بروزرسانی: 01 تیر 1404
XTB to Offer Up to 5% Interest on Idle Client Deposits
Seeking newways to expand its client base continually, Polish-origin broker XTB hasintroduced interest on uninvested funds for all clients, joining anincreasingly popular trend in the industry. As Finance Magnates learned,the publicly traded fintech will offer up to 5% interest for idle deposits inEUR, USD, GBP, and PLN.
On Mondaymorning, XTB will start a campaign promoting its new offer, where it willprovide clients the opportunity to earn interest on deposited but uninvestedfunds, the company exclusively revealed to Finance Magnates.
Interestwill be calculated daily and deposited on a monthly basis. The interest ratewill be activated automatically for all new and existing clients regardless ofthe amount of uninvested funds in their accounts.
Theinterest rate varies by country. From 6 November, a promotional offer willapply, during which the interest rate will be up to 5% for USD deposits, 3.8%for EUR, 4% for PLN, and 4.9% for GBP. After the promotion ends (which willlast until 12 November), the interest rate will be reduced to 2-2.5%, dependingon the currency.
Omar Arnaout, CEO at XTB
OmarArnaout, the CEO of XTB, in an interview with Finance Magnates, sharedthat investors can withdraw the accrued interest within five business days ofthe following month at any time. He disclosed that the company also plans toadd more currencies to the offer in the future.
"Weare working to add local currencies as well - CZK and RON," Arnaoutstated. The CEO added that the company is constantly looking for ways toprovide its clients with more passive forms of investing and earning even whenthey are not actively investing.
After ETFs, It’s Time forInterest on Idle Funds
Recently,XTB offered its clients an ETF-based product for long-term passive investing,and now it adds another savings option.
"Weare fully aware that our clients are looking for additional ways to put theirmoney to work while waiting for market opportunities to start investingactively. In line with our approach \'one app - many possibilities\', we’reoffering them a tool to benefit from rising interest rates while ensuring theliquidity of their funds," Arnaout added.
As headmits, the main goal of the broker is to constantly expand the client base,and introducing interest on uninvested capital is meant to "encouragepotential clients to set up their investment account with XTB."
The fightfor clients is clearly visible in XTB\'s latest report for the third quarter,which, despite a 29% drop in revenue due to decreasing market volatility , saw a47% growth in the number of active users.
More Companies AreOffering Interest
In anenvironment of rising interest rates, savings accounts have once again becomean interesting and safe alternative for saving money. This trend couldpotentially cause consumers to prefer keeping their cash in a deposit accountrather than in a brokerage account. As a result, neobanks and retail trading companies have started to offer interest on uninvested funds this year.
In April,for instance, Swissquote announced this in response to strong interest ratehikes in Switzerland. In September, Amsterdam-based BUX presented a similaroffer, and in the meantime, Robinhood also introduced it.
XTB\'s movemay cause more brokers in the FX/CFD industry to offer their clients a similarsolution.
Seeking newways to expand its client base continually, Polish-origin broker XTB hasintroduced interest on uninvested funds for all clients, joining anincreasingly popular trend in the industry. As Finance Magnates learned,the publicly traded fintech will offer up to 5% interest for idle deposits inEUR, USD, GBP, and PLN.
On Mondaymorning, XTB will start a campaign promoting its new offer, where it willprovide clients the opportunity to earn interest on deposited but uninvestedfunds, the company exclusively revealed to Finance Magnates.
Interestwill be calculated daily and deposited on a monthly basis. The interest ratewill be activated automatically for all new and existing clients regardless ofthe amount of uninvested funds in their accounts.
Theinterest rate varies by country. From 6 November, a promotional offer willapply, during which the interest rate will be up to 5% for USD deposits, 3.8%for EUR, 4% for PLN, and 4.9% for GBP. After the promotion ends (which willlast until 12 November), the interest rate will be reduced to 2-2.5%, dependingon the currency.
Omar Arnaout, CEO at XTB
OmarArnaout, the CEO of XTB, in an interview with Finance Magnates, sharedthat investors can withdraw the accrued interest within five business days ofthe following month at any time. He disclosed that the company also plans toadd more currencies to the offer in the future.
"Weare working to add local currencies as well - CZK and RON," Arnaoutstated. The CEO added that the company is constantly looking for ways toprovide its clients with more passive forms of investing and earning even whenthey are not actively investing.
After ETFs, It’s Time forInterest on Idle Funds
Recently,XTB offered its clients an ETF-based product for long-term passive investing,and now it adds another savings option.
"Weare fully aware that our clients are looking for additional ways to put theirmoney to work while waiting for market opportunities to start investingactively. In line with our approach \'one app - many possibilities\', we’reoffering them a tool to benefit from rising interest rates while ensuring theliquidity of their funds," Arnaout added.
As headmits, the main goal of the broker is to constantly expand the client base,and introducing interest on uninvested capital is meant to "encouragepotential clients to set up their investment account with XTB."
The fightfor clients is clearly visible in XTB\'s latest report for the third quarter,which, despite a 29% drop in revenue due to decreasing market volatility , saw a47% growth in the number of active users.
More Companies AreOffering Interest
In anenvironment of rising interest rates, savings accounts have once again becomean interesting and safe alternative for saving money. This trend couldpotentially cause consumers to prefer keeping their cash in a deposit accountrather than in a brokerage account. As a result, neobanks and retail trading companies have started to offer interest on uninvested funds this year.
In April,for instance, Swissquote announced this in response to strong interest ratehikes in Switzerland. In September, Amsterdam-based BUX presented a similaroffer, and in the meantime, Robinhood also introduced it.
XTB\'s movemay cause more brokers in the FX/CFD industry to offer their clients a similarsolution.
منبع: https://www.financemagnates.com//forex/exclusive-xtb-to-offer-up-to-5-interest-on-idle-client-deposits/