FreeTrade plugs directly into the German stock market
UK FinTech FreeTrade has inked a fresh deal that allows its clients to trade in German stock markets Equiduct and Cboe without fees.
The stock broking upstart, which was valued at £650 million in the latest crowdfunding raise, says its 1 million customers are now able to trade directly on the German stock exchange. They have access to all stocks listed on the Deutsche Boerse including big names like Adidas, BMW, Mercedes, Puma, Siemens, and Deutsche Telekom.
Announcing the news in a blog post. Freetrade said its no-commission app is one of a few platforms offering Britons direct access for retail investors to European markets. Unlike rivals which allow first-time investors, to trade European stocks through a third party that charges a fee, Freetrade is plugged directly into the German stock market.
Rather than partnering with an established broker, Freetrade holds a ‘full scope firm’ license from the FCA.
CEO and founder Adam Dodds added: “The addition of European stocks to the platform is a key step for us as we begin our expansion into Europe and beyond. Our mission is to get everyone investing while keeping prices low. Freetrade’s unique direct-to-market access and proprietary brokerage platform helps to unlock cost-savings that we can pass onto our customers through a simple and low-cost investment experience.”
Freetrade in a hiring spree
Freetrade has gone into a hiring spree since it closed on a £50 million funding round back in March. Most recently, the firm appointed Revolut’s former finance executive Paul Brooking as Chief Financial Officer (CFO) as it continues its investment in new executive talent.
Brooking spent the bulk of his career at the UK leading broker IG Group where he held a variety of analogues roles including the Group Financial Controller, Head of Finance and Head of Corporate Finance.
The firm, which claims one million customers and £1 billion in assets under administration, has used the Crowdcube platform many times to open its equity up to retail investors and raise fresh capital.
Freetrade, which calls itself a challenger stockbroker, has rebuilt its platform infrastructure for investing to allow traders to place their instant orders without having to pay a commission fee. Before that, clients were allowed to invest in stocks and ETFs, but only if they accept to execute their trades at the end of business day, otherwise the broker charges £1 per trade.
Freetrade’s app offers commission-free stock investment and is targeted mainly at millennials. The company has recently accelerated both new investments and product range, including the introduction of fractional shares.