JP Morgan Asset Management and JP Morgan Securities acquire 4% of Plus500.
CFD broker Plus500 (PLUS.L) can look back over recent events with some degree of satisfaction, with the entity continually demonstrating high stock prices since its equally high-ticket IPO.
Today, the company has published a notification of major interest in shares, denoting that corporate banking giant JP Morgan Asset Management (NYSE:JPM) along with its securities division, has purchased a 4% interest, representing 4.64 million shares
Plus500 has consistantly performed strongly, with its share prices having continued to rise as last year drew to a close, during a period when large, household names within the retail FX sector such as GAIN Capital experienced a downward dynamic.
This was exemplified in November, when Plus500’s share price rose by 17%, compared to GAIN Capital, a company which did not perform at all badly during 2013, experienced a 17% decline in the value of its stock.
Couple this to the company’s successful IPO in July last year, which culminated in a valuation of $200 million, and it is evident that Plus500 is well positioned to attract the attention of the large conglomerates in the global financial industry.
It is entirely possible that JP Morgan has acquired the Plus500 shares as part of the recent £100 million share sale by Plus500 insiders, and that some of the shares are likely being held by JP Morgan for their own clients.
Regardless of the circumstances which surround the transaction, this represents a major credibility boost for Plus500.