Investment platform Selfwealth moves to No.3 largest platform, now targeting No.2

Investment platform Selfwealth moves to No.3 largest platform, now targeting No.2

After increasing active investors 809% from FY19 to FY22 and achieving near-record revenue growth in the last quarter, Selfwealth has knocked off yet another Big Four bank to take place on the podium as Australia’s third-largest investment platform.

The achievement was recognised by independent research company Investment Trends, noting that Selfwealth is closing on second place with only 1% difference in market share.

The accomplishment is monumental for Selfwealth, proving that the company’s 18-month transformation strategy to differentiate itself from discount brokers — and challenge the Big Four — is working.

Selfwealth’s gain speaks to the trust bestowed by the Australian investment community, which has been a key goal for the company from day one.

The mantra of “keeping investors in the market for decades, not days” and taking responsibility for their investment education beyond simply becoming an ‘Amazon for stocks’, has led more than 127,000 Aussie investors trusting Selfwealth with more than $8 billion in equities over ASX, US, and HKEX markets.

Selfwealth CEO Cath Whitaker said, “Our active traders are up 30% over the past year to more than 127,000, our funds under administration are up 26% to $8.2 billion and cash on the platform has continued to grow.

“We have added ESG thematics so it is easier for our cohort to invest in ethical stocks and we opened up the Hong Kong and US exchanges to provide a wider diversification of investment options.

“We will continue to innovate and are focussed on growing our market share in the wealth management space.”

Instead of focusing on taking market share from the current number two, Selfwealth is focussing on CommBank, which has 42% market share. The tactic is working: Selfwealth is acquiring millions of dollars of transferred portfolios every month. And the vast majority of those portfolios are customers leaving CommSec in favour of Selfwealth’s flat-fee model.

Ms Whitaker said the report showed Selfwealth was valued for innovation, being customer focussed and providing great value for money.

Selfwealth was founded in 2012 disrupting the share trading industry when it offered the industry’s first $9.50 fixed price trading fee. It listed on the ASX in 2017 and is one of under 1% of ASX-listed companies that have a female CEO and CFO.