What does the rapid shift to home working mean for traders?

CMC Markets looks to offer their clients access to trending & growth industries through expansion of share baskets portfolio

CMC Markets, (www.cmcmarkets.com), one of the world’s leading contracts for difference (CFD) providers, has further expanded its range of share baskets, in response to popular demand from clients.

The rapid shift to home working has accelerated what was already a growth area for technology providers. Collaboration tools have never been more important for both businesses and individuals, and look set to shape the way we all operate in the years ahead. As a result, today the company has launch two new share baskets to track key behavioural changes, harnessing the popularity of Remote Lifestyle and Collaborative Technology investments.

CMC Markets regularly consults with a number of respected industry experts to help better understand what clients will want to trade next. Research Analyst and Portfolio Manager Joe Kunkle is one such contributor, who noted:

Recent events have accelerated the speed of major thematic shifts such as work-from-home, and discussions from management across the software space are validating the surge in demand for these solutions as every company scrambles to ensure business as usual in the new environment. This includes having an online presence, a collaborative work environment, network security, modernized digital infrastructure and more.” 

In recent months, the valuations of many fast growth businesses have soared. Zoom Video is up almost 200%* since early February whilst Peloton has risen by more than 150%* from its lows in March. CMC Markets has seen the popularity of these two stocks increase dramatically, too with both now frequently appeared in the top 30 daily list of the broker’s most traded equity CFDs, compared to having never registered in the top 200 at the start of the year.

Simon Campbell, Group Head of Trading at CMC Markets, commented: “There has been much speculation around how different industries will be impacted by the coronavirus pandemic and certainly it will take time to see, however there are some clear obvious innovators. Traders are often the first to identify new opportunities in emerging industries and CMC have seen a large uplift in the volumes for Peloton, Citrix and Zoom Video in recent weeks. As an organisation we pride ourselves on our ability to respond to client demand and as such are excited to be able to allow our clients access to these trending stocks in one trade.”

The Remote Lifestyle basket includes shares in companies such as Amazon, eBay, Dominos Pizza Inc and Peloton Interactive. Constituents in the Collaborative Technology basket range from DocuSign, Slack and Zoom to Microsoft and Apple. Each constituent is given a tiered weighting and in order to efficiently maintain configurations, CMC Markets is working with business information provider IHS Markit, a leading source of independent valuation services for exchange traded products and custom baskets.

A range of 17 share baskets were launched by CMC Markets earlier this year, giving clients the opportunity to gain diversified exposure to an industry with a single trade.

For more information on basket constituents and the index weighting methodology please visit: https://www.cmcmarkets.com/en-gb/share-baskets-trading

*- correct as of market close, June 2nd 2020.

Read this next

Digital Assets

Coinbase CEO says Chase UK’s ban on crypto “totally inappropriate”

Coinbase CEO Brian Armstrong criticized Chase UK’s decision to restrict cryptocurrency-related transactions in the UK. He called the move “totally inappropriate” and expressed his disagreement with the bank’s decision to ban its UK customers from conducting debit card or wire transfers related to cryptocurrencies.

Digital Assets

Binance CZ refutes any connection with CommEX

Changpeng “CZ” Zhao, the founder and CEO of Binance, has denied being the owner of CommEX, the company that reportedly acquired Binance’s business in Russia.

Institutional FX

Refinitiv’s spot FX volumes hit 8-month low

Refinitiv, the former Financial and Risk business of Thomson Reuters, today reported that the average daily volumes (ADV) of currency trading were $424 billion last month on the company’s main FX trading services.

Executive Moves

Integral hires industry veteran Paul Arnold as liquidity manager

Integral, a technology provider to the financial markets’ buy-side, has appointed Paul Arnold, a highly experienced FX industry professional, as its liquidity manager, according to information made public on his Linkedin profile.

Digital Assets

Terraform’s Do Kwon challenges US extradition request

Do Kwon, the crypto entrepreneur and former CEO of Terraform Labs, is opposing the U.S. Securities Exchange Commission’s request to question him about the crash of his company’s stablecoins Terra and Luna.

Digital Assets

Coinbase gets nod to offer futures for retail customers

Coinbase International Exchange has received regulatory approval from Bermuda’s financial regulator, the Bermuda Monetary Authority (BMA), to allow eligible non-US retail customers to trade perpetual futures contracts.

Inside View

How brokers can win the trading tech wars: Insights from iFX EXPO 2023

Last week’s iFX EXPO International 2023, held at the City of Dreams Mediterranean Integrated Resort in Limassol, Cyprus, welcomed a series of insightful discussions. A panel that particularly stood out focused on the role and evolution of trading technology.

Crypto Insider

Web3 Transformation: Radix’s Babylon Update Redefines User and Developer Engagement

Radix Publishing leaps forward in the decentralized world with the release of the Babylon mainnet upgrade, bridging the gap between innovative tech and user-friendly DeFi experiences.

Digital Assets

Crypto.com Joins Forces with PayPal and Paxos for Enhanced PYUSD Exchange Experience

Crypto.com collaborates with PayPal and Paxos to fortify its position as the premier exchange for PYUSD, marking a significant milestone in the global crypto landscape.