Key Insights
- Trade.com has launched services in Italy after obtaining a license from the regulator Consob
- The broker is aiming for a localized Italy presence by partnering with private banks/funds
- Trade.com also unveiled a new “TRADE Challenges” program providing capital of up to $200,000 to eligible retail traders globally
MILAN (MarketsXplora) – Online trading brand Trade.com has made its entry into the Italian market after securing regulatory approval from the country’s securities watchdog Consob, while also unveiling a new capital-funding scheme targeting retail traders globally.
The broker’s Italian arm, Trade Capital Italia SIM, gained authorisation as an investment services firm to offer trading in U.S. and European equities initially, with contracts-for-difference (CFDs) to be added within months, Trade.com told MarketsXplora.
Its Italian operation will cater to both retail and institutional clients, with a focus on linking up with private banks and funds for investment advisory.
“We see Italy as a very strategic market,” said Roei Gavish, group CEO of Trade.com’s parent Trade Capital Holding. “We believe a local setup with a strong banking relationship will create a big opportunity.”
Separately, Trade.com announced the launch of “TRADE Challenges”, a trader capital-funding programme providing between $10,000 and $200,000 to eligible participants, with the broker pocketing 30% of any profits generated.
The challenge-based offering taps into rising demand for trader funding models popular with prop trading firms, as online brokers explore fresh ways to engage with and monetise their client base beyond traditional commission earnings.
Trade.com’s new product will be available via web and mobile trading platforms across Asia, Latin America, Africa, Europe, and the Middle East.
The company’s expansion into Italy comes after signalling those plans last September and follows its regulatory footprint being established in the UK, Cyprus, Dubai, South Africa, Mauritius and Spain.
It aims to passport the newly-acquired Consob licence into other European Union markets next year.
Italy joined a host of countries enacting bespoke licensing regimes for retail trading providers amid scrutiny of industry practices, with Trade.com’s rollout mirroring efforts by rival brokers to build more locally-focused operations.