Is JP Morgan looking to get into the CFD broker Plus500 (LON:PLUS)? Could be, time will tell….for now they are showing their hand in the latest Notifications of major interests in shares (TR-1) filing. The alert is provided by RNS, which is the UK’s leading service for regulatory news announcements. JP Morgan Chase & Co. in aggregate now owns over 11% of the online trading company; thus also granting them the same percentage in voting rights. The new purchases come just a month after the investment bank crossed the 10% ownership barrier.
The shares are up 92% year-to-date…having added 285.14 GBX in 2014. The shares currently sit at 594.47 to open up trading for the week of May 19th. The stock chart is nothing less than stellar as you can see below.
Plus500 Shares as of May 16th, 2014; Courtesy of Bloomberg
Just last week, well respected Numis Securities started coverage on Plus500 and issued an initial 8.24GBP price target for the stock. The question remains if the company can keep up the growth in the months and years ahead and mature the business across the board. It seems for now, JP Morgan is certainly showing a vote of confidence in the company. Remember to follow LeapRate for reporting on all relevant FX related stocks within the sector.