Raisin targets neobrokers with ESG-centric ETF trading platform
Over 200 ETFs and funds at launch, including 30 ESG funds and a pre-fabricated ESG portfolio.
Image Source: Kim Felix Fomm / Raisin
Fintech Raisin takes another step to expand its offering in Germany, today launching a “ hybrid-robot ” trading platform that allows investors to pick and choose ready-to-use ETFs.
Raisin deploys what it calls an “ETF Configurator” giving its clients access to over 200 ETFs and index funds such as Amundi, iShares, Lyxor and Vanguard.
Its trading platform deliberately excludes individual stocks and stocks because, as Kim Felix Fomm, chief investment officer of Raisin, put it AltFi, “We believe that private investors should not choose stocks.”
Raisin was launched in 2014 as a depository market, but has since expanded to offer investments, including robotics advice, pensions, and now trading.
Fomm said the leading neo-broker trade republic in Germany has grown tremendously, but serves “people who certainly don’t have a lot of investment experience.”
“[Raisin’s] the idea is to serve a segment that likes to choose their own ETFs, that likes to think about investments, but sees that there is really nothing to be gained by checking their [share] portfolio every day and do all the trading themselves.
As the configurator is ETF specific, Raisin’s annual management fee is only 0.43% (plus fund fees) and clients can start investing with just € 500 or € 50 per month.
FinTech also includes over 30 ESG (environmental, social, governance) funds on the platform since launch, and is soon adding a pre-built ESG ETF portfolio for socially aware investors to begin their investment journey.
The ESG portfolio offers exposure to around 600 individual stocks and is broadly and globally diversified, taking into account not only environmental impact, but also working conditions and tax transparency.
About Introducing Raisin’s Investment Offering in New Markets, Fomm Said AltFi that “the United Kingdom will probably be the first market we will look at in Europe, because our deposit activity [there] is our second largest after German [market]. “
Fomm has warned that for 2021, Raisin has no plans to expand the service in the UK.