Lloyds Banking Group is the first UK bank to adopt fintech platform PrimaryBid’s innovative Fuse platform to expand access to UK capital markets transactions for customers.
This partnership will enable significantly greater participation for customers of Halifax Share Dealing, Lloyds Bank, Bank of Scotland, and IWeb Share Dealing in IPOs and other UK public company capital raises (both equity and debt).
Customers will have a co-branded introduction to primary markets with access to additional educational material to help them on their investment journey.
Once customers sign up, they can choose to receive instant notifications from PrimaryBid and take part in a range of transactions, including IPOs, placings, block sales, corporate bonds and gilts, settling securities back to their Halifax, Bank of Scotland, Lloyds and IWeb Share Dealing accounts.
HM Treasury has driven regulatory change in the last three years which unlocks individual investor access to public company fundraisings. However, retail investor awareness of this investment opportunity is still low.
A survey by PrimaryBid in 2022 found that only 8% of investors knew what a “follow-on” fundraising was. This partnership aims to increase the visibility of primary markets across Lloyds Banking Group’s brands – with an educational first approach.
Customers invest on the same terms and at the same price as institutional investors – with no additional fees and no stamp duty – as this is not levied on primary markets deals.
Manuel Pardavila-Gonzalez, Stockbroking Managing Director, Lloyds Banking Group, said: “We are constantly looking at ways to help customers make their money work harder, and by leveraging PrimaryBid's technology, we are able to connect customers who are looking for new ways to invest at their fingertips, with purchased shares settled safely and securely into their account.
“We’re already seeing customers taking advantage of the new doors opened by this opportunity to access primary markets as part of their investment activity and expect a growing appetite for future activity.”
Anand Sambasivan, CEO, PrimaryBid, said: “This partnership is about increasing awareness and giving customers smarter access to primary market transactions. We're creating a space where learning and investing in the primary markets go hand-in-hand, offering a range of investment opportunities for self-directed investors while also encouraging issuers and their advisers to unlock all IPOs and fundraisings to retail involvement.
“We are pleased that Lloyds Banking Group has adopted our Fuse platform, which allows B2B partners to leverage PrimaryBid’s consumer product, ensuring whole-of-market availability.”