Two Lithuanian Firms Overtake All of Cyprus to Serve Nearly a Third of EU Retail Investors

Only two Lithuanian investment companies report to ESMA on their cross-border operations, but they have more cross-border retail clients than 78 firms from Cyprus.

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According to ESMA’s recent report, investment firms based in Lithuania served 4.9 million cross-border retail clients in 2025, accounting for 31% of the 15.5 million clients.

Thus, the Lithuanian jurisdiction overtook Cyprus, a traditional European hub for financial and investment service providers, which served 4.2 million clients, or 27% of the total number.

Two Firms Added 2.3 Million Cross-Border Clients

In just three years, the number of cross-border clients served by Lithuania-based investment firms skyrocketed from nearly zero (500 customers) in 2022 to 4.9 million in 2025.

However, a year earlier ESMA counted one Lithuania-based firm, which accounted for 2.6 million clients.

In 2025, the number of reporting firms increased to two, while their combined client base rose by nearly 90% with an average of approximately 2.4 million clients per firm, the highest of any jurisdiction covered by the report.

One of the two Lithuania-based firms ranked among Europe’s five largest cross-border providers by client numbers. ESMA separately reported that one Lithuanian firm served retail clients in all 29 other EU and EEA countries, although it did not say whether both findings referred to the same company.

ESMA did not name the companies, but Bank of Lithuania records suggest the established provider is likely Revolut Securities Europe. Robinhood Europe appears to be the most plausible second firm.

Its annual report confirms that it received a Lithuanian MiFID licence in April 2025 and completed passporting before launching stock-token derivatives and crypto perpetual futures across parts of Europe on June 30.

However, Robinhood does not disclose a corresponding European client count, preventing a definitive identification or allocation of the 4.9 million total.

Digital Platforms Dominate Cross-Border Distribution

The Lithuanian figures underscores how concentrated the European market is.

Europe’s five largest cross-border investment firms served 70% of reported clients. The top 10 controlled 82%, while the top 20 accounted for 91%. The remaining 329 firms collectively served less than 4%.

The service mix partially helps explain how digital platforms can reach that scale. Execution services were provided to 87% of active cross-border clients, compared with 11% for portfolio management and less than 1% for investment advice. None of the five largest firms offered investment advice.

For brokers, the figures underline the distribution advantage of execution-led platforms that can passport one licence across Europe without building a separate local operation in every market.

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Client Growth Outran Complaints

The two Lithuanian firms received 2,251 complaints in 2025, an increase of 44%. Because their reported client base grew much faster, this equalled approximately 46 complaints per 100,000 clients, below the European average of 71.

ESMA cautioned against interpreting the decline in relative terms as evidence of better outcomes. If many clients joined during the second half of the year, complaints may not yet have had time to emerge.

The report excludes domestic and branch business, while the same person may be counted by more than one provider.

The 2025 figures establish Lithuania as Europe’s largest home jurisdiction by cross-border client numbers, but not how those clients were divided between its two firms.

The next reporting cycle should show whether the latest increase represents continued expansion by the established market leader, a meaningful contribution from the new entrant, or both.