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CMC Markets

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CMC Markets plc
TypePublic
IndustryFinancial services, Forex trading, Contract for difference (CFD), Spread betting, share dealing
Founded1989; 37 years ago (1989)
FounderPeter Cruddas
Headquarters
London
,
United Kingdom
Area served
Worldwide
Key people
Paul Wainscott (chairman)
Peter Cruddas (CEO)
ServicesStockbroker and Electronic trading platform
RevenueIncrease £376.8 million (2026)[1]
Increase £103.4 million (2026)[1]
Increase £73.7 million (2026)[1]
Total assetsIncrease £1,006.9 million (2026)[1]
Total equityIncrease £457.2 million (2026)[1]
OwnerPeter Cruddas (60.3%)
Number of employees
1,068 (2025)[2]
Subsidiaries
  • StrikeX Technologies (51%)
Websitewww.cmcmarkets.com

CMC Markets plc is a British financial services company that provides online trading and investing services, including share dealing, contracts for difference (CFDs), spread betting and foreign exchange trading. The company is headquartered in London and has regional hubs in Sydney and Singapore.

CMC was founded in 1989 by Peter Cruddas as a foreign exchange market maker under the name Currency Management Corporation, and launched an online trading platform in 1996. It introduced CFDs in 2000 and spread betting in 2001, and began expanding internationally from 2002. The company was listed on the London Stock Exchange in February 2016 and is a constituent of the FTSE 250 Index.

Alongside its retail trading and investing businesses, CMC supplies platform technology, liquidity and execution services to financial institutions and other partners.

History

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1989–2001: Early years

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CMC Markets was founded in 1989 by Peter Cruddas, then 35 years old, as a foreign exchange market maker under the name Currency Management Corporation. The name was later abbreviated to CMC and officially rebranded as CMC Markets in 2005.[3][4] According to The Financial Times, Cruddas started the company with just £10,000 in initial capital.[5]

In 1992, the company obtained regulatory authorisation in the UK from the Association of Futures Brokers and Dealers, a predecessor body of the Financial Services Authority.[6]

In 1996, CMC Markets launched a real-time FX trading platform, claiming to have conducted the first-ever online FX trade. Its proprietary MarketMaker software became central to the company's early internet-based trading business.[7][8][9][10]

Between 1996 and 2000, the company's subsidiary, Information Internet Limited, licensed the MarketMaker software to several banks. In 2000, Cruddas consolidated ownership of the subsidiary and integrated it into CMC Markets as its internal IT division, giving CMC exclusive use of its technology.[11]

In 2000, CMC introduced contracts for difference (CFDs) and, by 2001, launched online spread betting on financial markets. These additions expanded the company's offering to include derivative products, which subsequently became a major part of its business.[12][13][8]

2002–2007: Global expansion

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In 2002, CMC Markets began its global expansion, opening offices in multiple countries and growing its spread betting operations in the UK alongside its international CFD business. The first overseas office was opened in Sydney, Australia, led by Goran Drapac and David Trew.[14][15] The first North American office was opened in 2003 in New York, headed by Josh Levy.[16] This was followed in 2005 by the acquisition of the Canadian broker Shorcan Index, which was integrated as the company's Toronto office under the leadership of Simon Grayson.[17][18]

From 2001 to 2005, CMC Markets also operated under the brand name deal4free.com to promote its zero-commission trading services, primarily targeting UK-based spread betting clients. However, commissions were later reinstated, and the brand was retired as part of a company-wide rebranding in September 2005.[19]

In 2006, CMC Markets planned to go public through an initial public offering (IPO), but the effort was abandoned at the last minute, with the company citing unfavourable market conditions[20][21]

In 2007, the company purchased Digital Look, a financial media and technology company that operated the financial information site Digitallook.com and provided data to third parties. The acquisition was integrated into CMC's London operations, although Digital Look continued offering services to external clients.[22] That same year, CMC acquired the Australian stockbroker Andrew West. The acquisition was merged into its Australian operations under the new name CMC Markets StockBroking, which continued to provide physical share broking services in Australia.[23]

Later in 2007, Goldman Sachs acquired a 10% stake in CMC Markets for £140 million, valuing the company at £1.4 billion.[24]

2008–2013: Crisis after the Great Recession

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During the Great Recession of 2008–2009, CMC Markets experienced a significant decline in profits. In response, Peter Cruddas changed the management team, closed seven offices, and reduced the company's headcount from a peak of 1,100 employees.[25]

In 2010, the company introduced its Next Generation trading platform to the UK market. The new software offered improvements over the previous MarketMaker platform, including the ability to quote market prices to additional decimal points and execute trades without re-quotes.[26]

By 2011, CMC Markets had reduced its operations to 17 offices across four continents and a workforce of over 700 employees.[8] That same year, the company sold its Digital Look business unit to the Spanish-based Web Financial Group.[22] In January 2013, following a period of declining performance, Peter Cruddas returned to the role of chief executive, replacing Doug Richards.[5] For the financial year ended 31 March 2013, the company reported a 21% fall in revenue and a pre-tax loss of £2.8 million, and reduced its workforce by approximately one-third.[27][28]

2014–2020: IPO and market challenges

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After returning to profitability in 2014, speculation began about a potential IPO for CMC Markets.[29][30]

In July 2015, CMC Markets started to offer binary options, including a proprietary product branded as Countdown, designed for short-term trading.[31]

On 5 February 2016, CMC Markets was listed on the main market of the London Stock Exchange at an initial price of 240p per share, valuing the company at £691 million.[32] This was significantly below the £1 billion valuation that Peter Cruddas had reportedly anticipated when considering an IPO back in 2014.[30] By this time, CMC had over 44,000 active clients and had processed more than 34 million trades.[33] Later that year, on 25 April, the company launched a range of binary trading products tailored for mobile, tablet, and desktop platforms.[34]

Shortly after its stock market debut, CMC Markets' valuation fell by half after the Financial Conduct Authority (FCA) introduced new measures targeting the spread betting market. Amid this downturn, the company reportedly considered relocating its headquarters and over 300 jobs to Germany, where it was already the largest provider of CFD products. Peter Cruddas was reportedly involved in discussions with BaFin, Germany's financial regulator, about the possible move.[35][36]

On 2 June 2016, CMC Markets was included in the FTSE 250 Index.[37]

In February 2017, the Norwegian Central Bank, Norges Bank, acquired a 3% stake in the company.[38]

The company reported a 76% drop in annual profit in 2018.[39] In March 2019, CMC's shares fell to a record low following a profit warning, and chief financial and operating officer Grant Foley announced his departure.[39]

In 2019, CMC Markets opened an office in the UAE and announced plans to strengthen its presence in the Middle East.[40]

2021–present

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In 2022, CMC Markets became the official sponsor of the St Kilda Football Club for a three-season partnership.[41] In September, the company launched CMC Invest, an investment app offering share dealing in UK and US stocks, ETFs, and investment trusts.[42] Earlier that year, CMC obtained an in-principle license to operate in Singapore.[40]

In 2023, the company integrated Skale's tools such as a customizable back office, CRM, a multi-layered IB portal, and a traders' area, into its trading platform.[43] CMC also developed payments functionality in partnership with TrueLayer.[44][45] On 9 June 2023, CMC acquired a 33% stake in StrikeX, a UK-based blockchain technology firm.[46] This partnership facilitated the development of TradeStrike, a centralized exchange for tokenized assets.[47]

However, these initiatives coincided with a difficult financial period. In 2023, CMC Markets' annual report revealed a 43% drop in net profits, a 20% decline in operating revenue, and a 9% reduction in active traders.[48][49] The fiscal year's first half ended with a pre-tax loss of £2 million.[50] In August, its shares dropped nearly 20%. To mitigate the downturn, CMC initiated a cost-cutting program, resulting in over 220 layoffs globally (approximately 18% of the workforce).[49] In November, the Australian Securities and Investments Commission (ASIC) ordered CMC, along with six other traders, to compensate retail clients for breaches of financial services laws, including offering CFDs with leverage exceeding regulatory limits.[51]

In 2024, CMC Markets reported mixed results: average revenue per client rose to £4,685, but total segregated client money declined by £31.8 million, reflecting continued financial pressures.[49][52] These improvements were partially attributed to the cost-cutting measures implemented the previous year.[53][54]

In March 2025, CMC opened a new office in Bermuda after securing a license from the Bermuda Monetary Authority.[55] In April, it integrated the TradingView charting platform, allowing clients to execute trades directly via TradingView.[56] In May 2025, CMC Markets acquired a controlling 51% stake in StrikeX (up from its previous 33% holding), giving it a majority interest in the blockchain firm.[57]

In June 2025, CMC Markets' shares fell nearly 18% after the company reported adjusted pre-tax profit of £84.5 million for the year ended 31 March 2025, below a company-compiled analyst consensus of £90.6 million. The company said the miss reflected higher-than-expected costs, including a one-time £4.3 million charge related to customer remediation in Australia following an industry-wide regulatory review into margin netting. CMC also said deputy CEO David Fineberg would move into a newly created role as global head of strategic partnerships, and named senior independent director Paul Wainscott as its new non-executive chairman.[58]

In November 2025, CMC launched Spectre, a spread betting account for professional clients in the United Kingdom in which long positions are funded in full rather than on margin, removing overnight financing charges and margin calls; clients pay flat account and currency conversion fees instead.[59] The account was opened to retail clients on 18 May 2026.[60]

In early 2026, CMC began transferring cash and settling payments through Kinexys Digital Payments, the blockchain unit of J.P. Morgan, using a network of blockchain deposit accounts.[61] The company had earlier piloted a tokenised share trade on the Arbitrum blockchain in late 2025.[62]

During the 2026 financial year, CMC's Australian stockbroking business signed a white-label agreement with Westpac and continued work on a previously announced partnership with ASB Bank in New Zealand. The company said the Westpac agreement covered approximately A$39 billion of assets under administration across about half a million share-trading accounts, and that both partnerships were due to launch in 2027.[1]

In July 2026, CMC announced a multi-year main club partnership with Everton F.C. beginning with the 2026–27 season.[63]

Operations

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CMC Markets reports its business in two segments, Trading and Investing. The trading segment covers CFDs and, in the United Kingdom and Ireland only, spread betting, together with the group's treasury management and capital markets activities. The investing segment covers stockbroking in Australia and investing services in the United Kingdom, the United States and Singapore.[1]

The company offers trading across asset classes including shares, foreign exchange, indices, commodities and treasuries, and, in some jurisdictions, cryptocurrencies.[40][64] Through its investing platforms it provides share dealing and investment accounts, including individual savings accounts and self-invested personal pensions in the United Kingdom.[2] Group revenue is derived principally from trading spreads, financing charges and commissions.[2]

Through business-to-business and business-to-business-to-consumer arrangements, CMC supplies platform technology, liquidity, execution and white-label services to financial institutions and other partners. The company has said that expanding its institutional and investing businesses forms part of a strategy to diversify revenue beyond retail trading.[1]

In addition to its London headquarters and regional hubs in Sydney and Singapore, CMC operates through locally regulated subsidiaries in Europe, the Asia-Pacific region and the Middle East. It is authorised and regulated by the Financial Conduct Authority in the United Kingdom, the Australian Securities and Investments Commission in Australia and the Monetary Authority of Singapore, among other regulators.[2]

By 2023, the company had more than 300,000 clients worldwide.[44] As of the 2024 financial year, more than half of its net revenue was generated outside the United Kingdom and Europe.[49] For the year ended 31 March 2026, net operating income was reported as £133.4 million in the United Kingdom, £115.2 million in Australia and £144.0 million in other countries. The company reported more than two million unique user logins across its trading and investing platforms, including partner platforms, as of November 2025.[1]

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In March 2012, The Sunday Times reported that Peter Cruddas, CMC's founder and then a co-treasurer of the Conservative Party, had offered access to senior ministers in return for large party donations. He resigned his party position within days. Cruddas won libel damages of £180,000 from the newspaper in 2013.[65] The Court of Appeal ruled that the publication's core claims about "cash for access" were substantially supported by evidence and reduced the damages to £50,000 in 2015.[66] He was granted a life peerage in December 2020.[67]

Australian class action

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CMC Markets Asia Pacific Pty Ltd is the respondent in a representative proceeding in the Federal Court of Australia, Edin Zulic & Anor v CMC Markets Asia Pacific Pty Ltd (NSD410/2022). Filed by the law firm Johnson Winter Slattery and funded by Harbour Fund V, L.P., it concerns the marketing and sale of highly leveraged CFDs and binary options to retail investors between 7 November 2011 and 30 April 2021.[68][69] Class actions have also been brought in Australia against other providers of contracts for difference over the marketing of leveraged products to retail investors.[70]

Other proceedings

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In 2022, CMC Spreadbet plc sued the businessman Robert Tchenguiz for a £1.31 million spread betting debt. Tchenguiz counterclaimed that CMC had closed his positions prematurely; the court ruled in CMC's favour and ordered him to pay.[71]

In 2024, a former Sydney-based employee brought an unfair dismissal claim against the company over its bonus arrangements. The claims have not been tested.[72][73]

See also

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References

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  1. 1 2 3 4 5 6 7 8 9 "Preliminary results for the year ended 31 March 2026" (PDF). CMC Markets. 4 June 2026. Retrieved 27 July 2026.
  2. 1 2 3 4 "Annual Report and Financial Statements 2025" (PDF). CMC Markets. 2025. Retrieved 27 July 2026.
  3. ↑ "Branding: No such thing as a free deal". Euromoney. 2005-11-01. Retrieved 2026-06-01.
  4. ↑ "Brexit backer Peter Cruddas to sell £200m-plus of CMC Markets shares". The Guardian. 2016-01-13. Retrieved 2026-06-01.
  5. 1 2 Kortekaas, Vanessa (2013-01-17). "Cruddas takes the helm at CMC Markets". Financial Times. Retrieved 2024-11-26.
  6. ↑ "CMC Markets UK plc". Financial Conduct Authority. Retrieved 2026-06-01.
  7. ↑ Davey, Catherine (2011). Making Money From CFD Trading: How I Turned $13K Into $30K in 3 Months. John Wiley & Sons. ISBN 9781118303917.
  8. 1 2 3 "Peter Cruddas, 2007 richest selfmade man in the City and U.K entrepreneur of the year". NextFinance. May 2011. Retrieved 2024-11-27.
  9. ↑ "CMC Enhances Marketmaker; While Starting Futures Trading". FX Markets. 1997-11-17. Retrieved 2024-11-27.
  10. ↑ "Reflecting on a true rags-to-riches story". Financial Times. 13 May 2006. Retrieved 26 August 2017.[permanent dead link]
  11. ↑ "How The CMC Markets Help For Traders?". Digital Connect Magazine. Archived from the original on March 7, 2016. Retrieved 26 August 2017.
  12. ↑ "Capital spreads". Spread Betting Bible. Archived from the original on 27 August 2017. Retrieved 26 August 2017.
  13. ↑ "The man firmly back in the saddle at CMC". City A.M. 2013-11-24. Retrieved 2026-06-01.
  14. ↑ "Amid latest FX Solutions rumors – an interview with the new CEO David Trew". Finance Magnates. 2011-06-02. Retrieved 2017-08-24.
  15. ↑ "CMC to launch in N America – FX Week". FX Week. 2003-06-23. Retrieved 2017-08-24.
  16. ↑ "London-based CMC Group acquires Canada's Shorcan Index - Article - investmentexecutive.com". investmentexecutive.com. Retrieved 2017-08-24.
  17. ↑ "Web-based platform brings CFD trading to Canada – Back Issue". investmentexecutive.com. Retrieved 2017-08-24.
  18. ↑ "CMC Group announces rebranding". Internet Business News. 16 September 2005. Archived from the original on 11 September 2016.
  19. ↑ "Volatile market conditions force CMC to pull float". The Independent. 24 May 2006.
  20. ↑ Quinn, James (13 August 2009). "Peter Cruddas prepares for CMC flotation". The Daily Telegraph.
  21. ↑ Quinn, James (19 February 2008). "Cruddas' appointments bolster CMC board". The Daily Telegraph.
  22. 1 2 "Digital Look Acquired by Web Financial Group". Web Financial Group. 10 February 2011.
  23. ↑ "CMC Markets grows bigger in Australia, set to service 500,000 ANZ retail stockbroking clients". Finance Feeds. 8 March 2017. Retrieved 26 August 2017.
  24. ↑ "Goldman takes 10% stake in CMC". Financial Times. 22 November 2007.
  25. ↑ Quinn, James (14 August 2009). "Peter Cruddas has taken CMC Markets back to basics". The Daily Telegraph.
  26. ↑ "CMC Markets announces Revamped trading platform". Financial Spread Betting. 12 August 2010. Archived from the original on 27 August 2016. Retrieved 28 September 2010.
  27. ↑ Segal, Gerald (2013-09-09). "CMC Markets loses one-third of staff, posts £2.8M loss". LeapRate. Retrieved 2024-11-26.
  28. ↑ Quinn, James (2013-09-07). "Peter Cruddas's CMC Markets falls into the red". The Daily Telegraph. Retrieved 2024-11-27.
  29. ↑ "Peter Cruddas eyes £1bn float for CMC Markets". The Daily Telegraph. 2014-09-05.
  30. 1 2 "Peter Cruddas flags up £1bn float after CMC storms into profit". 2014-09-05.
  31. ↑ "CMC Markets Launches Binary Options Offering Called Countdowns". Finance Magnates. 2015-07-20.
  32. ↑ "CMC Markets defies volatility with £691 million listing". London Stock Exchange. Archived from the original on 2016-02-05. Retrieved 2016-02-05.
  33. ↑ Quinn, James (2016-01-31). "'This is about the business, I promise you,' says CMC chief ahead of £736m float". The Telegraph. Retrieved 2024-11-28.
  34. ↑ "The new era for binary trading has arrived as CMC Markets launches new product". CMC Markets group site. Archived from the original on 2016-04-25. Retrieved 2016-04-25.
  35. ↑ Kleinman, Mark (2016-12-13). "Spread-betting giant CMC to mull jobs, HQ move amid FCA crackdown". Sky News. Retrieved 2024-11-28.
  36. ↑ "Spreadbetters' shares hit amid crackdown by City watchdog FCA". Sky News. 2016-12-06. Retrieved 2024-11-28.
  37. ↑ "Inclusion in FTSE 250 Index from 20 June 2016". CMC Markets. 2 June 2016. Archived from the original on 16 April 2017. Retrieved 5 May 2017.
  38. ↑ Staff, LeapRate (2017-02-06). "Norwegian central bank Norges takes 3% position in CMC Markets".
  39. 1 2 "CMC shares hit record low on profit warning as finance chief plans exit". Reuters. 3 March 2019. Retrieved 3 March 2019.
  40. 1 2 3 Oladipupo, Solomon (2023-04-03). "CMC Markets Expands Dubai Operations, Eyes Growth in Middle East". Finance Magnates. Retrieved 2024-11-27.
  41. ↑ "CMC Markets invests in the future of the Saints". saints.com.au. 2022-11-21.
  42. ↑ "CMC Group Launches New Stock Trading Platform". Finance Magnates. 2022-10-03. Retrieved 2024-11-28.
  43. ↑ Chmiel, Damian (2023-07-18). "CMC Markets Connect to Utilize Skale's CRM for Forex Brokers". Finance Magnates. Retrieved 2024-11-27.
  44. 1 2 Chmiel, Damian (2023-08-02). "CMC Markets Leverages Open Banking: Integrates TrueLayer for Faster Transactions". Finance Magnates. Retrieved 2024-11-27.
  45. ↑ Chmiel, Damian (2023-08-02). "CMC Markets Leverages Open Banking: Integrates TrueLayer for Faster Transactions". Finance Magnates. Retrieved 2024-11-28.
  46. ↑ "CMC Markets acquires 33% stake in UK blockchain firm StrikeX". FinanceFeeds. 2023-06-09.
  47. ↑ "CMC Markets Enters Blockchain Space with New Investment". Finance Magnates. June 9, 2023.
  48. ↑ "CMC Markets' FY23 Net Income Follows Guidance, Profit Drops 43%". Finance Magnates. 2023-06-13.
  49. 1 2 3 4 Golden, Paul (2024-08-06). "CMC Markets Surpasses Plus500: FY24 Per Client Revenue Hits £4,685". Finance Magnates. Retrieved 2024-11-28.
  50. ↑ Shome, Arnab (2024-02-05). "Breaking: CMC Markets to Reduce 17% Staff". Finance Magnates. Retrieved 2024-11-26.
  51. ↑ "ASIC oversees more than $17.4 million in compensation to retail investors by OTC derivative issuers". ASIC. 2023-11-09. Retrieved 2024-11-26.
  52. ↑ Shome, Arnab (2024-10-23). "CMC Moves Ahead in Australia, but IG Shows How Lucrative Singapore Is". Finance Magnates. Retrieved 2024-11-26.
  53. ↑ Chmiel, Damian (2024-10-09). "CMC Markets Just Turned a £2M Loss into a £51M Profit—Here's How". Finance Magnates. Retrieved 2024-11-26.
  54. ↑ Mendel, Jack (2024-02-05). "CMC Markets: Upgraded guidance remains but firm to shed 200 jobs". City AM. Retrieved 2024-11-26.
  55. ↑ "CMC Markets Bermuda granted dual-license for investment and digital asset services". Bermuda Monetary Authority. 2025-03-12. Retrieved 2026-02-01.
  56. ↑ "CMC Markets Integrates TradingView for Direct Trading". Finance Magnates. 2025-04-09. Retrieved 2026-02-01.
  57. ↑ Boughedda, Sam (2025-05-08). "CMC Markets Takes a Controlling 51% Stake in StrikeX Technologies". LeapRate. Retrieved 2026-02-01.
  58. ↑ "Trading platform CMC Markets misses profit expectations, shares drop 18%". Reuters. 2025-06-05. Retrieved 2026-02-01.
  59. ↑ "CMC Markets launches no margin spread bet accounts for UK pro traders". TradeInformer. 5 November 2025. Retrieved 6 August 2026.
  60. ↑ "CMC Markets opens non-leveraged Spectre spread betting account to retail clients". TradeInformer. 18 May 2026. Retrieved 6 August 2026.
  61. ↑ "CMC Markets begins 24/7 blockchain settlements with J.P. Morgan's Kinexys". Finance Magnates. 5 March 2026. Retrieved 6 August 2026.
  62. ↑ "CMC Markets enters German certificates race as BaFin restrictions loom". Finance Magnates. 11 May 2026. Retrieved 6 August 2026.
  63. ↑ "CMC Markets announces multi-year main club partnership with Everton FC". MarketScreener. Surperformance SAS. 1 July 2026. Retrieved 2 July 2026.
  64. ↑ Jain, Echha (20 June 2024). "British trading platform CMC Markets forecasts higher annual operating income, shares surge". Reuters. Retrieved 27 November 2024.
  65. ↑ Halliday, Josh (5 June 2013). "Former Tory co-treasurer Peter Cruddas wins Sunday Times libel case". The Guardian. Retrieved 6 June 2013.
  66. ↑ Greenslade, Roy (17 March 2015). "Appeal court reduces damages award against Sunday Times to £50,000". The Guardian. Retrieved 16 January 2019.
  67. ↑ Armitage, Jim (23 December 2020). "Peter Cruddas peerage may be controversial, but his CMC Markets is the second biggest share price riser of 2020". Evening Standard. Retrieved 28 November 2024.
  68. ↑ "Edin Zulic & Anor v CMC Markets Asia Pacific Pty Ltd". Federal Court of Australia, New South Wales Registry. Retrieved 26 November 2024.
  69. ↑ "CMC Markets class action". Harbour. Retrieved 28 November 2024.
  70. ↑ Shome, Arnab (8 February 2024). "CFDs on trial: IC Markets faces class-action lawsuit in Australia". Finance Magnates. Retrieved 6 August 2026.
  71. ↑ Fletcher, Olivia (1 July 2022). "Tchenguiz ordered to pay £1.3 million in spread-betting suit". Bloomberg News. Retrieved 28 November 2024.
  72. ↑ Hornery, Andrew (11 August 2024). "Bullying claims, death threat at centre of elite Sydney stockbroker's lawsuit". The Sydney Morning Herald. Retrieved 28 November 2024.
  73. ↑ "Trader alleges bullying, death threats in unfair dismissal case against CMC Markets". Lawyerly. 16 August 2024. Retrieved 3 August 2026.
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