IG has slashed its foreign exchange fee on overseas share transactions to 0.49%, a discount that will remain in place until September.
The move by the UK-based broker signals intensifying competition in the retail trading space, where cost efficiency is becoming a primary differentiator for investors seeking exposure to global equities.
While the 0.49% rate is a temporary promotion, it underscores the pressure on legacy brokers to match the lean cost structures of fintech disruptors.
The reduction aligns with a wider trend of financial institutions lowering barriers to international investing.
Earlier this year, Co-op Bank eliminated its 2.75% transaction fee on overseas debit card payments, a strategic pivot designed to compete with digital-first challengers like Chase and Monzo. As traditional banks and brokers alike trim fees, retail investors are gaining access to more cost-effective channels for cross-border asset allocation.
For traders, the lower FX fee directly improves the net return on international positions, particularly for those with high turnover or significant exposure to non-sterling markets.
While the 0.49% rate is a temporary promotion, it underscores the pressure on legacy brokers to match the lean cost structures of fintech disruptors.