FinecoBank FY2020 Results Show That Quality One-Stop-Solution Works
- 11.02.2021 08:59 pm
FinecoBank, one of Europe’s leading fintech banks, today reported a strong acceleration from its UK client base in the last few months of 2020, and an overall increase in active clients on brokerage. Fineco’s UK total current accounts increased by about 70% during 2020, while the ratio between active accounts on trading and total active current accounts jumped 63% from 15% in 2019.
- Overall Fineco recorded robust net profit of € 325 million in FY 2020 (+19% y/y).
- Strong revenue increase at € 776 million (+18% y/y) mainly supported by Brokerage (€ 229 million, +73% y/y) and Investing (€ 245 million, +7% y/y).
- FinecoBank has a strong and safe capital position: Cet1 (Tier 1 Capital) Ratio is 28.56%.
FinecoBank entered the UK market three years ago with a unique offering combining brokerage, banking and investment services. In January 2021 new current accounts reached already 19% of new current accounts opened in whole 2020.
Paolo Di Grazia, Vice General Manager of FinecoBank, commented: “In 2020 we have recorded a stickiness of 90% on our active clients, confirming that we are attracting not hit & run speculative and volatile customers, but experienced traders, loyal and looking for quality offer. It’s a further evidence that we chose the correct positioning. With this boost to our generated revenue, we expect to be at operational breakeven in the first quarter of 2021. Thanks to this acceleration, we now expect to reach our first target of 30-35 thousand good clients well ahead of our predictions.”
Fineco has also expanded its investment funds available to UK customers this year, clients can now access a wide variety of investment strategies, including with Jupiter, Nordea, Robeco, Carmignac, JP Morgan, Capital Group, Fidelity Investments, Aberdeen Investments, M&G Investments, Algebris and Columbia Threadneedle Investments.
Fineco plans to continue to expand its offering for UK customers this year with additional and services and expanded fund offerings and saving products.