Purple Group cuts losses as young investors embrace EasyEquities
Fintech company reduces annual after-tax loss after increasing trading revenue and more than doubling assets invested through its low-cost investment platform
Financial services disruptor Purple Group, which is chaired by Post Office CEO Mark Barnes, seems to be turning the corner after a tough two years. The company managed to cut its after-tax loss for the year to August 31 by more than half to R33.1m, from R57.9m the previous year, after increasing trading revenue and more than doubling assets invested through its low-cost investment platform EasyEquities.
The fintech firm has focused on offering some of the lowest-cost trading platforms in SA. In addition to EasyEquities, it also owns market trading platform GT247.com and Emperor Asset Management. EasyEquities, in which Sanlam bought a 30% stake last year, investing R100m in the platform, enables people to buy and sell shares in publicly traded companies directly for only 64c per R100 invested. Purple Group’s online stockbroking facility, GT247.com, charges no platform or monthly fees. Yet, despite its competitive offerings, the Purple Group has not reached its target of having ...