CMC Markets Extends Westpac Partnership in Major Australian Deal

CMC Markets has struck a fresh agreement with Westpac Banking Corporation to continue supplying white-label trading platforms for the bank's retail customers. The partnership will cover Westpac Share Trading and St. George Directshares, services that tap into a customer base of around 13 million Australians.

The deal is expected to expand CMC's retail presence significantly. Once the 12-month integration process is complete, the firm anticipates its domestic customer base could rise by as much as 40%, with trading volumes climbing about 45%. CMC already oversees more than A$90 billion in assets under administration across 1.2 million accounts, making it the second-largest stockbroker in the country.

Westpac's Managing Director for Private Wealth, Ashley Stewart, said the decision followed a thorough vendor review process. "CMC is a recognized market leader in online share trading. We look forward to extending our relationship with them to deliver innovative trading features and a leading user experience, integrated with our online banking for more of our customers," he said.

Under the arrangement, Westpac customers will continue to interact with bank-branded digital platforms while CMC provides the technology infrastructure behind the scenes. The setup enables Westpac to retain direct client relationships while outsourcing the technical heavy lifting.

CMC CEO Lord Peter Cruddas described the agreement as a strong validation of the firm's technology. "There is no greater validation of our capabilities than when a major institution places their trust in our technology to serve their valued customers," he commented.

The company plans to capitalize most of the integration costs during the first year and expects "meaningful" revenue contributions for its Australian division once the platforms go live. The announcement comes as CMC also diversifies its payment methods, recently adding digital wallets such as Skrill and Neteller alongside banking transfers.

Meanwhile, Apex Financial disclosed a stake of over 3% in CMC, while the broker's leadership team received more than £21 million in share-based compensation. The partnership with Westpac requires no additional regulatory or shareholder approvals.