Welcome to the new Scalable Capital

What does the new Scalable mean?

We set new standards for private investing: Broker, digital wealth management, and loan offerings are seamlessly integrated into a newly developed technology platform. Investors can now open securities accounts directly with Scalable Capital. Clients benefit from the best conditions for trading, additional strategies in digital wealth management, and a new stock exchange.

With the new offering, clients will enjoy:

• Direct account management: Open accounts directly with Scalable Capital, enhancing the trading experience.
• Additional stock exchange: Trade on the newly launched European Investor Exchange (EIX), designed for retail investors.
• Service upgrade: Fast payment processes, better rates for Credit, and new investment strategies in Scalable Wealth.
• Cash balances are safeguarded in accounts with partner banks and in money market funds. Initially, these are Deutsche Bank, J.P. Morgan Asset Management, DWS and BlackRock. 3% p. a. variable interest is passed on to investors for Broker cash balances of up to €500,000 in the PRIME+ Broker and up to €50,000 in the FREE Broker.

I am already a client. What do I need to do?

Log in to your account. There, you can agree to the new terms and conditions and initiate the transition.

Have you already given your consent to our new terms and conditions? Then you don’t need to do anything further.

• In the app and on the web, you will continue to have access to all existing Broker and Wealth accounts at Baader Bank. In a few weeks, Broker clients will additionally get access to the new Scalable account with new offerings. You will retain all previous data and transaction history.
• In the fourth quarter of 2025, we will transfer your securities to your new Scalable account. This will be done in coordination with Baader Bank. We will inform you about this process in advance. Please use our account transfer service for a smooth process.
• With the opening of the new broker account, you will have access to the new exchange EIX, fast payments, favourable terms for Credit and we forward 3% p.a. interest (variable) from our partner banks and money market funds on your Broker cash balance.

Good to know: The app and your login details remain unchanged. No re-identification is required. All previous data and transactions will continue to be accessible in your client area.

Can I open a second account as an existing client to use the new offering fast?

In a few weeks, Broker clients will get access to the new Scalable account, in addition to all existing Broker and Wealth accounts at Baader Bank. The condition for this is that you agree to the new terms and conditions. We will inform you as soon as the new offering is available for you.

With the opening of the new Scalable account, you will have access to the new exchange EIX, fast payments, favourable terms for Credit, and we forward 3% p.a. interest (variable) from our partner banks and money market funds in your cash balance.

Why is the account transfer service in the fourth quarter of 2025? Can I transfer my account myself before that?

Please use our account transfer service. This is the only way we can ensure a smooth transfer of your securities with our partner Baader Bank. We will take all necessary measures to achieve a seamless transfer and minimise any trading restrictions. Tax data and fractional shares will also be transferred, as far as possible.

Account transfers require manual processing steps at both the sending and receiving institutions, as well as coordination with clearing houses and other parties. Therefore, we will carry out the account transfer service for our clients collectively in the fourth quarter of 2025. This way, we can plan with sufficient lead time and create all the prerequisites for an orderly and trouble-free transfer. In doing so, we work closely with our partner Baader Bank, the custodians, and all other relevant parties.

What specific changes will there be for Scalable Wealth? (Germany & Austria only)

If you use Scalable Wealth, you can look forward to the following improvements:

• With World Portfolio Classic + Gold and Value & Dividend, two new investment strategies are available.
• The previous two separate monthly statements from Scalable Capital and the custody bank are consolidated into a single document.
• Total fees remain unchanged. However, in the future, 50% of the fee for Wealth will be credited to your tax loss pot as a flat-rate transaction cost. This can reduce your effective fee burden. See the calculation example for more details. (Germany only)

What is the EIX?

The European Investor Exchange (EIX) is Europe's most modern stock exchange, specifically focused on the needs of individual investors. Scalable Capital operates EIX in cooperation with the Hanover Stock Exchange. Scalable Capital provides technology and liquidity. The Hanover Stock Exchange is responsible for the oversight according to German public law, particularly for trading supervision.

Can I decide which exchange to use for my trades?

Yes, you have full flexibility to select the venue when placing an order. Besides EIX, the other venues include gettex (Munich Stock Exchange) and Xetra (Deutsche Boerse). The costs for trading on gettex and Xetra have not changed.

Is Scalable a bank now?

No. We are an investment firm, which means we can handle your securities account and all investment-related services. For your cash balances, we work with partner banks and money market funds. In addition to managing the securities accounts, we have applied for authorization for deposit business to be able to accept client deposits ourselves in the future.

What happens in case of insolvency of Scalable Capital or the partner banks?

Cash balances are safeguarded in accounts with partner banks and in money market funds. Initially, these are Deutsche Bank, J.P. Morgan Asset Management, DWS, and BlackRock. The statutory deposit guarantee of the partner banks is €100,000 per client. For money market funds, European investor protection rules (UCITS) apply regardless of the amount.

In case of insolvency of Scalable Capital, you are entitled to the return of your securities. These are not part of the bankruptcy estate and are therefore protected.

What is a money market fund?

For your broker account, we work with partner banks as well as qualifying money market funds. These are closely regulated funds that have to meet the following requirements:

• Adhere to European investor protection rules (UCITS), regardless of the amount you invest.
• Their primary aim is to keep the value of the fund stable.
• They invest exclusively in high-quality short-term instruments (e.g., treasury bills, commercial papers, or certificates of deposit) with an average maturity of 60 days.
• Provide liquidity through same-day or next-day settlement.

Like all securities, money market funds are segregated assets and therefore would not be part of the insolvency estate of Scalable Capital or the fund issuer.

When can I use the new offering as an existing client?

Existing clients will gain access to the new offerings within a few weeks. The prerequisite for this is that you agree to the new terms and conditions, which can be done via the client area when you log in. We will notify you as soon as the new offering is available for you.

Will my Baader account be transferred to Scalable Capital?

Yes, we will carry out the account transfer for our clients collectively in the fourth quarter of 2025. Together with our partner Baader Bank, we will take all necessary measures to ensure a smooth transition and minimise disruptions in trading as much as possible. Tax data and fractional shares will also be transferred, where feasible. You do not need to do anything further. You will receive a message from us before the process begins for you.