Deutsche Börse, the German stock exchange, has cut the cost of equity trading following pressure from investment banks to reduce fees, but it will recoup the lost revenue through increased charges for clearing and settlement.

The exchange has cut fees for trading on its electronic platform, Xetra, by 14% from €0.70 per trade to €0.60 and reduced the maximum cost from €21 to €18. However, it expects revenues to remain the same because the new fee model for clearing and settlement could be more expensive than the previous all-in-one fee.