In the United States, Revolut has expanded its offerings by providing commission-free stock trading services to its American clientele. The firm is shooting for a “financial supperapp.”
The new app will enable the trade of around 1,100 listed equities and 200 exchange-traded funds (ETFs). Customers will also be able to trade full or fractional shares.
United Kingdom customers of Revolut, which has 18 million users, can now use the firm’s share trading services. In March 2020, the business entered the US market as a bank app and obtained a broker-dealer license in September 2021 for offering share trading services.
Nik Storonsky, the Co-Founder and CEO, said Revolut’s main objective in the United States over the previous 18 months has been to design an app that meets the financial demands of today’s American consumer. Adding stock trading is a logical next step in this process.
“We consider stocks to be significant financial investments therefore we’ve created a user-friendly product that provides consumers with all of the information they need to trade confidently.” He added
With the introduction of new services, Revolut will go head-to-head with Robinhood, Charles Swab, and a few other notable American companies that already provide zero-fee stock trading platforms in the country.
The Canadian stock trading platform, on the other hand, is already covered by stringent rules and regulations. It will also utilize the controversial Payment for Order Flow (PfOF) model to generate money through commission-free stock trading services. Interestingly, the US financial market regulator has expressed concern about this method and is now contemplating whether or not to outlaw it.
Gabriel Vallejo, Head of Revolut’s wealth and trading team in the United States, said the firm is ready for regulatory rule changes.
In its most recent financing round, the firm was valued at $33 billion, making it one of the world’s leading fintech platforms. The company focuses on growth in Europe and has provided banking services in almost all of the European Economic Zones (EEA), except for a few countries.