Scalable Capital is Germany's answer to Robinhood — except it actually makes money and the regulators like it. The Munich-based neobroker lets Europeans invest in stocks, ETFs, and crypto with flat-fee pricing that undercuts traditional banks. With over 1 million customers and €20+ billion in assets, Scalable has become the largest digital broker in continental Europe. Turns out Germans do want to invest — they just needed someone to make it affordable.
Founded
2014
HQ
Munich, Germany
Total Raised
$590 million
Founder
Erik Podzuweit, Florian Prucker
Status
Private
Website
www.scalable.capitalTHE ORIGIN STORY
Erik Podzuweit and Florian Prucker, both former Goldman Sachs bankers, founded Scalable Capital in 2014 initially as a robo-advisor — an automated investment service that built diversified portfolios for clients. The robo-advisor model gained traction in Germany, where traditional banks charged high fees for basic investment products.
In 2020, Scalable launched its neobroker platform, allowing self-directed investing with a flat monthly fee. This was transformative in Europe, where most brokers charged per-trade commissions.
The neobroker product exploded during the COVID-19 trading boom, and Scalable grew from a few hundred thousand clients to over 1 million.
WHAT THEY ACTUALLY DO
Freemium brokerage + subscription. Free tier allows limited monthly trades.
PRIME+ plan at €4.99/month offers unlimited trades and 2.6% interest on cash. PRIME Broker at €2.99/month for heavy traders.
Revenue from subscriptions, payment for order flow (where legal), and interest on client cash. Also earns management fees from the robo-advisor product.
THE PRODUCTS
Scalable Broker (self-directed investing platform). Scalable Wealth (robo-advisor).
ETF savings plans (in partnership with BlackRock/iShares). Crypto trading.
Cash interest accounts. Stocks, ETFs, funds, and derivatives trading.
HOW THEY GREW
Price disruption in a market ripe for it. European retail investing was dominated by expensive traditional banks.
Scalable offered the same products at a fraction of the cost. The flat monthly fee model was novel in Europe and attracted cost-conscious German and Austrian investors.
Partnerships with BlackRock (iShares ETF savings plans) drove ETF adoption.
THE HARD PART
Regulatory fragmentation across Europe. Each EU country has different financial regulations, which makes scaling across borders slower than a US fintech expanding domestically.
Competition from Trade Republic (Berlin-based rival) and established banks adding digital features.
MONEY TRAIL
Series A
2015 · Led by HV Capital
$10M raised
Series B
2017 · Led by Tengelmann
$30M raised
Series C
2019 · Led by BlackRock
$50M raised
Series D
2021 · Led by Tencent
$150M raised
$1.4B valuation
Series E
2022 · Led by Various
$180M raised
WHO BACKED THEM
Backed by BlackRock, Tencent, HV Capital, and Tengelmann Ventures. BlackRock's investment was strategic — Scalable is one of the largest distributors of iShares ETFs in Europe.
The Series E in 2021 valued the company at €1.4 billion.
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