Our business model
Our business enablers
1.
Technology and product
Technology and product has always been key to the success of CMC Markets and this has won the business recognition as the leader in our industry for innovation and service. Recognising that innovation is key to retaining this reputation, the Group has continued to invest significantly across the business to deliver new products and offerings to our clients.
2.
Financial strength
We aim to maintain our secure capital and liquidity structure, ensuring that it is appropriate for the future growth and success of the Group. This includes maintaining long-term levels of capital to withstand the demands of fluctuations in the financial markets and access to a healthy level of surplus liquid resources to capitalise on the growth opportunities.
3.
Risk management
The Group's business activities naturally expose it to strategic, financial and operational risks inherent in the nature of the business it undertakes and the financial, market and regulatory environments in which it operates. The Group recognises the importance of understanding and managing these risks and that it cannot place a cap or limit on all of the risks to which it is exposed. However, effective risk management ensures that risks are managed to an acceptable level.
Our client offering
Our clients are at the heart of everything that we do.
Who our clients are
- Sophisticated
- High Value
- Experienced
What we offer them
- Cutting-edge technology
- Competitive pricing
- Excellent client service
- Diverse product suite
Trading
- Contracts for difference
- Spread betting
- White-label solutions
- Options
- Cash equities
- FX spot and give-ups
Institutional + Retail
Investing
- Invest platforms
(Australia, UK and Singapore) - White-label solutions
How we make money
Trading
Trading net revenue
£259.1m
Spreads
Revenue earned through maintaining a transactional spread (the difference between the buy and sell price) on CFD and spread bet products.
Commissions
These are charged on both CFD equity trades and institutional DMA trades. Clients are either charged a minimum commission or a percentage based on the value of the trade.
Financing
Positions held by clients overnight may be subject to financing costs, which can be positive or negative depending on the direction of their holding and the applicable financing rate.
Rebates and levies
Volume-based rebates paid to professional, high value retail and institutional clients and introducing brokers on selected asset classes.
Risk management gains/(losses)
Revenue or losses from management of client positions that the Group inherits. This consists of gains or losses which accrue to the Group through client positions and, secondly, the gains or losses which accrue to the Group through the hedge positions entered into by the Group, including hedge transaction costs.
Investing
£34.0m
Net revenue in Australia predominantly earned through brokerage charged for the execution of exchange traded products, options, warrants, ETFs, managed funds, interest rate securities and bonds. Further, we earn fees including FX revenue on international shares, and equity capital markets (“ECM”) income.
Interest income – trading and investing
£35.0m
Interest income from the Group’s own funds and income on client funds
Other income
£4.7m
How we add value
1 / 3
- 1Best Mobile Trading Platform, ADVFN International Financial Awards 2024; No.1 Web Platform, ForexBrokers.com Awards 2023; No.1 Platform Technology, ForexBrokers.com Awards 2022.
- 2Turnover reflects the notional value of client trades.
- 3View our awards