8 February 2024 With the first launch of its products to Polish future retirees, XTB is now looking to enter a more competitive market。In a conference call, the company's CEO revealed that the fintech company wants to offer personal savings accounts (ISAs) to UK savers.。

XTB wants to enter the 400 billion pound market

At the end of January, XTB released its 2023 results report, before its share price soared to an all-time high.。In addition to updating the active customers increased to nearly 31.In addition to the news of 20,000 people, the company also proposed a roadmap for new products in 2024.。In addition to the social trading and bond business, there is one real benefit for thousands of Polish savers: IKE and IKZE retirement accounts。

While not detailed, both accounts allow Poles to save money or invest it in the financial markets while offering additional long-term tax benefits.。In total, nearly 1.5 million people in Poland have such accounts, which grew in value to a record 23 billion zlotys ($5.7 billion) last year.。

However, on the conference call the next day, it turned out that IKE and IKZE were not all。The fintech company is also eyeing a larger retirement and savings market, the UK's ISA。

XTB CEO Omar Arnaout said: "In last year's and this year's budget, we wanted to fight for this market again because we finally have something to compete with.。"

Twenty-seven million people in the UK have an ISA, definitely more than Poland, with a total value of £400 billion in stock and share savings accounts.。You can invest up to £20,000 a year without paying capital gains and dividend tax。

XTB Expects Strong Acceptance of ISA

XTB UK CEO Joshua Raymond confirmed that XTB is preparing to launch an ISA in the UK market and will submit a licensing application soon.。And it's an uphill battle。In addition to existing ISAs, "there are almost 12 million ISA subscriptions in the UK each year, which presents a huge opportunity for XTB to operate in this market."。"

XTB will attract new customers mainly through its modern application and no commissions for stocks and ETFs with monthly transactions below €100,000.。However, the company did not say what the specific products offered in the savings account were, mentioning: "We are working out the details.。"

Raymond added: "The ISA account marks the next milestone in our UK product pipeline, which already includes ETFs, equities, investment schemes and CFD products.。We believe that these product ranges are suitable for customers of all investment styles, whether they are traders, long-term investors or customers who prefer active or passive investment。"

While Arnaout told a press conference: "The UK market is not a priority for the company," the UK director's view is naturally quite different.。He claimed that XTB intends to "increase its market share in the UK"。

When asked if XTB plans to launch similar products in other markets after the launch of IKE and IKZE in Poland, he admitted that the company definitely intends to "explore other possibilities," including pan-European personal pension products.。

IKE/IKZE vs ISA

IKE and IKZE are Polish retirement accounts with age restrictions but tax benefits for retirement savings, while the UK's ISA is open to people of any age and is limited to tax-free growth within the annual investment limit.。

"They are all special-purpose investment accounts that offer tax benefits.。In general, these products are similar, but the details vary from country to country; therefore, there is no single solution for all markets, "Raymond explained。

So while both offer some tax incentives, IKE and IKZE are specialized retirement plans with age requirements, while ISA is a more flexible general investment account with no age limit.。The key similarity is that both offer options for tax-advantaged investments in retirement planning that comply with the laws and regulations of their respective countries.。