Munich, 14.03.2022. Scalable Capital, on its mission to become Europe's leading digital investment platform, starts its international expansion in France. With Scalable Broker and Scalable Crypto the company introduces convenient and cost-effective trading and savings plans in shares and exchange traded funds (ETF) as well as cryptocurrencies to French retail investors. Regulated by the German financial supervisory authority BaFin, Scalable Capital provides a secure and innovative full-service brokerage offering.
Erik Podzuweit, Founder and co-CEO of Scalable Capital: ‘The French ‘art de vivre’ is recognised and admired all over the world. Our comprehensive and easy-to-use online trading platform aims to appeal to the French investor. Investment should be simple and for everyone. By offering accounts with no minimum investment and no hidden commissions, we want to empower investors to participate in economic growth. Anyone thinking about investing should think of Scalable Capital.’
The Scalable Broker offers French clients a full-service brokerage. They gain access to over 6,000 global shares including French blue chips, US tech stocks and Asian growth shares. Since all trades are routed to regulated European exchanges and settled in euros, no foreign exchange fees are incurred. Investors can diversify their investment via more than 1,700 ETFs and 2,200 mutual funds as well as all major cryptocurrencies. The broker offers the largest universe of ETFs adhering to environmental, social and governance (ESG) criteria and tracking socially responsible investments (SRI).
Features like extended trading hours (08:00 to 22:00), free real-time price data, price alerts and many more are united in a modern and intuitive interface on web and mobile apps (iOS and Android). Multi-channel client service including tax reportings tailored to French tax laws complete the offering.
The company offers different pricing models to suit every demand: The FREE Broker offers commission-free shares and ETF savings plans and commission-free trades in over 700 PRIME partner ETFs (iShares by BlackRock, Invesco and DWS Xtrackers). Orders in other instruments start at just 0.99 euro. The PRIME Broker includes all perks of the FREE Broker plus a trading flat rate with an unlimited number of trades for a monthly fee of 2.99 euro.
Scalable Crypto offers easy, affordable and secure access to crypto investments via regulated European stock exchanges. What's unique about Scalable’s crypto offering is that it combines the security of trading on a regulated exchange with physically-backed exposure to the cryptocurrency asset class. There is no need to open a separate wallet or pay for the costly secure custody of the digital coins. The cryptocurrencies are simply held in the form of securities on the customer's existing brokerage account.
The readiness for investing in the stock market among retail clients is growing. Against a backdrop of low interest rates, more and more investors turn to capital markets and especially equity investments. Although the French are among the champions of saving, more than two thirds of the financial wealth lies in life insurance and in bank accounts according to data from the Autorité des marchés financiers (AMF). However, a study published by the AMF in December 2021, revealed that 35% intend to invest in equities, which represents a significant increase to the previous years. This percentage rises to 49% among the under-35s and to 58% among the under-25s.
Erik Podzuweit: ‘Saving for retirement can be daunting for a lot of people. We're trying to help by making investing simple so that people's hard-earned cash is not eroded by inflation. We see a lot of clients starting small but over time their investments grow into very tidy sums.‘
In light of the growing need for individuals to take control of their finances and build wealth for their retirement, the demand for simple access to capital markets is clear. While the popular Livret A is delivering returns of 1%, even with the latest increase factored in, an investment in the CAC 40 would have brought average annual returns in the previous ten years of above 10% (*net total return index CAC 40 retrieved 31st Jan 2022).
Already, over 500,000 clients trust the fintech unicorn with over 6 billion euros on its platform. Erik Podzuweit: ‘The online broker, with savings plans and crypto is only the beginning. We aim to roll out our full investment platform to the French market. We will make even more services accessible to our French clients such as our leading robo advisor.’
About Scalable Capital
Scalable Capital is a leading digital investment platform in Europe that makes investing easy and affordable for everyone. With the Scalable Broker, customers can trade shares, ETFs, funds and cryptocurrencies independently and thus compile their own portfolio. They can have their savings professionally invested via the digital wealth management service. More than 500,000 customers already use the services.
Scalable Capital was founded in 2014 and is already active in Germany, the UK, France and Austria. The investment firm, which is supervised by BaFin and the Bundesbank, has more than 6 billion euros on its platform. In addition to its business for private customers, the company develops B2B solutions. Its long-standing partners include ING, Barclays Bank in the UK, the robo-advisor Oskar and the Santander Group in Spain. Scalable Capital employs more than 380 people at its offices in Munich, Berlin and London. Together with the founding and management team around Erik Podzuweit and Florian Prucker, they work to enable everyone to become an investor.
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