Trading212 annual report and financial statements 2020 - Discussion

The much-annticpated full accounts have been published 3 months late. You can find them here: TRADING 212 UK LIMITED filing history - Find and update company information - GOV.UK

I’ll be reading them in full tomorrow. Does anything stand out?

4 Likes

This does:

Expects to start on boarding of Trading212 UK customers in early January 2022

11 Likes

Guess this is ok.

Screenshot_20211231-151652

8 Likes

Not Ok

I didn’t get this much returns in my portfolio why should T212 :laughing:

1 Like

OK? It’s very good, just see the YoY growth:

Net assets = +472%
Trading revenue = +2,609%
P/L before tax = +8,667%

1 Like

Meh. It’s below 500%. I expect better.

In other news happy to see some charts with axis. Don’t often get to see them when I look through reports from brokerages - looking squarely at you 'Pink’trade.

2 Likes

This could mean that T212 will end the FX fees and Card fees? :wink:

3 Likes

And I mean, this was 2020 results.
I’m excited for 2021 :hugs:

4 Likes

Havent read in detail but looks very good.

Would be interesting to compare to freetrade, II and HL as well.

1 Like

I’ve just finished a mini vid on it and I did a quick ft comparison at the end… It’s a contrast.

6 Likes

Hey Paul, just watched your video reviewing the accounts, saved me some time! Many thanks, glad I didn’t bother with free-trade!!!

Great to see 212 UK doing well, let’s have a great 2022, with plenty of upside!

Happy new year guys & girls!

I wish, but it will not happen :sob:

1 Like

Freetrade probably isn’t bad, I’ve never used it so I don’t know

In all honesty, it should set a lot of minds to rest that were sadly gullible to believe some rumours put out there. It paints a fairly rosy picture that 212 can and will continue to provide the services we currently receive, without giving away too much of any potential future development in the works.

It is actually really interesting to see that the investment book of business has grown from 21m AUM to 3bn in what 2 years, and daily transactions processed of around 1.5m. I do not think any business could have forecast that level of growth.

As my earlier post above, the accounts read they are targeting to reopen the UK to new investors soon which is good news. They must be happy that the systems upgrades put in place this year are fit for purpose and able to help support further growth. As we have all potentially seen, turnaround times for queries have shortened, there has been less noise on the forum of ‘downtime’ particularly when the US market opens. In terms of competitors, well 212 is in a much better place in terms of revenue generation and product offering. From a purely service point of view, things are much better as well.

Here’s to 2022 and beyond. Who knows, perhaps 212 will consider an IPO at some point in the not to distant future, once It has a few more years to prove out its business model, and we can all discuss in a bit more detail the financial accounts and what that translates to in respect of mcap. :wink:

5 Likes

I’m not sure IPO would be in the plan any time soon.

They look to make quite plenty of cash, with no debt whatsoever, and I’m quite certain 2021 has been quite a bit stronger than what we saw.

Why give away pieces of a highly functional business if it is entirely self-sustained? It’s not like they would need millions of capital expenditures to grow their operations either.

2 Likes

Great results, I hoped they would be good, but they exceeded all expectations. Although now I can admit that there was 0.01% fear that the Youtuber (whom we will not name) was right when he said that t212 was in trouble. Although I also hoped that IBKR could buy t212 and thus give it extra security, but with results like this it is no longer necessary.

1 Like

Just read the results in full, things that jump out - interested in hearing opinions on these points:

  1. Great profitability, most of which coming from CFDs - which as a trading/ISA customer gives me optimism that there isn’t a huge need for increased fees on that side of things

  2. Relating to point 1, it is noted there is a ‘pathway’ to monitising trading/ISA accounts. The 0.15% FX fee and the debit card debit fees have been added in 2021…hopefully that’s it for now

  3. More share capital in 2021 as well so presumably that has added more cash buffers where required

  4. What does this mean? Is it that CFD customers have gained x, and lost, giving T212 a net revenue of c£37m? If so, does that imply revenue from the trading side of the business at c£17m?

Invest/ISA has undoubtfully exploded in 2021 compared to 2020:

  1. In Jan 2020 they did not have £3 billion in assets that could be used to bring share lending revenue - in Jan 2021 they started with that.

  2. They introduced 0.7% card deposit fee in Jan 2021

  3. They introduced 0.15% FX fee in spring 2021 - this should be the most impactful change. Given the monstrous number of trades per day they process - 0.15% of the volume could potentially be a £100 mil business on its own!

If T212 were a public company… I would be really, really excited!

2 Likes

Remember this was a fee from the service provider 212 were passing on to us, not a fee they introduced and they still eat up the first 2k fees for new customers that use it. The only thing I thought missing understandably although hinted at, would be a glimpse into the looking glass for future development/expansion of services.

1 Like