XTB has entered into a partnership with BlackRock, the world’s largest asset manager. The partnership aims to promote savings and capital growth among retail investors through the use of exchange-traded funds (ETFs).
The collaboration will kick off in Spain, where XTB aims to address the relatively low savings rates among consumers compared to their income levels. According to Euromonitor, the savings-to-income ratio in Spain was just 5.8% in 2023. Javier Urones, the Head of Sales for XTB Spain, stated that the partnership seeks to instill a culture of saving and capital management, promoting investment plans based on ETFs and raising awareness about the latest investment solutions.
Also, XTB introduced “Investment Plans” based on ETFs in September of the previous year, targeting investors seeking safer and more passive forms of investing. The company’s focus on automated ETF-based investment plans aligns with the global trend of increasing interest in low-cost and transparent investment options.
XTB & BlackRock Partnership to Boost ETF Adoption
Moreover, Silvia Senra, the Digital Distribution Director at BlackRock’s Spanish branch, emphasized the popularity of ETFs as a transparent, low-cost, and easy-to-understand starting point for millions of Europeans venturing into investing for a better financial future. Data from XTB indicates that nearly 25% of its Spanish clients already invest regularly in ETFs.
Furthermore, XTB has experienced a surge in the popularity of ETF index funds among its platform users in Poland, with the percentage of users purchasing such funds increasing from 8% in 2020 to 24% in 2023. The company’s move to introduce interest on idle deposits, offering up to 5% interest to new customers, reflects its commitment to competing with traditional banks and financial institutions in the savings account market.
Also, XTB expanded its offering to include BTC ETN (Exchange Traded Note) as an alternative to bitcoin ETFs listed in the United States. This move comes after the fintech initially offered cryptocurrencies only in the form of Contracts for Difference (CFDs), but it has now expanded its offerings to include three cryptocurrency exchange-traded instruments listed in Europe.
XTB and BlackRock expressed optimism about their collaboration, seeing significant potential in jointly reaching more European consumers. The partnership aims to provide education and tools to enhance long-term investing and savings habits across the continent.
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