Trade Republic launches fractional investments

Trade Republic lancia gli investimenti frazionati thumbnail

Trade Republic announces the arrival on the platform of the fractional investments. With this new tool, you can buy one real fraction of a stock or ETF, starting from any amount. You will have the opportunity to diversify as much as possible, but without giving up the same rights and the same spread as the entire stock.

Trade Republic announces fractional investments

The fractional investment allows to diversify the portfolio even for those who want to bet a smaller budget on the shares that are most interesting. In fact, with only the entire titles the users coSmall budgets are forced to invest in fewer stocks, increasing risks.

Invest, as he explains Christian Hecker, co-founder of Trade Republic, with “With Fractional Investing we are pushing forward the democratization of wealth. This feature allows everyone to participate in the success of companies with expensive shares like Tesla, Adyen or Booking.com. The high prices of some securities are one of the main reasons why many small savers believe they do not have enough capital to invest. With fractional investments we will make investments more accessible to all: our clients can now buy any stock with any budget ”.

Trade Republic is the first European broker to provide this service in the European Union. A service that as it explains Marcel Nikaj, Product Director of Trade Republic: “It is a real innovation in the European financial markets. The whole action concept is a holdover from the past. In the digital age, one expects to be able to control the full amount of each purchase “.

Furthermore, Nikaj explains that: “Our offering combines the advantage of fractional shares with the safety of a fully owned asset. The underlying security is purchased by Trade Republic and its ownership is shared among a group of clients, so all warranties and rights are retained. Trading takes place with the same spread as on the entire security. Allow the Real-time fractional trading is a major technological challenge, in which we have invested a lot of ricerse”.

Find more information about it on the Trade Republic website.