Ricardo Esteves has seen business and economics through many lenses. He joined the Financial Services Industry in 2009, and has been a financial journalist since 2011. He holds a degree in Business Administration and has experience producing real-time news, from both buy-side and sell-side, as well as for retail traders, brokers and service providers. Esteves' work has appeared in a variety of online publications including FX Street and FinanceFeeds.
CMC Markets is now offering its customers the ability to spread bet and trade CFDs on the US Fang Plus index, thus exposing them to a balanced portfolio of highly-traded growth stocks from next-generation technology companies, including Facebook, Amazon, Netflix, Alibaba and Baidu.
David Fineberg, Deputy Chief Executive Officer at CMC Markets, commented: “As a company we’re always ready to add products which are relevant to our clients’ trading needs. The technology boom shows no signs of abating and we already see significant volumes for individual stocks in this sector, so we expect offering convenient access to such a well-regarded global index to be a popular proposition.”
The index includes many of the high-profile technology stocks which have outperformed the underlying market in recent years. According to backtesting by the Intercontinental Exchange, the NYSE FANG+ Index would have returned a 24.2% annualised total return from 19 September 2014 to 29 March 2019, compared with 15.21% for the technology-centric NASDAQ 100
Equally weighted and consisting of shares in Facebook, Amazon, Apple, Netflix, Alphabet (formerly Google), Alibaba, Baidu, NVIDIA, Tesla and Twitter, the the US Fang Plus offers margins starting from 2% for professional clients and 10% for retail clients with minimum position sizes beginning from £0.1 per point, up to a maximum of 1,000 contracts for CFD clients.
CMC Markets, which serves retail and institutional clients through regulated offices and branches in 15 countries, enables clients to trade thousands of financial instruments across forex, indices, cryptocurrencies, commodities, shares, ETFs and treasuries.
The broker has recently updated its cryptocurrency offering to include seven new digital currencies – taking the total number of coins to twelve – and lowered the margins for professional clients across all their original cryptocurrencies as well as spreads for both retail and professional clients across all their original cryptocurrencies.
Just ahead of releasing full-year results for FY 2019, CMC Markets released a trading update on its overall performance, having noted a great reduction in client trading activity and challenging market conditions in the fourth quarter of 2018 heavily influenced by the implementation of the ESMA intervention measures on 1st August 2018. This measure has made a negative impact on revenue generation: down by 37 percent YoY at £110 million.