per broker grew 6% or 21% before Russian provisions, which are booked as front office costs. Adjusted EBIT was GBP 106 million, and the margin increased from 16.1% to 16.7%. In Energy & Commodities, revenue grew 2% to GBP 197 million. Energy & Commodities markets were especially volatile during the first quarter, mainly as a result of the war in Ukraine and supply and demand imbalances. The second quarter, however, saw less trading activity as clients went risk-off due to significant price volatility. This impacted European gas in particular. Adjusted EBIT of GBP 25 million was stable year-on-year with an adjusted EBIT margin of 12.7%.
Agency Execution revenue increased 58% to GBP 168 million, driven by the inclusion of an additional quarter of Liquidnet revenue in the current period. Excluding Liquidnet, Agency Execution revenue increased 10%, driven by a strong performance from the relative value business as well as from rates. Adjusted EBIT of GBP 3 million was in line with the prior period. Looking at Liquidnet only on a pro forma basis, revenue decreased 6% reflecting mixed market conditions. Volumes declined in the U.S. and Asia, but were up in Europe. Market share improved in the U.S. and Europe, where the majority of revenue was generated. Liquidnet delivered contribution of GBP 44 million with a contribution margin of 38.6%. Adjusted EBIT was GBP 5 million at a margin of 4.4%.
We expect Liquidnet profitability to continue improving in the second half as we deliver more synergy savings. In Parameta Solutions, which includes data and analytics and post-trade solutions, revenue grew 6% to GBP 91 million. The data and analytics business continued to grow in double digits with revenue up 11%, driven by the launch of new higher value products, an increasingly diversified client base, more regional sales coverage and growth in multichannel distribution. Post-trade solutions revenue was GBP 3 million lower at GBP 8 million. The Matchbook service continues to be negatively impacted by the ending of LIBOR, and new products and solutions are being developed to counteract this. Adjusted EBIT of GBP 36 million was up 6% at a margin of 39.6%. Moving now to significant items.
These are not included in the adjusted results so that we can better measure business performance and compare with other reporting periods. Significant items amounted to GBP 36 million after tax and associates, which is less than half the amount in the first half of last year. This decrease was driven primarily by a GBP 16 million price adjustment relating to Liquidnet, and this follows a recent ruling of an independent arbitration on the purchase consideration. The nonrecurrence of a GBP 5 million impairment of a shareholding in an associate in the first half of 2021. Finally, a GBP 17 million swing on tax due to the nonrecurrence of a GBP 16 million tax charge in the prior period. This charge was incurred because of the revaluation of deferred tax liabilities on acquisition intangibles following a planned future increase in the U.K. corporate tax rate.
The reduction in significant items was partly offset by a GBP 7 million increase in restructuring costs, driven by an increase in Liquidnet-related property costs, largely the non-cash amortization of right of use assets as we exit and sublet floor space, and an increase in cost to achieve group savings, largely redundancy costs. We have reduced our full year guidance on significant items excluding legal and regulatory costs from GBP 125 million before tax to GBP 110 million, and we expect them to reduce further in 2023. Our other guidance for the year remains unchanged. In summary, we've delivered a strong first half performance with revenue up 7% or 12% including Liquidnet. A strong performance in rates has resulted in higher profitability.
We are on track to reduce costs by GBP 25 million in 2022 and deliver Liquidnet synergies of GBP 25 million by the end of 2023. As a result of our redomiciliation, we have identified GBP 100 million of cash that we will free up by the end of 2023 in order to pay down debt. Thank you very much. I'll now hand you over to Dan to talk about Global Broking.
Thank you, Robin, and good morning, everyone. I'll begin by sharing a bit of personal background, talk about why I'm here, and outline my priorities for the global broking businesses. I spent 30 years in finance, many of them at Société Générale, where I ran various businesses, including Global Head of Trading, Global Head of Flow Sales, and Global Head of Markets. I ran Global Markets through the turbulent post-global financial crisis period, so I'm very familiar with the markets ecosystem. I've known TP ICAP, its broking businesses, ICAP, Tullett Prebon, and others throughout these 30 years. I've known it as a service provider, a competitor, an important part of the markets infrastructure. I've long respected the global strength of the TP ICAP Group. Moving now to the clients of TP ICAP. I know the banks and the dealers as colleagues, as counterparties, and as competitors.
The feedback that I've gotten from them is that TP ICAP continues to grow as a strong brand across the entire financial ecosystem. It's this quality allied with the potential of the TP ICAP platform which made me want to join the group. I do so at what is an interesting time in the development of global markets. Markets and clients' needs are changing. This creates opportunity. Specifically, I see the opportunity to help grow and evolve Global Broking. The goal being to increase its size and importance in the global markets infrastructure due to its unique liquidity pool. To do this, I think about the attributes that will characterize Global Broking 2.0. The most important thing in any organization is its culture, its people.
As I walk through the broking floors, I see firsthand how our brokers are incredibly focused on finding the right solution for their clients, be that in terms of liquidity, product, market venue, or transactional process. A top priority, therefore, is to support and enhance this innovative and entrepreneurial culture. Obviously, what goes along with that is Fusion and our digital transformation. Fusion is an essential tool that we're helping provide to the industry. It helps to create deeper liquidity pools and enables clients to trade in new, more efficient, and safer ways. I'll focus more on Fusion later in the presentation. The sum of these parts is that I want Global Broking to continue to be the best brokers equipped with the best tech, working with the biggest and best clients in the world. Just a few words on the business that I'm proud and excited to lead.
Global Broking is the largest IDB in the world. Generally, where we transact, we're number 1 or 2 in the market. In rates, we're the industry benchmark. That scale is important in a business where liquidity begets liquidity. We're one of the world's largest operators of venues. The company we keep includes the CME, ICE, and the London Stock Exchange. This clearly positions TP ICAP as being a critical part of the market infrastructure. Clients value our connectivity to the markets. They choose to do business with us because they know that we're plugged in everywhere, meaning we're best placed to connect them to liquidity. This is illustrated by the volume of deals that we do, 5 million transactions last year, with a notional value of GBP 217 trillion.
Being the largest IDB in the world means that Global Broking is also the world's leading source of scarce neutral OTC pricing data. The exhaust from the Global Broking engine is the fuel for our partners in Parameta Solutions, home to the group's data and analytics business. As market participants' demand for data increases, which it is, as Eric will outline later, the value of Global Broking as a content generator grows. I'll now share a few thoughts about current market conditions across the various asset classes. First, rates, our largest and most profitable asset class. The real focus on rates and on markets as a whole has been on the removal of liquidity by central banks. This has led to the dramatic increase in short-term rates, as shown by the U.S. yield curve on the top right-hand side of the slide.
That's created a huge amount of volatility, opportunity, and volume for us in our short-term rates business. By way of comparison, the chart beneath shows that market volumes and long-term rates are muted, reflecting the flat curve at the longer end. The point is this, while volume at the short end is very good, it is not necessarily peak or optimal market conditions for our business. There's opportunity to grow and be bigger and better in the next stage of what I would like to call the likely market cycle. This is where the focus of the industry moves from short-term to the longer-term yield curve as the different economic outlooks evolve. While there's a lot of volume in the short term that's good for us, there's more margin in the longer-term product. I think it's possible we could have a more favorable environment down the road.
I'll now turn to the other asset classes we cover, credit, equities, and FX. In credit, there was a very good start to the year with an enormous amount of issuance by many issuers seeking funding in a low rate environment. That issuance slowed notably in Q2, given the uncertain movement on rates. As that headwind has lessened, we know that the pipeline is filling up, and there's likely to be a flood of issuance in Q3 and Q4. In equities, we benefited on the volume and volatility side of the move in rates. This has forced a reconsideration of portfolio construction and asset allocation. This should continue throughout the rest of the year, generating both volume and volatility in equities from which we should benefit. Finally, on FX.
Similar to rates, there's been a lot of relative movement between one currency class and another, and we would expect that to continue. Turning now to Fusion. We have developed, and we continue to develop, Fusion so we can evolve with our clients' needs. As the world gets more sophisticated, our clients are looking at asset classes differently. They're looking across product, across asset class, and across transactions. Specifically, they're looking at correlation and the many opportunities it offers. In Fusion, we're rolling out the tech that clients need to trade correlation that offers exciting growth potential for us. And to realize this potential, we're staying close to our clients to best understand what they need from a modern trading platform. Those requirements are summarized on the left of this slide. Connectivity, analytics, efficiency with STP, et cetera.
Fusion delivers against these needs, as highlighted on the right, superior UX, efficient workflow, quality reporting, and analytics. A key deliverable is silo deconstruction. Fusion will list correlated instruments alongside each other for the most liquid products traded through each desk. Clients can then tailor the screens according to areas of interest, whether to observe or transact. This will allow us to surface and sell correlation in a much more active way than we ever have done before. Finally, Fusion has been well received by clients, by brokers, and by the industry, with Risk Magazine awarding it OTC Trading Platform of the Year for 2022. Our immediate focus is to continue its systematic deployment. Moving to the next slide, where we can see the value of Fusion in action.
In a recent rates matching session, we managed to have more than 250 orders from 30 different traders in less than 50 minutes. This resulted in multiple single-side trades matched. This type of volume and liquidity is beneficial to everybody, and it just can't happen in a pure voice framework. That shows the power and value of the platform. Moving to my last slide, strategic priorities. In terms of my strategic priorities for the rest of the year, they center on what I touched on at the beginning of my remarks: brokers, tech, and clients. Central to this is the deployment of Fusion, and we are on track to meet our full year 2022 rollout target. By equipping the best brokers with the best tech, we will remain best placed to bring value to our clients across the board.
Enhancing our inherent strengths and continuing to evolve mean that we will become even more relevant to our clients, especially in these current market conditions. In summary, Global Broking is well-placed to maintain and indeed extend our market leading position in the IDB space across all assets globally. Thank you for listening, and now I'll hand over to Andrew.
Thank you, Dan, and good morning. As you know, we are the leading broker globally in energy and commodities. We have a very diverse client base, with only a small proportion of our clients coming from traditional bank client base. The majority of our revenue is generated by producers such as BP and Shell, and trading houses like Vitol and Trafigura, and increasingly, funds. We currently generate 60% of our revenue from oil products, but we are starting to see a shift in this balance as we begin to grow out other products in areas such as weather and the environmental space. With our global footprint, we are well-positioned to continue to benefit from the growth in these markets, along with digital assets, which I'll touch upon later. We continue to execute our electronification strategy by rolling out the Fusion Energy OMS for oil.
We currently have 41% of our oil desks actively using it, and the plan is to have the remainder of the desks rolled out by the end of the year. This should greatly improve the workflow for both our customers and brokers, creating both stickiness and seat value for the group. We've also rolled out Fusion Energy in the environmental markets, with a live screen deployed in Norway for the green certificate market. This has been very well received by the customers, who like the ease of use and transparency that the platform provides. We have further plans in H2 to roll out the screen for the voluntary emissions market and the Australian renewable market, linking up our global network to create an environmental hub.
As we've mentioned previously, due to our global presence in gas and environmental products, we are positioning ourselves as the broker for the transition to a low-carbon world. This, along with leveraging our market infrastructure expertise for digital assets, will provide us with a solid footing for both product and revenue growth in the years ahead. Now I'd like to touch on some current market trends. As mentioned, there was extreme volatility and volumes traded in the first three and a half months of the year, predominantly due to Russia's impending and then subsequent invasion of Ukraine. As Robin mentioned, this has now led to a risk-off environment due to price volatility, which has led to the widening of price spreads and increase in margin by exchanges. The effect of this is reducing trading limits for our clients, which has led to fewer deals in the market.
These events have mostly impacted the European markets, with the U.S. and Asia performing well in H1. There is little doubt that the disruption to the oil and gas supply lines has had some global impact. In Europe, gas is where we have seen most of the disruption, with prices currently trading at around EUR 160, which is six and a half times its normal level. This has had a knock-on effect on European power prices as a number of traders use power as a proxy for gas. The graph here shows the average volumes traded on ICE against the Bloomberg Petroleum Subindex, which is a basket of products containing WTI and Brent crude, gasoline, and diesel.
As you can see here, after a small period of volatility in the beginning of March, where volumes traded, the continued extreme volatility post this period has resulted in volumes dropping off significantly. Now, one point I'd like to mention here is very little of our revenue is in sterling, so the weakening of the pound is having a positive effect on our reported revenues. As I mentioned earlier, we're positioning ourselves to be the broker for the transition to a greener future. Because of this, we are seeing increased inquiries in renewable energy products, hydrogen and rare earth metals, which are used in battery production. We're also seeing rapid demand and growth in the environmental space globally. Here we have seen circa 40% growth year-on-year in our revenues, and we anticipate that this rate of growth will continue for the next year or so.
Another area of interest and growth for us is the weather market, where we hold a leading position. We see weather and the emissions markets working closely together in the future, further enhancing our environmental hub offering. Now, a couple of words on digital assets. With all the press recently regarding digital currencies, you may think that our timing launching a venue may be a little off. Well, actually, I think that due to what's going on and in this space, it's the perfect time to launch, and I'd like to tell you why. We're not entering the retail space, and as you know, we do not take or hold positions, and we do not hold customer money. The non-segregation of these roles, that is operating a venue and holding customer funds, is where the current issues lie.
Over the past 12 months, we have seen a significant increase in inquiries for digital products from our customers. Our proposal in this space is to provide a service to these customers in traditional financial products. The segregation of venue operation and holding customer funds is also key to our offering. This offering will combine TP ICAP's market infrastructure expertise with top-tier custodians like Fidelity, Zodia, and BitGo to name a few, at a time where unregulated and less experienced venue operators have caused a great deal of negative noise. We also have a number of committed market makers such as Virtu, Flow Traders, and Jane Street, known names in the financial markets, committed to provide liquidity. We believe that this combination will give our customers confidence to enter the markets in a meaningful way.
We feel that this is what the market is looking for, a known and trusted market operator with the backing of recognized custodians. Longer term, we are very excited about the prospect of tokenizing physical and financial assets, and this is why digital assets sits in Energy & Commodities. We believe that commodities will be the first asset class to be tokenized, and in fact, there is currently an emerging tradable tokenized gold market. The tokenization of these assets will reduce costs and allow markets to settle trades in near real time, which will be a real game changer. In closing, the areas of focus for the second half of the year are the continued rollout of Fusion Energy. This will make the workflows more efficient and for both the customer and the broker, creating stickiness and seat value.
Continue to drive broker productivity and margin improvement by improving our broker workflows and efficiencies, and at the same time enhancing client experience when interacting with us via the Fusion Energy. Continue to support our clients through this tough and volatile period, especially in Europe. Leverage our strong position in the environmental products and gas, helping our clients with their energy transition. Our global footprint and technology will help us achieve this. Launch a digital assets exchange, providing the market with a regulated venue that is run by a trusted operator in TP ICAP. I thank you for your time, and now I'd like to pass you over to Mark.
Thank you, Andrew, and good morning. In terms of my presentation today, I'll introduce myself, share some insight on market dynamics, then outline progress and priorities for the agency execution business. By way of introduction, I spent over two decades in financial services managing the entire lifecycle of investment and trading decisions. My experience spans multi-asset sales and trading, risk trading, workflow solutions, and execution technologies. Since coming on board three months ago, I spent time getting to know the group, and I'm excited to share a few early observations. First, the Liquidnet brand. Built on a foundation of innovative technology, a client-led franchise, and best-in-class service, the Liquidnet brand today is one of the most powerful in the market. Second, our offer is distinct, meaning we are well-positioned for future growth.
Leveraging our buy-side connectivity, the world's largest dealer liquidity at TP ICAP means that we can bring differentiated products and services across the asset structure. Over the short to medium term, my focus will be centered on, first, the completion of the integration of Liquidnet within TP ICAP. Much of the hard work has already been done. Our focus now is harnessing the firepower of the group to deliver products and workflows that are different, that create value, and iterate on our breadth of offerings. Next priority is to ensure our core equities franchise is delivering. That includes a disciplined approach of product and business development life cycles to drive revenue outcomes. Finally, as we've highlighted in the past, the expansion of our D2C offering. This platform is currently live with a small number of accounts, and I'm excited to report that we've executed trades via RFQ.
Our focus is now to build on this success. Turning to market dynamics, starting with equities. Overall, this market today is mature and competitive. However, electronic commission wallet is expanding and above pre-COVID levels. The proportion of flow directed to low-touch electronic channels is also close to all-time highs. For Liquidnet, this means increasing addressable market. Dark volumes continue to be an important part of the market. They are growing in proportion to commission wallets globally. Given Liquidnet's global footprint and product set, this offers a further addressable market play. Turning to our core clientele, what buy-side firms seek from their agency partners is performance, global equity, and client service. These three components are among our key differentiators. Looking to the barriers of entry and block crossing, they are trust, vendor connectivity, scale of network participants, and global reach.
These features are Agency Execution's key strengths, meaning we have a competitive advantage and a runway to grow market share. Now moving on to fixed income. Electronic trading volumes continue to grow, but trading protocols are still in early stage innovation. Credit markets are not homogeneous, and as such, different solutions are needed for different trades. Taken as a whole, an estimated 65%-70% of the market is still categorized as non-e-trading. Furthermore, the lines continue to blur between D2C and D2D, with the largest hurdle to market share sitting with buy side and dealer connectivity, two distinct levers inside the group. Against this backdrop, once again, we have the necessary attributes, the innovation, the technology, the connectivity to be highly competitive. Turning now to the integration of Liquidnet into TP ICAP Group, we continue to make good progress.
We are on track to meet our GBP 25 million synergy target, which includes rationalization of the property portfolio. Where beneficial for our clients, we are bringing together Liquidnet and TP ICAP liquidity while preserving strict physical and information barriers between the two businesses. Leveraging TP ICAP's extensive geographic footprint has allowed Liquidnet to expand its commercial franchise. I'll provide more detail on the next slide. We're combining the culture of the two brands to develop a more client-centric, transactional-focused approach. We have a tighter focus on costs and continue to create operational leverage within the broader TP ICAP Group. I'll now turn to our strategic progress and priorities, starting with our equities business. To diversify our revenue streams, we continue to build new and complementary solutions around our core block offering. This is a major focus. To that end, we have made strategic hires to increase our global program trading offering.
As a result, we have grown market share here. We have been more systematic in leveraging our global footprint to better serve global clients. Year to date, cross-border activity now accounts for 19% of global equity revenue. We expanded our footprint to cover Paris and Madrid. Next up is Germany and Johannesburg. Leveraging the existing TP ICAP global infrastructure, we can be more efficient and effective at penetrating geographies across the globe. We continue to innovate. In the first half of the year, we rolled out our benchmark cross in Asia. This is a one-of-a-kind offering in the region, which allows clients to access new liquidity opportunities to preserve alpha. Turning to our strategic priorities, these center on two critical pillars, developing our offering and growing our client base. As such, we will continue to focus on U.S. equity franchise.
With an established brand and presence in the world's largest fee pool, we can increase market share across high and low touch channels. We'll increase our focus on APAC and innovate as the market continues on its journey to become more automated. Program trading and cross-border are verticals that can drive diversified revenue growth. Lastly, on the topic of innovation and technology, we will continue to work with our clients to deliver, enhance, and simplify the global execution experience. Moving to fixed income, we are progressing well on our strategy. We remain focused on serving our clients' needs throughout the entire life cycle of the bond, from issuance to trading. We previously announced the launch of our primary markets offering, which includes the industry's first electronic solution to trade new issue in Europe. We're seeing great adoption.
Our clients are finding ways to take advantage of our primary market workflow far beyond the basics of just exchanging data. We're also making great progress on our partnership program. This program is built upon open architecture. It allows our partners to leverage our network to deliver solutions directly to clients. It will allow us to enhance our trading platform, commercialize our network, and deliver solutions more efficiently. In the secondary market, the addition of the RFQ protocol gives us a platform that is becoming more relevant to our clients and distinct in the market. This went live as planned in June, initially with a small number of clients ahead of a wider campaign. Trades have been completed and key dealers are connected electronically via API. Turning to our strategic priorities, we'll continue to develop our unique positioning in this space.
We have already integrated both sides of the market while maintaining complete transparency and being in accordance with stringent information and trading rules. We can now complete the rollout to the full TP ICAP dealer network and integrate deeper to more investors in more geographies. New solutions add efficiency. They're a must-have for clients and can create a more sustainable market. We are here for the long term. We will continue to innovate with new solutions while ensuring we seamlessly integrate into our clients' existing workflows. In summary, our offering is unique in the market. The combination of our established buy side community, robust desktop presence, multi-asset offering, and global footprint is rare and compelling. By focusing on leveraging these core strengths, continuing to collaborate with clients, and consistently delivering on our strategy, we will drive and diversify revenue growth. Thank you for your time.
I'll now turn it over to Eric.
Okay. Well, many thanks, Mark, and welcome to the team, even if you are a Red Sox fan. Robin Stewart has highlighted the financial performance of both areas of Parameta Solutions, data and analytics and post-trade solutions. Today, I will focus on the data and analytics business. There are three key attributes we want to highlight. As the world's largest IDB, we have the largest proprietary source of scarce neutral OTC data that generates high-margin subscription revenues. As agent, we are not placing bets on the instruments we are pricing, providing us with a neutral position in the market. It is scarcity that drives the value of financial market data, and we benefit from this. Although we have the largest data revenue among IDBs, we would not be living up to our full potential if we did not exploit new opportunities that leverage our competitive advantage.
Our strategy is not to boil the ocean, but to be surgically precise in pursuing opportunities that provide added value to a diversified client base and meet unmet needs. Over a quarter of our H1 sales have come from new products, including our Global RFR package and our surveillance solutions. We continue to diversify our client base, adding over 40 new clients in H1, 35 of these being non-sell-side clients, including buy-side, Energy & Commodities, governments, and corporates. We are expanding our channel partners and deploying new cloud technologies to increase our penetration of new client types, including quants, as part of our multichannel distribution strategy. Finally, we enjoy double-digit revenue growth with high margins. Clients typically sign an initial two-year license agreement with a renewal rate in excess of 98%. This makes the revenue very sticky.
The financial market data industry has revenues of over $43 billion per year. It is composed of content providers, those that generate derived works, and redistributors. Parameta Solutions data and analytics has largely been an OTC content provider. As Dan mentioned, our partners in Global Broking enjoy 41% global market share, while data and analytics enjoys over 2/3 IDB data market share. However, IDB data revenues remain relatively small, representing less than 1% of the revenues in the global financial market data industry. Our strategy remains focused on areas of the wider industry that have the highest growth rates and the greatest opportunity to exploit our competitive advantage, especially our observable transactions data. In benchmarks and indices, we have already market-leading interest rate benchmarks that are relied upon by key functions within the capital markets.
Regulatory oversight is driving demand for observable transactions data and risk management with the quality of the data directly impacting clients' decision-making, including managing their capital requirements. This creates opportunities for use in the evaluative pricing space. There are further areas where we can target unique access to transactions information which will allow us to support clients with greater insights. As Nico mentioned, we are excited to announce the launch of Clear Consensus, a truly differentiated risk management and valuation solution. We've partnered with Clear, PeerNova, a leading cloud-based data management and analytics software provider based in Silicon Valley. PeerNova's Cuneiform platform enables users to manage and monitor data quality and integrity in real time.
Together, we've been working with over a dozen of the world's leading banks to build a solution that directly addresses the pain points they've identified with the current independent price verification process, or IPV. IPV is a critical function that banks must undertake as part of their required risk management, mark-to-market, and P&L processes. Regulators demand greater transparency of data and its quality in risk assessments. Clear Consensus combines Parameta Solutions' highly valuable observable transactions data with PeerNova's data management analytics into a fully integrated service. The process is transparent. We achieve a richer, higher quality consensus enhanced by market observable and participant trade data. The result, a dynamic, timely, and uniquely differentiated solution, driving more frequent and enhanced capital allocation optimization with greater operational efficiencies.
We are live with FX, including forwards, NDFs, options, and exotics, and are actively working on rates with our bank working group for rollout in H2. As the world's largest IDB, we're a natural provider of OTC benchmarks and indices based on our neutral, independent OTC data. We are centrally positioned to create reference standards representing the economic reality of OTC markets. This positions us to provide clients with benchmarks and indices for a variety of use cases, including securities issuance and structured products. Achieving FCA benchmark administration status is a critical component of our benchmark and index strategy. We now have the governance and structure in place to develop benchmark and index opportunities. We've established best practices for the transparent and independent governance of our benchmarks, and our authorization shows our commitment to facilitate robust financial markets.
The changing complexion of the global interest rates and inflation is driving demand for indices in these areas, and given our market-leading position in these OTC instruments, it's a natural area for us to target. In H1, we have licensed our benchmarks for structured products and put in place our first AUM-based license agreement. We are actively working on indices and volatility, transition fuels, and have the potential to leverage our broking's pre-eminent position in environmental markets to build representative indices. We adhere to IOSCO principles for benchmarks on a global basis and have begun seeking benchmark administrator status in Europe before the end of 2023. Our multi-channel distribution strategy leverages our direct relationships with a diverse set of over 1,000 clients. We offer direct services via our channel partners, and through the public cloud.
Our channel program continues to target adding 45 more partners to further increase the breadth of solutions leveraging our content. In H1, we've added new market data vendors, extranets, and ISVs as channel partners. In addition, we've expanded the content sets made available through the challenger market data vendors. We continue to win new business with the quants at new clients who are seeking agile access to our data via Parameta Solutions Data Share. This has been a great success with new clients not burdened by a heavy on-premises infrastructure such as hedge funds. However, in H1, we won our first tier 1 bank Data Share client as they execute their cloud-first strategy. In addition to Data Share, in H1, we've added real-time data delivered by the cloud through Parameta Solutions Streamer solution.
The key takeaways for Parameta Solutions data and analytics include in H1, we continue double-digit growth, outperforming the financial market data industry. We will outperform the industry from expanding our product suite outside the traditional IDB data space, exploiting opportunities where we have a competitive advantage, working with partners and content providers, leveraging our collective strengths, diversifying our client base beyond the sell side, and executing our multichannel distribution strategy with more channel partners and more cloud distribution capabilities. Now I'd like to hand it back to Nico. Thank you.
Thank you, Eric. In conclusion, we've delivered a strong revenue performance against a background of market volatility. Our Fusion rollout is on track across Global Broking and Energy & Commodities, and we continue to innovate with new initiatives in Parameta Solutions and Agency Execution. We are actively managing capital in order to free up GBP 100 million by the end of 2023 to pay down debt. Our active approach to capital management, combined with our liquidity and connectivity, makes us well positioned for current market conditions. Thank you. I'd like to invite Robin and our divisional CEOs to join me as we open the floor for questions.
Thank you. Good morning. I'm Portia Patel from Canaccord Genuity. Thank you for the divisional presentations. They were very helpful. I wanted to ask about inflation please, and any comments you can provide on inflation with respect to both compensation and non-compensation costs, and how we should think about that in the second half. I guess a related question with respect to Global Broking, are you seeing increased competition for brokers, and are you having to work harder to retain them in the current inflationary environment? Thank you.
Thanks, Portia. Yeah. We see inflation as both a positive on the business side. It's certainly. We've seen some revenue pickup in the Global Broking areas on the back of inflation. I suppose the interest environment that you see around that to counter it is also helpful. Addressing the other side of the coin, in a sense, on the cost side. You know, we're very focused on how inflation might impact the cost base. We're seeing a little bit of activity there on our costs on the group.
In the main, we feel that might be something which will be more of an impact in the second half on our staff costs as we see hot competition for people in the service functions. In terms of the outsource contracts that we have, a lot of the major contracts that we have with third-party vendors tend to be multi-year, and they tend to have inbuilt CPI inflation already within them. That's sort of more manageable in the short term. It's something which we keep an eye on, and we're monitoring, and we'll probably give you more information on how that is and how it pans out by the end of the year.
Perhaps from a Global Broking point of view, there's always competition for talent, and that competition is usually pretty fierce. We have an exceptional platform that we're delivering from a digital platform and from a brand point of view, and that allows us to both attract and retain talent.
Yeah. Hi, it's Piers Brown from HSBC. Maybe one for Robin and one for Dan. Robin, on the GBP 100 million of cash you've identified that you're using to pay down debt, how should we think about the sort of optimal place the debt ratios will get to or that you would like them to get to? I guess if we were to see any further cash being freed up, would that also be used to pay down debt, or may you look at other alternatives for that? That's the first question. Maybe for Dan, on the Global Broking presentation, which was very helpful, thank you for that.
Just in terms of the margin dynamics, I mean, you mentioned the sort of shorter-term cyclical positives of the potential move from shorter products to longer duration products. When you think about this longer-term structural movements in the industry, and I'm tying this into what you were talking about in terms of the Fusion rollout and the electronification, particularly within the rates space, do you see that as putting longer-term downward structural pressure on margins? And I guess, is Fusion ultimately net beneficial to the business? Does it open up a greater set of tradable assets or volumes which would offset any margin pressure that it might actually bring with it?
Dan, why don't you-
Thanks.
I'll go with the second question first while it's fresh in people's minds, and I'll take the first one.
I was gonna say, can we get back to that?
I'll do the capital one second.
I think that's. There's a lot of questions embedded in that question. I think that Fusion is accompanying our clients' needs is the most important statement, and we're bringing value to those clients, in evolving in the way that they look at the financial markets across the board. I think there's always a role for a trusted advisor, to clients who are giving us the opportunity to execute their liquidity for them. We get paid because we bring value to those clients, and I think that Fusion is a value additive product. It's a value-added tool that we're giving to our brokers to help their clients trade better.
All of that to say that there's a lot of value in that kind of value chain, and margins will stay attractive both to the shareholder for TP ICAP and for the clients who are paying us. We're giving our brokers a better tool to serve the clients' needs, and that's a positive and a win-win for everybody.
On the first question, I think it's worth just reminding everyone that our ability to free up cash and to utilize it in an agile way is very much predicated on the redomiciliation that we did last year. Prior to that, we were on a journey where we were having to effectively bank and increase tangible capital on the balance sheet as we were grandfathering out the waiver we had under consolidated capital supervision. We're now in an environment where we are able to look at alternatives. Right now, I think the right prioritization of that is repayment of debt.
The GBP 100 million that we've identified, which we will generate and free up over the next 12 months or so, by the end of next year, I think very much focused on repaying debt. We are very conscious right now in a I suppose a volatile interest rate environment that it's helpful to both reduce our financing costs, but also fundamentally to secure our investment-grade credit rating. The hurdle for us to effectively to not cross with our in our discussions and with Fitch is not to have gross debt more than 2.5 times EBITDA. Right now we are at or around that level. For us, we want to get that rate somewhere between two and two and a half times.
If, once we've done that GBP 100 million, to the extent that we continue to review and look at efficiencies, we will evaluate what to do with that at that time. It'll be based upon the needs of the organization and what we think is the most optimal way to utilize that cash for ourselves, but also for our shareholders.
Hi. There don't appear to be any more questions in the room at this stage. Conference call operator, are there any questions coming through on the phone lines, please?
If you'd like to ask a question, please press star followed by one on your telephone keypad. If you change your mind, please press star followed by two. When preparing to ask your question, please ensure that your phone is unmuted locally. Our first question comes from Vivek Raja from Shore Capital. Vivek, please go ahead.
Hello. Good morning, gentlemen. Can you hear me okay?
Yes, Vivek.
Good. Apologies I couldn't be with you in the room. I'm glad you're out there in person. I had three areas that I could explore, please. The first one is on the operating margin. If I've understood this correctly, like a 16% operating margin, if you reverse out the losses following Russian sanctions. Just trying to think through to what could be achievable in the second half and all the sort of things you've talked about today. You've got presumably further group savings to come through from the targeted cost savings for this year. You've got Liquidnet synergies to come through. I think you're signaling that you've now sort of written down all the sort of Russian exposure. There shouldn't be any further costs associated with that in the second half.
FX translation should be beneficial. You've talked about, well, I think I mentioned already, Liquidnet synergies. What's sort of achievable? Is 16% achievable in the second half? I think you also talked about, Robin, you talked about costs, headwinds probably increasing in the second half. Just, you know, can you help us sort of think through what's achievable for second half operating margin, please?
A lot of dynamics in there, Vivek. Obviously, a forward-looking operating margin is not something I'm going to seek to predict or disclose. However, I think things to think about in that, yes, we believe that Russian loss is now capped, and the impact of it will spread over the second half. We've obviously seen the very high volatility in the revenue in the first half, and that's given us a boost as well. I think the increase in revenue that we've seen and the contribution from that has effectively equalized the impact of Russia in the first half.
Remember, historically, the seasonality of the revenue in the IDB industry, historically around 53%-55% of revenue tends to be in H1, and the balance in H2. Ordinarily, if you look at the trend over time, H1 margin is always higher than the full year margin. I can't predict what revenue will be in the second half. It's, you know, a market environment. We've talked about the fundamentals today, and we're cautiously optimistic about those, but we can't predict what that outcome will be. Whilst we are cautiously optimistic for revenue in the second half, like I said in response to Portia's question earlier on inflation, there are one or two unknowns there in the cost base.
All in all, right now I think, and not forgetting also the FX environment, which is very favorable right now. There's a big swing in the H1 numbers. All in all, I think because of those unknowns on the up and the down, I think we're comfortable, subject to people's views on FX that the consensus is about in the right place.
Okay. That feels very cautious. I guess let me just try again with that question. I mean, presumably there's further group savings to come through from the efficiencies and Liquidnet synergies, which will be incremental to operating profit in the second half, aside from obviously underlying cost inflation. Is that fair?
Yes. We've signaled that we will get that GBP 25 million of costs of that. The GBP 38 million that we said we'd get between 2022 and 2024 at the year end last year, the bulk of that does come through in this year, and we're on track to deliver those.
The other thing I wanted to ask is the capital efficiencies you've identified, the GBP 100 million. You may have answered this, Robin, but I couldn't hear the word that you said. Where does that money come from? Where have those efficiencies come from exactly?
They come from a multitude of sources, including we are looking at generating some proceeds from the sale of some assets, so our property in Paris. We're looking at efficiencies in clearing and settlement. We believe we've got some cash to release on deregulating some dormant entities that we've had that we're waiting for FCA approval on. We've got a pension surplus that should be repaid by the end of this year. There's a multiple set of areas that will generate the cash. Like I said earlier, we wouldn't have been able to do that prior to the redomiciliation in terms of utilizing that in the freedom that we now have.
Last thing I want to explore please is Liquidnet and the D2C potential in fixed income. You've obviously got the APIs with I think you described as a handful, sort of I got sent sort of three or so of your key clients. You're gonna widen that to your broader client base. I guess the question is when should we start seeing meaningful revenues from that? Is that likely to be a feature this year in the final quarter or is it gonna be probably more 2023 thing? Thanks.
I mean, Mark can give you some more detail, but in the context of where we think that will be on a broad basis in the numbers, we'd always anticipated that we'll see some revenue in Q4 this year that's something which we can talk about positively. I think Mark will probably give you a bit more insight into what the launch is so far and where we see that progressing.
Yeah. With respect to D2C, obviously live with a handful of accounts now. The campaign will grow in velocity over the second half of the year. You know, in line with Robin's comments, I think we'll start to realize increased revenue in the second half of this year and going forward.
Okay. Presumably, when you talk about profitability of Liquidnet improving, that is just about the synergy. That's not necessarily a comment connected to potential increment of new revenue streams, right?
It's a bit of both actually, Vivek. The synergy savings that we make on the integration of Liquidnet effectively are shared across the group as a whole. An allocation of them do then go into Liquidnet itself, 'cause obviously they are group savings. There is a pickup in profitability in terms of where we think we'll be because of that increased revenue stream on the D2C at the back end of the year.
Okay, gentlemen. Thank you very much for answering all my questions.
Thank you. Just a reminder to ask any further questions, please press star followed by one. Okay. We currently have no further questions registered, so I'll now hand you back over to Dominic.
Thank you, operator. Yes, we have a couple of questions coming in on the online platform. The first question, which will be one for Dan, is from Kimberly Burrows at Numis. Kim would like to know how the competitive landscape within Global Broking is developing.
Well, I think that comes back to the earlier question about competition for brokers. At the end of the day, there's high competition for brokers. We see ourselves as an exceptional platform, putting forward the best technology and are able therefore to attract and retain talent and therefore clients. It's a competitive landscape. It's a concentrated competitive landscape.
A question for Robin from Jakub Lichwa from Goldman Sachs. It’s again related to debt. It relates to the renewal of the RCF, you know, on more favorable terms at 1.755%. It seems considerably cheaper than some of the debt outstanding on your cost of wholesale funding. Would you consider optimizing your debt cost by reducing some of the outstanding notes?
I mean, we've just done a liability management exercise at the end of last year, which has effectively restructured our debt so that our goal historically was to be a perpetual issuer every couple of years of market-size debt instruments. We're right now, having just done the RCF. We've got access to greater liquidity, so it's increased from GBP 270-GBP 350 at a better rate. We could potentially look at that, but ultimately, for us it's about flexibility on retaining flexibility in our liquidity needs as we move forwards. It will always be something we will keep an eye on, but not immediately.
I don't have any further questions online. I don't see any hands up in the room. Unless operator further questions have come in on the telephone lines, I'd like to thank everyone for joining us this morning. As Nico said, it's nice to see everyone in person. Thank you also to everyone who joined on the webcast. We look forward to talking to you all again in March next year. Thank you.