CMC Markets Plc, a provider of online trading, has issued a trading update this Thursday for the third quarter of its 2019 fiscal year, spanning from October 1, 2018, until December 31, 2019.
According to the update, after a market conditions managed to improve in the third quarter. This improvement was largely driven by market events and trade tensions, which drove client activity, particularly in indices.
As a result, the contract for difference (CFD) net revenue performance for the third quarter improved significantly, the statement said without giving any specific figures. Nonetheless, as the broker previously warned, revenue still remains lower on a yearly comparison.
CMC Markets monitors client trading post-ESMA
CMC Market’s third quarter was the first full quarter for the broker following the implementation of the European Securities and Markets Authority (ESMA) regulations. As , the regulations put a cap on leverage for retail traders, amongst other restrictions.
However, the UK-based broker noted that retail client activity has remained steady through the period and client money has remained at similar levels to the first half. Looking ahead to the fourth quarter, the company will continue to adapt to the changing client behaviour following the regulatory change.
“I founded this business in 1989 and we have weathered many changes in the financial markets and their regulation during my time as CEO. I have confidence that over time, CMC will benefit from these changes and I remain fully committed to the business and its future potential.
“CMC continues to benefit from a more diverse revenue portfolio across our institutional and stockbroking businesses, and I am delighted with the progress our ANZ Bank white label stockbroking partnership is making.”
Be First to Comment