Freetrade Loss Widens to £24.4 Million in First Year Under IG Ownership
UK retail investment platform Freetrade reported a pre-tax loss of £24.4 million for the year ending December 31, 2025, more than tripling its previous year's deficit. This financial performance marks the company's first full year under the ownership of IG Group, which acquired Freetrade for £160 million in April 2025. The widened loss was primarily driven by £16 million in acquisition-related costs, including loan redemption premiums and transaction fees, alongside increased marketing expenditures and rising wages. Despite the deeper loss, Freetrade achieved double-digit revenue growth of 10% to £31 million, fueled largely by foreign exchange conversion fees and interest income. Assets under administration climbed 34% to £3.3 billion, with net new funding reaching a record £457 million. The platform expanded its product offerings to include UK gilts, crypto exchange-traded notes, and mutual funds. However, Freetrade faces intensifying competition in the UK market from rivals like Robinhood and Webull, who have recently launched competitive ISA products. The company plans to introduce a Junior ISA and new app features in 2026 to strengthen its market position amidst this crowded landscape.
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Freetrade Loss Widens to £24.4 Million in First Year Under IG Ownership
UK retail investment platform Freetrade reported a pre-tax loss of £24.4 million for the year ending December 31, 2025, more than tripling its previous year's deficit. This financial performance marks the company's first full year under the ownership of IG Group, which acquired Freetrade for £160 million in April 2025. The widened loss was primarily driven by £16 million in acquisition-related costs, including loan redemption premiums and transaction fees, alongside increased marketing expenditures and rising wages. Despite the deeper loss, Freetrade achieved double-digit revenue growth of 10% to £31 million, fueled largely by foreign exchange conversion fees and interest income. Assets under administration climbed 34% to £3.3 billion, with net new funding reaching a record £457 million. The platform expanded its product offerings to include UK gilts, crypto exchange-traded notes, and mutual funds. However, Freetrade faces intensifying competition in the UK market from rivals like Robinhood and Webull, who have recently launched competitive ISA products. The company plans to introduce a Junior ISA and new app features in 2026 to strengthen its market position amidst this crowded landscape.
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