Online bank Revolut has launched its asset management application

What’s new? Online bank Revolut launches its asset management app Revolut Invest. It will offer customers around 5000 assets, including US and European stocks, exchange-traded fund (ETF) shares, bonds, and commodities. As Europe’s highest-rated fintech company, Revolut will compete with Robinhood and eToro, which offer cryptocurrency trading, among others.

Material by Bloomberg

What else is known? The app is currently being tested in Greece, Denmark, and the Czech Republic, and by the end of the year, it will be introduced in other European Economic Area (EEA) countries. The plan is to double the number of assets available for trading by the same date.

Over time, the bank will expand the app to other jurisdictions including the UK, US, Singapore, and Australia.

The launch is part of CEO Nik Storonsky’s initiative to transform Revolut into a global bank offering access to all financial services and able to compete with industry giants such as JPMorgan and Barclays.

With the new trading platform, Revolut hopes to attract a wave of retail investors who have started to return to the market after key rate cuts by central banks, including the US Federal Reserve.

Revolut Invest charges a flat fee of 0,25% or 1 EUR for investments in stocks and bonds. The rate for other products may vary.

In August, Revolut’s valuation rose to $45 billion as a result of employee share sales, 2,3 times the capitalization of broker Robinhood. Revolut also plans to go public through an IPO.

The company already allows retail investors to trade on its core banking app. But with a standalone investment app, Revolut will be able to target new customers who do not already use its banking services, opening up access to a much wider group of potential customers. They will also be offered a premium Trading Pro subscription, providing reduced fees, increased limits, and analytics.

Registering with Revolut Invest is identical to registering with the bank itself. This means that Revolut Invest customers can use the full range of the bank’s services if they later download the main banking app. The bank’s customers will still be able to make investments from the main app.

According to the report, Revolut had around 45 million customers at the end of June, with more than 3 million of them already using the bank’s investment services. Assets under management have increased from 3 billion EUR to 8,5 billion EUR since the beginning of the year.

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Broker eToro last fall launched a ready-made portfolio for investing in cryptocurrencies and DeFi.

Robinhood launched a staking service and localized apps in Europe in May, and bought back $1 billion of its securities from shareholders. In July, the broker launched crypto trading in Hawaii, the Virgin Islands, and Puerto Rico.