XTB, SII Join Forces to Elevate Polish Financial Markets
XTB, a prominent brokerage firm in Poland listed on the Warsaw Stock Exchange (WSE), has unveiled a strategic alliance with the local Association of Individual Investors (SII), which functions as a self-regulatory body. The primary objective of this collaborative effort is to enhance the standards of the Polish financial market, with a particular focus on establishing a dedicated representative for safeguarding the rights of individual investors.
Poland has witnessed a notable surge in the number of individual investors in recent years, as evidenced by the continuous growth in brokerage accounts. In light of this trend, XTB and SII believe that it is crucial to modernize and elevate the standards of stock market participants. Consequently, XTB has made substantial investments in providing free and easily accessible investor education, as well as improving market accessibility.
Paweł Szejko, a Board Member of XTB, emphasized the significance of supporting Polish investors in defending their rights. XTB has been collaborating with the Association of Individual Investors in various educational initiatives and has identified the need for additional support in this regard. To address this requirement, the concept of a Spokesperson for Individual Investors’ Rights has been proposed. This role seeks to emulate similar institutions by ensuring the protection of investors’ rights and obligations while striving for higher industry standards.
In the first quarter of 2023, XTB experienced a remarkable influx of new clients, resulting in the addition of 104,200 customers. Consequently, their total client base reached an impressive figure of 703,900, reflecting a year-over-year (YoY) growth of 46.1% and a quarter-over-quarter (QoQ) increase of over 100%.
Notably, there has been a substantial rise in the number of active clients, which saw a YoY surge of 44%. The count rose from 149,800 in Q1 2022 to 215,700 during the corresponding period in 2023. This confirms the ongoing strong advancement of retail traders and individual investors, particularly in the aftermath of the COVID-19 pandemic. At a time when people are seeking proactive means to safeguard their savings and wealth from significant inflationary pressures, the appeal of stock market participation remains robust.
XTB’s Innovative Expansion
XTB recognizes the dynamic landscape of the investment industry and the increasing demand for wealth protection against inflation. Consequently, the company has made the strategic decision to introduce a new investment-savings product before the year’s end.
In a bid to appeal to a wider audience, XTB’s CEO, Omar Arnaout, emphasized the importance of offering products that attract potential new clients, specifically excluding contracts for difference (CFDs). Arnaout stated that expanding the range of product offerings is crucial for surpassing the milestone of acquiring 40,000 to 55,000 new accounts. He firmly believes that only by introducing new products and implementing robust marketing efforts can this goal be achieved.
In a recent announcement, the publicly-listed brokerage firm revealed a change in plans regarding its proposed share buyback program. Instead, XTB has opted to distribute its record profits from 2022 in the form of dividends. The company intends to increase the dividend distribution to PLN 4.86 per share, surpassing the previously proposed PLN 3.25 per share.