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Screenshot of a breaking news alert e-mail from Q2 2017
LeapRate Exclusive… LeapRate has learned, via filings made to the London Stock Exchange, that investment and mutual fund giant Fidelity Investments has built up a 5.22% position in FCA regulated online brokerage firm CMC Markets Plc (LON:CMCX).
Headquartered in Boston MA, Fidelity Investments is one of the world’s largest investment management and mutual fund companies. Fidelity has more than 25 million individual customers who hold more than $5.2 trillion in assets at Fidelity, including $2.0 trillion under active management.
Apparently Fidelity has been building up its stake since CMC Markets’ IPO in February, and accelerated its purchases after it was announced at the beginning of June that CMC Markets would be added to the FTSE 250 Index. Fidelity passed the 5% reporting threshold on June 15, and now holds just over 15 million CMC shares.
At CMC Markets’ current share price of £2.78 Fidelity’s stake in CMC is worth £41.8 million (USD $60 million).
The CMC shares acquired by Fidelity are being held by Fidelity’s UK arm FMR Investment Management (UK) Limited.
Fidelity’s purchases makes it the second largest shareholder in CMC Markets, after controlling shareholder and CEO Peter Cruddas. Longtime investor Goldman Sachs Group Inc (NYSE:GS) falls to the #3 shareholder position, holding just over 5.0% of CMC Markets.
CMC shares have fared fairly well in the four months since the company went public at £2.40 per share, up 16% overall.