OpenMarkets closes out Big Bank to take No.4 retail stockbroker position
OpenMarkets has overtaken nabtrade by traded value, becoming Australia’s fourth largest retail stockbroker for the first time. In September 2020, OpenMarkets recorded trading volumes of $4.3b, blitzing 23% ahead of nabtrade and edging closer to CommSec, illustrating the continued movement of retail traders away from the Big Four banks.
This growth is largely driven by OpenTrader, OpenMarkets Group’s new online trading platform, as well as the impressive recent performance of long-term partner SelfWealth and newcomers like Superhero.
OpenMarkets is Australia’s largest independent retail stockbroker and has seen consistent growth since Australian tech entrepreneur Ivan Tchourilov took over as Managing Director in December 2019, capitalising on user surges and industry innovation. OpenMarkets trading volumes have seen a 2.4x increase, taking its market share from under 5% in March to 7.25% of the current retail flow, according to IRESS trade data.
“We’ve always aspired to be an industry leader, challenging the old way of doing things and the traditional banking providers that have held a monopoly in trading. The September results demonstrate that the hard work of our trading partners and our team’s dedication to innovation is seeing OpenMarkets aggressively take market share from the competition – this month had 10% more turnover than in March 2020, when retail volumes were 33% higher,” said Tchourilov.
OpenMarkets’ partners congratulated OpenMarkets on its growth, reaffirmed their commitment to the relationship and commented on the rise of digital trading platforms.
“Superhero’s technology has combined the benefits of the CHESS system with the regulated assurances of a nominee structure to provide asset security, execution efficiency and cost savings. Our partnership with OpenMarkets has reinforced our structure and technology which enable us to service our customers,” said John Winters, Superhero Co-Founder & CEO.
“Structural changes to investment markets have had dramatic effects on investor behaviours which has in turn fuelled the incredible growth of digital trading platforms. The digitisation of investment markets, an enduring trend, has been accelerated in the current environment as a new generation of investors with increasing access to information and more time to spare given the covid-19 restrictions have entered the share market,” said Rob Edgley, SelfWealth Managing Director.
“We see our partnership with OpenMarkets as much more than just clearing, settlement and execution services. We hope that in the next few years, OpenMarkets can provide SelfWealth with the opportunity to fast track additional investment products onto our platform to be made available to our clients,” continued Edgley.