Revolut Unlocks the Bond Market for Retail Traders in EU

Revolut Unlocks the Bond Market for Retail Traders in EU

Time Stamp: November 20, 2023 3:47 AM
Revolut Unlocks the Bond Market for Retail Traders in EU PlatoBlockchain Data Intelligence. Vertical Search. Ai.

After
adding European stocks to its platform and extending trading hours, Revolut is
taking another step to attract clients from the old continent. The British
fintech will offer them the chance to trade corporate and government bonds
early next year.

The government
and corporate debt securities market is valued at nearly €122 trillion.
However, retail investors have limited access to it, especially regarding
government and corporate bonds outside their country of residence.

According
to information the company provided to Financial News, Revolut has
decided to change this and make it easier for retail investors to access bonds,
especially as rising interest rates have made their valuations attractive
again. The company is also lowering the often high barrier to entry into this
market and wants to offer investments from €100.

According
to Rolandas Juteika, the CEO of Revolut Securities Europe, who also serves as Head
of Wealth and Trading in Europe, the latest offer should be available in the
first quarter of 2024.

“We
continue to make the investment space more accessible for everyone,”
Juteika commented.

The offer
will not be limited to the European market but will also cover the US market.
Retail investors will be able to trade US government bonds and corporate bonds
of the largest companies, including Wells Fargo and Apple.

Revolut Looks for New Ways
to Attract Customers

The
introduction of the bond trading offer is another step taken by Revolut in
recent months to attract customers and thus increase revenue. This year, the
company reported delayed financial results for 2021, in which it achieved
profitability for the first time at £59 million.

At the end
of October, the company added stocks from more than 70 European companies to
its offer and also provides fractional trading. A few days later, the company announced the introduction of a new Trading Pro subscription plan and
extended trading hours for US stocks.

However,
the changes do not come without consequences. In mid-November, the British
fintech announced increasing fees for Plus, Premium and Metal
subscribers. So far, the changes have taken place in the UK, but they will
likely be extended to other countries as well.

After
adding European stocks to its platform and extending trading hours, Revolut is
taking another step to attract clients from the old continent. The British
fintech will offer them the chance to trade corporate and government bonds
early next year.

The government
and corporate debt securities market is valued at nearly €122 trillion.
However, retail investors have limited access to it, especially regarding
government and corporate bonds outside their country of residence.

According
to information the company provided to Financial News, Revolut has
decided to change this and make it easier for retail investors to access bonds,
especially as rising interest rates have made their valuations attractive
again. The company is also lowering the often high barrier to entry into this
market and wants to offer investments from €100.

According
to Rolandas Juteika, the CEO of Revolut Securities Europe, who also serves as Head
of Wealth and Trading in Europe, the latest offer should be available in the
first quarter of 2024.

“We
continue to make the investment space more accessible for everyone,”
Juteika commented.

The offer
will not be limited to the European market but will also cover the US market.
Retail investors will be able to trade US government bonds and corporate bonds
of the largest companies, including Wells Fargo and Apple.

Revolut Looks for New Ways
to Attract Customers

The
introduction of the bond trading offer is another step taken by Revolut in
recent months to attract customers and thus increase revenue. This year, the
company reported delayed financial results for 2021, in which it achieved
profitability for the first time at £59 million.

At the end
of October, the company added stocks from more than 70 European companies to
its offer and also provides fractional trading. A few days later, the company announced the introduction of a new Trading Pro subscription plan and
extended trading hours for US stocks.

However,
the changes do not come without consequences. In mid-November, the British
fintech announced increasing fees for Plus, Premium and Metal
subscribers. So far, the changes have taken place in the UK, but they will
likely be extended to other countries as well.

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