BUX Zero Officially Launches in Germany and Austria

BUX announced this Monday that it has continued its European expansion by officially launching its zero-commission mobile investing app, BUX Zero, in the German and Austrian market.

BUX is a retail brokerage based in the Netherlands. The mobile investing app officially enters the new markets with already having established itself within nine European countries and 2.5 million users, the investing company said.

Commenting on the launch, Nick Bortot, Founder and CEO, BUX said in the statement: “As the economic landscape continues to change across Europe, and it becomes more difficult for younger generations to prepare for their financial future, young Europeans need better options to help them build wealth.”

“With the introduction of BUX Zero in Germany and Austria, we are offering a simplified investing experience for a new generation of investors who are looking for a convenient, inexpensive solution to put their money to work.”

The BUX Zero app is tailored for both experienced investors, as well as beginners. The trading app is powered by its own back-end broker. In addition to entering new markets, the app has been expanding its product range, by adding commission-free trading for US stocks and heading into cryptocurrencies.

COVID-19 boost for BUX

The investment app is launching within Germany and Austria during a time of heightened trading activity. As Finance Magnates reported, Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders can be successful in both low and high volatile environments, but the strategies employed are often different depending upon volatility. Why Too Much Volatility is a ProblemIn the FX space, lower volatile currency pairs offer less surprises, and are suited to position traders.High volatile pairs are attractive for many day traders, due to quick and strong movements, offering the potential for higher profits, although the risk associated with such volatile pairs are many. Overall, a look at previous volatility tells us how likely price will fluctuate in the future, although it has nothing to do with direction.All a trader can gather from this is the understanding that the probability of a volatile pair to increase or decrease an X amount in a Y period of time, is more than the probability of a non-volatile pair. Another important factor is, volatility can and does change over time, and there can be periods when even highly volatile instruments show signs of flatness, with price not really making headway in either direction. Too little volatility is just as problematic for markets as too much, we uncertainty in excess can create panic and problems of liquidity. This was evident during Black Swan events or other crisis that have historically roiled currency and equity markets. In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders can be successful in both low and high volatile environments, but the strategies employed are often different depending upon volatility. Why Too Much Volatility is a ProblemIn the FX space, lower volatile currency pairs offer less surprises, and are suited to position traders.High volatile pairs are attractive for many day traders, due to quick and strong movements, offering the potential for higher profits, although the risk associated with such volatile pairs are many. Overall, a look at previous volatility tells us how likely price will fluctuate in the future, although it has nothing to do with direction.All a trader can gather from this is the understanding that the probability of a volatile pair to increase or decrease an X amount in a Y period of time, is more than the probability of a non-volatile pair. Another important factor is, volatility can and does change over time, and there can be periods when even highly volatile instruments show signs of flatness, with price not really making headway in either direction. Too little volatility is just as problematic for markets as too much, we uncertainty in excess can create panic and problems of liquidity. This was evident during Black Swan events or other crisis that have historically roiled currency and equity markets. Read this Term, driven by the Coronavirus Coronavirus The outbreak of Covid-19 or Coronavirus in early 2020 has since redefined the financial services industry. Brokers have been forced to quickly adapt to several changes, both positive and negative.This includes the FX industry, which saw surges in volumes across the retail and institutional space in Q1 2020. This trend can be explained by an outflow of volatility, coupled with countries taking major moves to stabilize their respective economies.In conjunction with uncertainty caused by the virus, most countries also resorted to lockdowns in a bid to stifle the virus’ spread. At the time of writing, nobody knows whether this tactic will succeed in controlling Covid-19, though its early impact on financial markets is being felt already.Equity markets across most exchanges effectively crumbled by nearly a third in early 2020, with the worst being seen in March 2020. Stock markets have since rebounded, though only with the help of broad-based stimulus programs. Nowhere was this more prevalent than in the United States, with the Federal Reserve resorting to measures not used since the Great Financial Crisis. This included trillions in bond-buying purchases in a bid to stabilize the economy.The outbreak of Covid-19 also saw the collapse of the global oil market, which saw futures briefly enter into negative territory. Highly reduced demand out of China and most economies, as well as a price war between Russia and Saudi Arabia have exacerbated this trend.Effects of Covid-19 on BrokersIn the retail space, forex brokers have experienced an early surge in trading volumes in 2020. This can be explained by a large uptick in potential clients, ironically due to stay at home orders and quarantining.It remains to be seen whether this trend will hold longer term as middle-aged potential investors return to work in 2020. In terms of other operations, brokers have had to rethink traditional call centers and other mechanisms for reaching clients due to the disruption of the virus.A push for online call centers and other such support is likely to overtake other methods of dealing with clients with a vaccine as of yet not available. Longer-term, a looming recession can also potentially impact brokers with the pool of investors once again possibly shrinking. As the situation of Covid-19 is unprecedented, brokers have joined other entities in a wait-and-see mode. The outbreak of Covid-19 or Coronavirus in early 2020 has since redefined the financial services industry. Brokers have been forced to quickly adapt to several changes, both positive and negative.This includes the FX industry, which saw surges in volumes across the retail and institutional space in Q1 2020. This trend can be explained by an outflow of volatility, coupled with countries taking major moves to stabilize their respective economies.In conjunction with uncertainty caused by the virus, most countries also resorted to lockdowns in a bid to stifle the virus’ spread. At the time of writing, nobody knows whether this tactic will succeed in controlling Covid-19, though its early impact on financial markets is being felt already.Equity markets across most exchanges effectively crumbled by nearly a third in early 2020, with the worst being seen in March 2020. Stock markets have since rebounded, though only with the help of broad-based stimulus programs. Nowhere was this more prevalent than in the United States, with the Federal Reserve resorting to measures not used since the Great Financial Crisis. This included trillions in bond-buying purchases in a bid to stabilize the economy.The outbreak of Covid-19 also saw the collapse of the global oil market, which saw futures briefly enter into negative territory. Highly reduced demand out of China and most economies, as well as a price war between Russia and Saudi Arabia have exacerbated this trend.Effects of Covid-19 on BrokersIn the retail space, forex brokers have experienced an early surge in trading volumes in 2020. This can be explained by a large uptick in potential clients, ironically due to stay at home orders and quarantining.It remains to be seen whether this trend will hold longer term as middle-aged potential investors return to work in 2020. In terms of other operations, brokers have had to rethink traditional call centers and other mechanisms for reaching clients due to the disruption of the virus.A push for online call centers and other such support is likely to overtake other methods of dealing with clients with a vaccine as of yet not available. Longer-term, a looming recession can also potentially impact brokers with the pool of investors once again possibly shrinking. As the situation of Covid-19 is unprecedented, brokers have joined other entities in a wait-and-see mode. Read this Term pandemic, has seen a new wave of traders enter into the markets. Many of these are first time traders.

According to the statement, this unprecedented market activity has been a solid boost for BUX, with assets under management almost tripling in March alone. Furthermore, the trading app said it didn’t experience any system failures during this period.

BUX Zero was officially launched in the Netherlands in September last year, as Finance Magnates reported. Following its official launch announced today, the company will target France as the next phase of its European expansion plans.