Low cost European broker Lightyear taps LHV for EUR instant payments

Rick Steves

Lightyear has recently raised $25 million in a Series A funding round led by Lightspeed Venture Partners and Sir Richard Branson to fuel its expansion into 19 new European countries. The neobroker is quickly growing across the old continent by charging no trading, account and custody fees and charging a 0.35% fee for FX. 

Lightyear, the European investment platform founded by ex-Wise duo Martin Sokk and Mihkel Aamer, has partnered with LHV to adopt SEPA and SEPA Instant payments, as well as EUR safeguarding accounts, which separate client funds from the company’s.

The banking services provider, which caters to over 200 fintech and crypto companies, will also provide EU operational accounts, designed to hold businesses’ operating funds, international SWIFT and payments in EEA currencies alongside virtual IBANs.

Lightyear lowers transaction, custody, and FX fees for European investors

Lightyear’s recent pan-European launch was powered by this partnership, which provides real-time EUR payments and other banking capabilities to the European investment platform. According to LVH, the payments firm has processed 8% of the total Single Euro Payments Area (‘SEPA’) Instant transactions in Europe.

Lightyear aims to offer low-cost access to global markets for residents in the European Union, which means lowering transaction and custody fees as well as hidden FX fees for international markets for customers.

Lightyear has recently raised $25 million in a Series A funding round led by Lightspeed Venture Partners and Sir Richard Branson to fuel its expansion into 19 new European countries.

The neobroker is quickly growing across the old continent by charging no trading, account and custody fees and charging a 0.35% fee for FX.

Andres Kitter, Chief Executive Officer of LHV UK, said: “Lightyear is democratising access investing to retail traders. By utilising Lightyear’s commission-free investment platform, investors can bypass the traditional banks and web platforms, which charge high fees for stock trading.”

Mihkel Aamer, Co-founder and CTO at Lightyear, said: ”LHV is partnering with fintechs to innovate and build a better financial system for customers in Estonia and now across Europe. We share a similar approach to providing best-in-class customer experience — when it comes to payments and people’s money, it’s key to eliminate unnecessary delays & slow processing times. We’re excited to join forces with LHV to bring real-time EUR payments to investors across Europe.”

Lightyear launched UK and European stocks and ETFs

Last month, Lightyear added global ETFs and a wide range of instruments from UK and European exchanges to its product offering in a milestone for the European investment platform.

The new product offering will include a huge selection of popular local and global stocks listed on exchanges all over Europe including the London Stock Exchange, Euronext and the DAX.

The rollout of ETFs also marks the company’s expansion into fund-based products, which are widely considered a good way to diversify a portfolio and a good entry point for newer investors, combining the benefits of diversified mutual funds with real-time pricing, but without high barriers to entry or minimum investment amounts.

An ETF – a short for Exchange Traded Fund – is a collection of hundreds or thousands of stocks or bonds, which is managed by experts in a single fund that trades on major stock exchanges, like the New York Stock Exchange and NASDAQ.

Read this next

Interviews

FIA EXPO 2022: Interview with Trading Technologies

The derivatives trading industry has gathered in Chicago to attend the FIA EXPO 2022 on 14-15 November. 

Market News

What’s moving markets for the week ahead 

The US labor market and the OPEC+ meeting are the most important variables for next week.

Digital Assets

Payments innovator BVNK acquires SPS Ltd to become UK EMI licensed operator

“We believe that regulated, fiat-backed stablecoins combined with the best parts of traditional payments will provide the infrastructure needed to deliver this vision. We will continue to obtain new licences and build out our capabilities to provide our customers with an unparalleled offering.”

Technology

Innovations in Technology and the User Experience — A MarksMan Update

MarksMan Liquidity Hub, the go-to platform for crypto spot liquidity solutions, has just unveiled an exciting update with new UI/UX features.

Technology

Alveo adds Sentiment indicators, Tax, and Regulatory Risk data from SIX

“Market participants increasingly need on-demand access to our vast catalogue of global financial and investor protection related data.”

Technology

B2C2 taps KX to enhance analytics for institutional crypto

“KX technology is proven in enhancing a broad range of mission-critical data and trading systems across front, middle and back-office operations for the majority of the world’s leading tier-one banks, brokerages, and investment firms.”

Executive Moves

ADVFN appoints Amit Tauman as CEO

ADVFN operates global financial information websites for retail investors.

Institutional FX

HKEX launches Hang Seng TECH Index Futures Options, adds after-hours session

“The launch of the Hang Seng TECH Index Futures Options and enhancements to the broader suite of Hang Seng TECH Index derivatives today will provide global investors even more choice and flexibility, helping them to successfully manage their portfolios and risks.”

Industry News

Finastra opens Center of Excellence in Kuala Lumpur

Finastra has expanded its footprint by opening a Center of Excellence (COE) at Malaysia’s MRANTI Technology Park in Bukit Jalil, Kuala Lumpur.

<