CMC clients back into the fray after pre-Brexit dip

CMC Markets — led by triumphant Leave campaigner Peter Cruddas — said today that spread-betting punters were back on form after caution in the run up to the big vote.

The firm, which floated in February landing a multi-million windfall for the founder, said the number of active clients trading with it rose 13% year on year, but the value of trades was lower in the quarter building up to the referendum. That meant a “moderate decrease” in revenue per active clients compared to last year.

Despite the volatility in currency and share markets around the vote, CMC’s caution on margins meant that it avoided losses. Looking ahead CMC is ready to open a new European base if cross-border trading is hit by Brexit negotiations but CMC’s global headquarters will remain in London.

Cruddas added that trading had perked up since the vote, adding: “Volumes were lower leading into the EU referendum as clients traded in smaller sizes. However, clients’ trade volumes have subsequently increased and improvements in underlying client metrics are very positive.”

Shares, which floated at 240p, eased 2% or 5p to 282p today.