Retail Trading Boom Cools as Cost-of-Living Crisis Hits Europe

  • IG Group reported 27% drop in new clients in latest quarter
  • Morgan Stanley sees downside for Avanza, Hargreaves Lansdown
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Retail trading platforms are getting hit as Europe’s cost-of-living crisis tightens purse strings for amateur investors, ending a pandemic-era boom for the sector.

UK contract-for-difference firm IG Group Holdings Plc said on Thursday that new client numbers dropped 27% in the quarter ending August 31. The trend is being replicated elsewhere, with Sweden’s Avanza Bank Holding AB reporting recently that net new customers fell 66%Bloomberg Terminal in the first half of the year.