Lightyear rolled out an automated investing feature that lets users schedule recurring contributions toward specific financial targets, responding to data showing most Europeans fail to follow through on their financial plans.

Lightyear Adds Automated Feature as Europeans Struggle to Meet Financial Goals

The platform's new tool allows investors to build portfolios of stocks and funds aligned with particular goals, then automate regular purchases into those holdings. Users can set custom allocations for each investment and establish recurring contributions on their preferred schedule.

“Plans support recurrently placing money in the stock market, helping easily create a habit out of investing – simple enough for everyone to get started and stick with for the long term,” said Martin Sokk, CEO of Lightyear.

The feature supports fractional purchases of European stocks and exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term-traded funds, which recently became available on the platform. This allows investors to divide smaller amounts across multiple holdings rather than needing enough cash to buy full shares.

Follow-Through Rate Lags Intentions

A report from the European Financial Planning Association found that while 65% of respondents have long-term financial goals and 86% say financial health matters to them, only 15% of those with goals actively work toward them. One-third of survey participants rated their investing knowledge as low, and 29% said the same about pensions.

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The study, which gathered responses from more than 14,000 adults across 10 European countries between April and July of this year, pointed to confidence gaps as a barrier to action. Many respondents acknowledged understanding basic budgeting and saving concepts but struggled with investment products and retirement planning.

Lightyear's internal survey of more than 2,000 customers showed similar patterns. Passive investing strategies dominated among users, with 60% citing that approach as their primary method. Most – 88% – said they invest toward set goals, and over one-third maintain a mix of short-, medium- and long-term objectives.

Competition Grows for European Retail

The product launch comes as digital investment platforms compete for retail customers across Europe. Lightyear, founded by two former Wise employees in 2020, has raised $58 million from backers including Nordic Ninja, Lightspeed Venture Partners and Mosaic Ventures. Individual investors in the company include Richard Branson and Wise co-founder Taavet Hinrikus.

“Different financial goals require different approaches – in terms of instruments used to reach them, but also in how often and for how long you invest for them,” Sokk said.

Paul Murphy, a partner at Lightspeed Venture Partners, added the European research highlighted demand for simpler options.

5"It's clear people want to be financially successful and secure their futures, but it's been made too difficult by expensive solutions which turn people to believe financial wellbeing is far out of their reach," he said.

The Estonian Financial Supervision Authority regulates the company's European operations, while the U.K. Financial Conduct Authority oversees its British arm. Lightyear maintains offices in London and Tallinn.

Back in July the fintech secured $23 million in Series B funding while reaching $1 billion in customer assets under management (AUM).