At retail banks, inducements account for 30-50% of investments revenues
Share of revenue streams in retail investments at universal banks
Given the changing European investment landscape, banks and brokers should be asking:
How can we develop a future-proof offering and revenue model that ensures sustained growth and meets customer demands?
The retail investment boom observed during the pandemic has leveled off slightly in recent times, and so has trading activity. Payment for order flow is set to be banned, and this practice must be phased out by mid-2026. Additionally, inducements are facing continuous regulatory pressure.
In this series of articles, our industry experts share insights, lessons from case studies, and cutting-edge approaches to help banks and brokers in future-proofing their investment offerings and revenue models against these challenges.
Retail Investment Study 2024
Are business models at a tipping point? Our recent Retail Investment Study examines the shifts in retail investor behavior, emerging trends, and the impact of regulatory changes on investment providers for the European market.
EU Retail Investment Strategy
What are the legal and commercial implications for investment providers?
Latest developments suggest that a Europe-wide inducement ban will, at the very least, be significantly postponed.
Nevertheless, it remains a strategic necessity to have a plan B in place, as various European players have already transitioned to an inducement-free model, and several local regulators have independently imposed bans.
Our Offering
We have a deep understanding of the diverse needs among different customer segments and optimize our FS clients’ offering landscapes accordingly
We build holistic wealth management apps and provide end-to-end support in developing hybrid advice solutions, from proposition design through UX design to revenue model development
Our team creates future-proof revenue models (incl. inducement-free monetization models) to adapt to regulatory and competitive pressures
We help deepen customer relationships and achieve superior cross- and up-selling rates via smart loyalty schemes and incentive models
We develop marketing strategies and strategic and operational KPIs for our clients. We then apply growth hacking methodologies to boost performance of certain marketing channels or activities
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Cologne, Germany
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Zurich, Switzerland
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Frankfurt, Germany
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Munich, Germany
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Frankfurt, Germany
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Hamburg, Germany
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Cologne, Germany
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Zurich, Switzerland
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Zurich, Switzerland
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Munich, Germany
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Milan, Italy
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London, UK
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Copenhagen, Denmark
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Warsaw, PolandFind out more
The retail investment market is undergoing a transformation. Banks and brokers in the European market need to act fast to protect their profitable growth.
With our industry experts and hands-on approach, we will help your business achieve sustainable growth in today’s challenging market.