Market Size of E-Brokerage Industry in the United Kingdom
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 693.77 Million EUR |
| Market Size (2029) | USD 797.76 Million EUR |
| CAGR (2024 - 2029) | 2.83 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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UK E-Brokerage Market Analysis
The E-Brokerage Market in the United Kingdom Market size is estimated at EUR 693.77 million in 2024, and is expected to reach EUR 797.76 million by 2029, growing at a CAGR of 2.83% during the forecast period (2024-2029).
E-brokerage or an online broker is a broker that works with their clients via the Internet instead of in a brick-and-mortar location. Those who are involved in online trading will often hire these professionals or firms to assist them in purchasing and selling stock. An online broker acts as a liaison between their client and tradable securities. They also act as the middleman to help their clients purchase stock and sell to other investors. In most cases, a person hiring an online broker is hiring a firm, but there are online brokers who provide client-based services. An online broker performs the same liaison duties as a brick-and-mortar broker, but they never see their clients face to face and perform all their duties online. In its most basic terms, the definition of an online broker is a trading provider who offers access to a digital platform, to help their clients buy, sell, and trade stocks.
Investors increase their trading activities as the COVID-19 pandemic unfolds, both at the extensive and at the intensive margin. The number of investors who first open an account with the broker increases, while at the same time established investors increases their average trading activities. Investors, on average, significantly increase their weekly trading as the number of COVID-19 cases doubles. Investors open more stock and index positions, but do not move to safe-haven (gold) or particularly 'risky' (CFDs on stocks, cryptocurrencies) investments. The increase in trading is especially pronounced for male and older investors. Investors also marginally increase their tendency to engage in short selling. Stock trading increases most for industries that tend to be losers as the crisis progresses. Here, especially travel-related industries are exposed to early short selling at the beginning of February, in line with the notion that retail short selling has predictive ability for future stock returns.
