XTB Hits Milestone of 200,000 Clients in Poland's Brokerage Sector

Monday, 11/12/2023 | 22:20 GMT by Damian Chmiel

The fintech is currently the third-largest brokerage house on the Polish stock exchange.

The company's share price rose to 4-month highs after reaching the new accounts milestone.

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In November 2023, the publicly listed XTB surpassed 200,000 open accounts in the Polish stock exchange, becoming the third-largest brokerage house in its home country. This milestone means that one in four of the 847,000 accounts managed by this fintech company worldwide belongs to clients from the largest economy in Central and Eastern Europe (CEE).

XTB Surpasses 200,000 Retail Clients in Poland

The news of XTB's significant milestone in the Polish market was first reported last Friday and confirmed on Monday by data from the National Depository for Securities. In November, XTB acquired nearly 14,000 new clients, also marking a significant increase of 74,000 clients compared to the previous year.

This rapid retail traders accumulation makes XTB not only the third-largest brokerage house in Poland (trailing the second, BM Pekao, by only 4,000 accounts) but also the firm that is gaining new clients most dynamically. 78% of all new accounts opened in Poland in November belonged to XTB, compared to 62% from the previous year.

Position	Company	Number of accounts (Nov 2023)	MoM change	Yoy change
1	mBank S.A. Biuro Maklerskie	431 053	1 649	15 942
2	BM Pekao	205 523	-176	1 105
3	XTB S.A.	201 056	13 797	74 386
4	ING Bank Śląski S.A. Biuro Maklerskie	183 778	379	6 087
5	BM PKO BP	152 096	402	3 657

„We have products for both active investors and those preferring passive strategies. Therefore, our growing position in the stock market is a natural development,” Omar Arnaout, the CEO of XTB, commented for Finance Magnates.

The market responded quickly to this news, with XTB's shares on the Warsaw Stock Exchange growing up to 7% in two days, reaching their highest levels since mid-August, which is a four-month high.

XTB shares on the WSE. Source: Tradingview.com

Arnaout attributes part of this dynamic expansion to introducing passive solutions to their offerings, which include interest on idle client deposits and "investment plans" based on ETFs.

"XTB is a one-stop-shop for every investor willing to take investments in his own hands,” Arnaout added.

Poland, XTB's country of origin, is a significant part of the broker's offerings and revenues. Approximately 25% of the 847,000 clients served globally by XTB are from this CEE country.

Impact of the New AI Department on Revenues

At the end of November, XTB announced the launch of a new artificial intelligence (AI) department, headed by Tomasz Gawron. This AI team is responsible for developing solutions that support the business operations and trading platforms of the publicly listed company.

In addition to new passive products, AI solutions are expected to help maintain XTB's high momentum in acquiring new clients and boost revenues, which saw a drop of 29% in the third quarter due to decreasing market volatility .

"Our main goal is to ensure that the XTB investment app offers the widest possible range of investment products together with the highest level of technology,” Arnaout concluded.