THE RETAIL BROKER ENVIRONMENT IN ITALY: THE DIRECTA SIM CASE STUDY

The thesis examines the Italian retail brokerage market, with particular attention to Directa SIM, in light of the profound changes brought about by digitalization and growing competition from foreign operators. The analysis integrates behavioral finance perspectives and empirical data, showing how retail savers are influenced by significant cognitive biases, in particular home bias, overconfidence and a preference for “lottery-like” securities, which affect their investment decisions and actual trading costs. The results show that the sector is undergoing a process of concentration accompanied by strong competitive pressures, while Directa is in an intermediate position: although it does not offer the lowest commissions, it stands out for its fiscal transparency, product variety and an offering that is also suitable for more experienced investors. A company valuation also suggests that the stock is undervalued compared to its peers, mainly due to structural factors such as low liquidity and ownership concentration. Overall, the research contributes to a better understanding of the evolution of brokerage in Italy, highlighting the implications for investors, intermediaries and regulators in an increasingly digital, competitive and rapidly changing financial environment.