Forex Trading

XTB Introduces Social Trading, Focusing on Investor Engagement


Continuing
with the roadmap announced at the beginning of 2024, XTB is introducing another
new service to its offering, this time based on social trading. As part of the XTB Social product, users can follow the most successful
investors, review their own statistics and portfolio composition, and receive
personalized notifications about transactions.

In a conversation with Finance Magnates, XTB admitted that it was looking for a solution that would “meet expectations in the context of social features” and, at the same time, “allow users to follow other people’s investments.”

The launch
of XTB Social marks another milestone in the company’s product developments this
year
. In recent weeks, XTB’s clients gained the ability to exchange currencies
between their investment accounts.

Now, the
investment app has been enriched with social features allowing customers to follow the best investors, check their investment statistics, and share
user profiles with friends. The company also promised to introduce bond trading
this year.

Omar Arnaout, the CEO of XTB

“Social
aims to fill a gap that we perceive in the financial market,” Omar
Arnaout, the CEO of XTB, emphasized the growing popularity of user
engagement-based social features.

XTB Social enables users to follow top investors and friends investing with
the broker, providing insights into their portfolio composition, transaction
history, and investment statistics. At present, the new service will only be available in Poland, with plans to expand to other markets soon.

The leaderboard ranking is based on an
algorithm that considers portfolio profitability relative to risk and
other criteria, such as diversification, concentration, and risk levels. The
service further allows users to receive notifications about transactions made by
the investors they follow.

“Social
is a service that will help our clients develop their own investment
strategies,” added Arnaout.

Social
trading will be another addition to XTB’s offering after the company started to
more heavily promote passive investments, including ETFs. To this end, a month
ago, it entered into a partnership with BlackRock, the $10 trillion giant of
the fund market
.

It Won’t Be Copy Trading

Finance
Magnates
spoke with
XTB representatives about the details of the new offering. As the press
spokesman admitted, XTB Social will have nothing to do with copy trading, and
there are currently no plans for the service to evolve in that direction.

“When
we tested Social before its launch, it turned out that users were most eager to
follow their own statistics as well as the results and transactions of their
friends,” XTB explained. This means that beta testers preferred to focus
on the results of friends and personal acquaintances rather than more
experienced investors.

XTB has
long “resisted” introducing social trading, unlike its competitors.
However, as it explains, it wanted to create a solution based on “original
ideas and its own technology.” Furthermore, the fintech promises that XTB Social will be a completely different service from the
social trading tools offered by, for example, eToro, the leader in this branch
of retail trading .

“We
focus exclusively on the social aspect,” the XTB spokesman summarized in a
conversation with Finance Magnates.

Back in
January, XTB released preliminary financial results for 2023, which the company
confirmed this week. The report highlighted a surge of 51% in the number of active
clients
to 311,971 and a net profit of PLN 791.3 million.

Continuing
with the roadmap announced at the beginning of 2024, XTB is introducing another
new service to its offering, this time based on social trading. As part of the XTB Social product, users can follow the most successful
investors, review their own statistics and portfolio composition, and receive
personalized notifications about transactions.

In a conversation with Finance Magnates, XTB admitted that it was looking for a solution that would “meet expectations in the context of social features” and, at the same time, “allow users to follow other people’s investments.”

The launch
of XTB Social marks another milestone in the company’s product developments this
year
. In recent weeks, XTB’s clients gained the ability to exchange currencies
between their investment accounts.

Now, the
investment app has been enriched with social features allowing customers to follow the best investors, check their investment statistics, and share
user profiles with friends. The company also promised to introduce bond trading
this year.

Omar Arnaout, the CEO of XTB

“Social
aims to fill a gap that we perceive in the financial market,” Omar
Arnaout, the CEO of XTB, emphasized the growing popularity of user
engagement-based social features.

XTB Social enables users to follow top investors and friends investing with
the broker, providing insights into their portfolio composition, transaction
history, and investment statistics. At present, the new service will only be available in Poland, with plans to expand to other markets soon.

The leaderboard ranking is based on an
algorithm that considers portfolio profitability relative to risk and
other criteria, such as diversification, concentration, and risk levels. The
service further allows users to receive notifications about transactions made by
the investors they follow.

“Social
is a service that will help our clients develop their own investment
strategies,” added Arnaout.

Social
trading will be another addition to XTB’s offering after the company started to
more heavily promote passive investments, including ETFs. To this end, a month
ago, it entered into a partnership with BlackRock, the $10 trillion giant of
the fund market
.

It Won’t Be Copy Trading

Finance
Magnates
spoke with
XTB representatives about the details of the new offering. As the press
spokesman admitted, XTB Social will have nothing to do with copy trading, and
there are currently no plans for the service to evolve in that direction.

“When
we tested Social before its launch, it turned out that users were most eager to
follow their own statistics as well as the results and transactions of their
friends,” XTB explained. This means that beta testers preferred to focus
on the results of friends and personal acquaintances rather than more
experienced investors.

XTB has
long “resisted” introducing social trading, unlike its competitors.
However, as it explains, it wanted to create a solution based on “original
ideas and its own technology.” Furthermore, the fintech promises that XTB Social will be a completely different service from the
social trading tools offered by, for example, eToro, the leader in this branch
of retail trading .

“We
focus exclusively on the social aspect,” the XTB spokesman summarized in a
conversation with Finance Magnates.

Back in
January, XTB released preliminary financial results for 2023, which the company
confirmed this week. The report highlighted a surge of 51% in the number of active
clients
to 311,971 and a net profit of PLN 791.3 million.



Source link

Leave a Response