A new chapter for retail traders
Capital.com has launched a dedicated stock dealing account for clients in the UK and Europe. The new account, labeled Capital.com Invest, enables customers to easily and securely invest in global stocks without paying any commission.
New and existing customers will be able to invest their capital in over one thousand popular stocks from the US and Europe. Clients are not charged a commission fee when they make an investment, or when they deposit and withdraw funds from their stock dealing account. Stock prices are quoted directly from the exchange, further ensuring clients are not charged any additional price spreads or mark-ups. Capital.com Invest will initially be made available to clients in the UK, France and Germany before it is gradually rolled out to clients across other European countries.
This launch is Capital.com’s response to evolving investment preferences and the retail market’s gradual shift towards direct stock investments. In the first quarter of 2021, Capital.com saw a 233 per cent increase in new customer accounts compared to the previous quarter. Over the same period, financial derivatives trading activity in popular stocks such as AMC, Tesla and Gamestop also picked up significantly.
Retail trading surge
In Q1 of this year, the volume of derivatives trading on TSLA (Tesla) stocks on Capital.com grew by 126% while trading on Gamestop (GME) at the height of its rally, between November 2020 to March 2021, grew by 23,000%. In Q2, the volume of derivatives trades on AMC grew 192% from the previous quarter.
“Our data clearly demonstrates that retail investors are taking advantage of the global rally in equity markets. To enable our clients to diversify beyond derivatives trading and to allow them to take a more long-term investment view, we enabled commission-free stock dealing on Capital.com. With no hidden costs or mark-ups and with no fees to pay on deposits or withdrawals, we offer investors a truly commission-free stock dealing experience. This means our clients can confidently invest directly in an underlying stock without incurring any additional costs or expenses,” said Jonathan Squires, Chief Executive Officer at Capital.com.
The launch of the Capital.com stocks dealing account is further evidence of the company’s commitment to lower the entry barriers to financial markets and to provide its clients with a secure, low-friction solution that is transparently priced and responsive to customer needs.
Commenting on today’s announcement, Viktor Prokopenya, a founding investor, said: “Capital.com has demonstrated its leading position in the fintech space by building a high-growth global business around its technology-first trading platform with over 2 million registered clients. Always responsive to market changes and putting its clients at the heart of the business, Capital.com’s commission-free stock dealing capabilities will strengthen the company’s position as one of Europe’s fastest growing investment trading platforms.”
To further support clients in their investment journey and to enable more people to responsibly and confidently participate in financial markets, Capital.com provides a wide range of educational support resources on its platform, at no extra cost.
“With the goal of improving clients’ trading performance through education, we offer our clients a convenient educational app that they can use on the go. Investmate is an all-in-one app to learn finance. We’ve designed a rich and free toolkit that includes varied learning materials, 30+ courses include short lessons that take as little as 3 minutes to complete,” added Squires.