The Appetite is Clear
We believe, this disparity isn't due to lack of interest. The UK has over 5 million adults[3] actively trading crypto, demonstrating a clear appetite for variety in high risk investment products. Hundreds of thousands of UK investors actively participate in options trading forums[4], which suggests they are closely tracking US traders and attempting to replicate their strategies using other trading tools.
So why aren't these engaged investors trading options? We believe the answer lies in a multitude of barriers that have kept options trading widely exclusive to the wealthy and professionally trained.
The Status Quo
Traditional UK platforms have maintained high barriers to entry, until recently requiring minimum deposits of tens of thousands of pounds - an amount out of reach for many investors. These platforms, typically designed for professional traders, feature complex interfaces that can intimidate newcomers and make some more straightforward trades unnecessarily complicated.
The market structure itself has likely perpetuated this exclusivity. CFD providers, who are able to profit directly from customer losses and who earn from 4-5 more layers of fees than they would from options trading, have little incentive to innovate or improve accessibility. This has created a self-reinforcing cycle where options trading remains the domain of sophisticated investors, while retail traders are pushed toward more expensive products.
Breaking Down the Barriers
Investa is tackling these barriers head-on. Real-time account opening replaces week-long waiting periods. Complex trading processes are streamlined to five clicks. Transparent pricing with a single 0.99% FX fee replaces layers of hidden costs (Other fees may apply).
But accessibility doesn't mean sacrifice. We believe simplified options chains make trading intuitive while maintaining the functionality advanced traders are accustomed to. Educational content, tools that support scenario testing, and higher level features such as assistance in optimising trades like call overwriting, means a more balanced approach and helps open the door for newer traders while providing the features experienced traders typically demand.
Of course, keep in mind, options are considered high risk investments due to their complex nature and are not suitable for all investors.
The Road Ahead
The UK options gap represents more than just a market inefficiency - it's a fundamental inequality in investment access. As regulatory pressure on CFDs increases and some retail investors seek more transparent alternatives, options trading is likely well positioned to emerge as the next major growth area in UK fintech.
The change won't happen overnight, but the foundations are in place. With millions of engaged investors ready to take the next step in their trading journey, the UK options gap isn't just a market opportunity - we believe it's an inevitability waiting to be realised.
[4] - We have taken the following audiences and communities from Reddit and its audience estimator tool, which uses their data to find the UK audience in each community. This gives a result of 100k+ users in the UK, with nearly 1mn where some of the more popular communities are included. However for the purposes of this point we have been more specific, purely including options only related communities:
● Optionswheel - 1.8k to 2.3k (19.1k users)
● binaryoptions - 2.2k to 2.8k (14.8k users)
● Optionmillionaires - 606 to 757 (18.8k users)
● OptionsMillionaire - 12.4k to 15.6k (97.8k users)
● options_trading - 3k to 3.7k (48.3k users)
● optionstrading - 138.4 to 173 (14.2k users)
● thetagang - 10.7k to 13.4k (271k users)
● options - 64.9k to 81.1k (1.3m users)
● optionstraders - 15.2 to 19 (4.1k users)
● CoveredCalls - 6.9k to 8.6k (21.4k users)