Contract for difference (CFD) provider, CMC Markets, announced 17 new share baskets in its trading platform. The new additions give clients gain exposure on wide range of trending sectors including gaming, banking and renewable energy.
Each basket contains up to 50 stocks with each constituents given a tiered weighting. The company employs the services of business information provider HIS Markit to maintain the configurations ensure the corporate actions are handled well.
The products are developed internally and more baskets can be added witch growing customer demand.
Simon Campbell, Group Head of Trading at CMC Markets, stated:
Simon Campbell
As a business we are committed to driving client success and continue to build products with this mission in mind. We see our clients’ interests pique when certain industries come into focus and we wanted to be able to offer an alternative way for our clients to trade on the opportunity.
With each of these high-profile industries being well covered in the mainstream media, there’s no shortage of information to help form trading decisions. So, whether a sector’s valuation is rising or falling, these baskets allow our clients to easily ‘trade the trend’ by taking a long or a short position accordingly.
Christopher Hare, Global Head of Product Development for DeltaOne at IHS Markit, commented:
Christopher Hare
We are excited to deliver our expertise in portfolio and index valuation by collaborating with well-established providers like CMC Markets. Working together, we will advance the availability of innovative investments which bring greater flexibility to global financial markets.
The new implemented baskets include Cannabis, 5G, Big Tech, Cyber Security, Mobile Payments, Driverless Cars, Gaming, US Banks, Renewable Energy, China Tech, Streaming Media, Social Media, Software as a Service, Automation & Robotics, UK Banks, European Banks and European Automobiles. Constituents in every basket are given tiered weighting to avoid big price movements for conglomerates managing multiple sectors from having a excessive influence on a basket’s valuation.
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