Being recognized by the IDA is another important milestone in our Canadian growth strategy as we continue to solidify our position as one of the country's premier trading firms
Toronto, ON (PRWEB) August 20, 2008
CMC Markets today announced that it has become a member of the Investment Dealers Association of Canada (IDA), the national self-regulatory organization for the Canadian securities industry.
"This is fantastic news for our clients, and for the future of CFDs in Canada" stated Alex Daschko, Managing Director & CEO. "What this means is that Contracts for Difference (CFDs), now come under IDA oversight. Clients also receive enhanced protection through the Canadian Investor Protection Fund, which is another major benefit of IDA membership"
With offices in Toronto and Vancouver, CMC Markets is the only CFD provider in Canada. CFDs are one of the fastest growing trading instruments in the world with 35% of volume on the London Stock Exchange being attributed to the product. Although currently restricted to accredited investors in Canada, CFDs are growing in popularity because of the access they present to global Equities, Indices, Commodities, Treasuries and Currencies, and powerful leverage. Equity CFDs are offered at 15% margin, which is more competitive than traditional share trading which typically has a 30-50% margin rate.
To qualify as an IDA member, companies must satisfy stringent capital requirements, appropriate supervisory structures and a fully qualified professional team.
"Being recognized by the IDA is another important milestone in our Canadian growth strategy as we continue to solidify our position as one of the country's premier trading firms," added Mr. Daschko.
Notes to Editors
About CMC Markets
The CMC Markets Plc group ('CMC Markets') is a market maker in online retail financial services and both a global leader in the provision of contracts for difference (CFD) and one of the largest financial spread betting service providers in the UK.
CMC Markets' principal products and services are contracts for difference (CFDs), financial spread betting and foreign exchange trading. A key part of the Group's strategy is to focus on delivering these institutional-style trading products and services to an increasingly diverse range of retail investors and market professionals against the backdrop of a more global investment horizon.
CMC Markets provides a fully integrated trading platform, allowing clients to trade over 3,000 different financial instruments, covering equities, indices, commodities, currencies and treasuries, all within one account wrapper, in one currency, in real-time via the internet. CMC Markets handles the front, middle and back office functionality of the trade and provides immediate clearing.
The Group has a global footprint spanning four continents and trades under the CMC Markets brand from 23 offices around the world supporting clients from over 85 countries. In addition, CMC Markets has an increasing number of white-label partnership agreements in place with financial intermediaries, banks and brokers which extends further the global penetration of the Group's products and services.
The acquisition of Digital Look in May 2007 has enabled the Group to provide additional content based services to clients and reinforces the Group's ability to offer clients market research, analysis and execution, all from the one platform.