CMC Markets is rolling out a spread betting API, the company shared in an official announcement. The news comes amid increasing demand from brokers operating in the UK and Ireland, where the product is legal.
Clients of CMC Markets that use the solution will be able to deliver an end-to-end spread betting brokerage service to their customers. Brokers will be able to quote a ‘pounds per point’ price on indices, commodities, treasuries and FX.
The company outlines that the new solution has been developed to address increasing demand from clients.
Commenting on the news, the Head of Institutional at CMC, Richard Elston, said: “Our institutional counterparties have been asking – with growing frequency – for the ability to fully embed our popular spread bet product suite on their own platforms. This native spread bet dealing application means a simple plug-in can now generate pound-per-point pricing.”
Why Ethereum Needs Layer 2 Solutions More Than EverGo to article >>
“The innovation allows those institutions who work with us to present spread bet dealing functionality in exactly the format that their clients would expect to see it,” he added.
Spread Betting Increasingly Popular in UK and Ireland
The institutional counterparts of CMC Markets will be able to deploy the spread betting API to any platform. Technology provider Gold-i will be handling routing for MT4 and MT5.
Brokers that are willing to deliver the product to their clients will need to have a specific license from the UK FCA or Irish financial regulator. Spread betting is a product that is widely popular in the region. Transactions executed via spread betting are not subject to stamp duty and capital gains taxes in the UK and Ireland.
CMC Markets’ spread betting API is a separate product which the company will only be offering to clients that have the required regulatory license.
“This is part of our campaign to ensure we have the most comprehensive selection of institutional products possible. The additional amount of integration required for taking this API in addition is limited, thereby making it an efficient process for the broker client,” a company spokesperson shared with Finance Magnates.