According to regulatory filings from previous week leading global investment banking, securities and investment management firm Goldman Sachs has sold down its stake in CMC Markets from 5% to 3.4%. A long-term partner of UK CFD trading and spread betting provider CMC Markets, Goldman Sachs initially bought a 10% share in the broker for $140 million. It also took active participation in the listing of CMC Markets on the London Stock Exchange (LSE) in February 2016. Goldman had since retained an approximate 5% stake in CMC Markets, but probably got disappointed over the continuous decline of CMC Markets’ stock price.
People are waking up to what these CFD providers are all about. There's probably significant regulatory risk on the horizon.