Brokerage group CMC Markets said on Thursday that it intends to become a NZX Trading and Clearing Participant in 2025.
NZX is New Zealand’s largest exchange operator.
The wording of the statement put out by CMC Markets and NZX was slightly unclear, but the liklihood is that CMC will apply for permissions to become a Trading and Advising Participant and also a Clearing Participant.
Having the former permissions would mean that CMC could more easily offer clients access to trading in New Zealand listed companies, without having to partner with another intermediary.
The clearing permissions, would mean that CMC Markets could clear and settle trades in NZX equities.
The decision probably has two aims. One is to provide the group’s book of retail clients with broader market access by adding New Zealand stocks.
The other factor is that it is probably another selling point for CMC Markets’ B2B division, as it will mean they can provide other companies with access to trading in Kiwi securities.
“We are excited to apply to be a NZX Participant and look forward to building a strong partnership with
NZX,” said CMC Founder and CEO Peter Cruddas.
“In Australia, we have been a successful ASX participant since 2007 servicing hundreds of partners and
over a million local retail investors. The next stage of our growth in New Zealand is expanding our B2B
partnerships with our leading, world class technology solutions.”