Source: Sharecast
Freetrade allows customers to trade in stocks, bonds and other asset classes via an app on their phones. It currently has 720,000 customers and has £2.5bn in assets under management.
“This is a rare opportunity to strengthen IG’s UK trading and investments offering and broaden our target addressable market,” said IG Group chief executive Breon Corcoran.
“Freetrade is one of the most successful emerging players in the UK direct-to-customer investment market, with a strong brand, highly scalable technology and delivering rapid growth.”
Freetrade’s leadership team, including Viktor Nebehaj, chief executive and co-founder, will remain with the firm and continue to scale the business, the company added.
IG said the UK direct investing market had grown at 10% compounded annually and was forecast to grow strongly reflecting structural drivers.
"These include the growing popularity of self-directed investing, greater individual responsibility for retirement planning, increased pension freedoms, growing financial literacy, digitalisation of services and demand for better value propositions."
Reporting by Frank Prenesti for Sharecast.com