Low Volatility Squeezes Brokers. CMC Markets' Founder Says It Is "Not Reflected in CMC's Performance"

CMC Markets founder Lord Peter Cruddas said weak market volatility has created a tougher environment for some of the broker's peers without denting its own results, crediting growth in its business-to-business arm in an interview the company distributed on Wednesday. His comments come after rival IG Group said on Friday that it expects third-quarter revenue roughly 14% lower at around GBP 240 million, citing weaker retention of client trading revenue in less supportive market conditions, and cut its 2026 revenue growth guidance.

Cruddas noted that volatility has remained subdued, with the Cboe Volatility Index (VIX) sitting near historically low levels, but argued the macro headwind "is not reflected in CMC's performance." CMC raised its outlook in July, guiding to net operating income of at least GBP 550 million for the year to March 2027, up from a prior range of GBP 460 million to GBP 480 million. The shares climbed 23% to a record high that day. Half-year results are due in November.

Bank partners and a Revolut deal

Cruddas also set go-live dates for CMC's two bank clients. New Zealand's ASB Bank is due onto the platform before the end of 2026, with Australia's Westpac following in early 2027. CMC has previously said the Westpac deal should expand its Australian customer base by about 40%. The ASB partnership was signed in November 2024, when CMC said integration would take 12 to 18 months; Westpac was signed last September with an estimated 12-month timeline. In June, alongside annual results showing pre-tax profit up 20% at GBP 101.3 million, the company said both partnerships were scheduled to launch within the next 12 months.

Cruddas said CMC now powers more than 300 B2B partnerships, a model he described as scaling in a way its own retail business cannot. Without naming the client, he said a single major institutional partner generated onboarding volume in one year that would typically take a decade to acquire through retail channels. CMC's July annual report cited one neobank partnership that lifted account openings by 2,400% in under a year, with roughly 70% of accounts from previously untapped markets. He added that CMC has signed a new agreement with Revolut UK; its institutional arm already supplies the contracts for difference Revolut offers in 29 countries through its Lithuanian entity, though no UK launch date was given.

On his own holdings, Cruddas said he had recently bought about GBP 5 million of CMC shares. Regulatory filings show trades totaling 777,389 shares worth about GBP 4.85 million on Friday, when he announced plans to invest up to GBP 5 million, and on Monday. The largest trade, disclosed Tuesday, covered 593,378 shares at prices between 655.4 pence and 689.7 pence, worth roughly GBP 3.7 million. He said he has not sold a CMC share since the company's 2016 listing.