5 “Best” UK Stockbrokers (January 2022)

With a huge range of brokers to choose from, getting started in stock trading has never been easier. If you’re trading in the UK, there’s also an excellent range to choose from among the top stockbrokers.

Here, we’ll take a closer look at the top 5 stock brokers in the UK to get you started trading if you’re new to the industry, or it can also be ideal if you’re a more seasoned trader. Along with this, we will also cover some important points to consider when choosing your broker.

Things to consider before you start trading

Before you start trading, it is important to do your due diligence in key areas, even with the best brokers. Here are some of the most important key points to consider before choosing a broker:

Fees and commissions: Most stockbrokers are extremely successful in offering commission-free trading and very low costs and fees. This is something to watch out for and research before signing up.

Broker features and trading platform: If you are a new trader, you will want a trading platform that is easy to use and understand. If you are more experienced, you may want more detailed charts, tools and indicators, and a wider range of assets.

Trading style: There are now many ways to trade stocks. This could mean a more passive approach on your part with the ability to invest in ETFs and similar basket-type products, or a fully automated trading experience. There is definitely a broker that suits your trading style.

Freedom Funding is one of the biggest names in online stock trading in the world. Freedom Finance Europe Ltd is the European subsidiary of Nasdaq-listed Freedom Holding Corp. Since 2008, it has provided access to big name IPOs and is the only NASDAQ-listed European broker to provide such access to retail traders.

They have over a million instruments in total to offer. By focusing first on the product and aspect of the broker that attracts many traders, you can access some IPOs at their initial prices before public trading. The minimum amount required for this is $2,000 and allocations will be calculated individually based on supply and demand, but it still presents a great opportunity for EU retail traders.

Beyond that, you’ll find some 35,000 stocks, 147,000 bonds and 3,100 ETFs to trade in addition to 500 futures and a mammoth 855,000 options instruments in an ever-expanding asset offering. . It offers numerous opportunities for traders on 15 global exchanges in the United States, Europe and Asia.

Trading fees: The fees vary depending on the type of investment, for example the brokerage commission, per transaction 0.12% and the clearing fee per transaction – 30 USD.

Read our Freedom Finance review or visit Freedom Funding to open your account.

Fineco is an Italian bank founded in 1999 and has been providing online trading services since 2004. It is also listed on the Italian stock exchange and regulated in the UK by the FCA, making it an extremely transparent and trustworthy securities broker. confidence. They currently only offer services to UK and Italian traders and you will find very low fees, a wide range of assets and an easy to use trading platform.

You can trade a wide variety of assets here, including over 5,000 stocks and ETFs from major exchanges in the US, UK and Europe. Mutual funds, bonds, options, futures and some stock CFDs are also available.

You will also find very intuitive and user-friendly web and mobile trading platforms which, although not customizable, nevertheless provide an overall positive trading experience. The broker also provides excellent depth of research tools, including detailed fundamental data on each asset and trading recommendations.

Trading fees: For UK traders, there is a fixed flat fee of $3.95 commission per trade. Other asset fees are usually tiered using a volume-based system which can benefit you the longer you trade. Non-trading fees are very low, with no inactivity, deposit or withdrawal fees.

Read our Fineco review or visit Fineco to open your account.

Interactive Investor is another long-standing stockbroker offering a wide range of services in the UK where they are well regulated by the FCA for the most reliable experience. The broker was founded in 1995 and has been a popular choice ever since.

This broker’s asset offering is slightly more restricted than others, although you can still trade stocks, ETFs, bonds, and mutual funds with nearly 2,000 assets across major exchanges around the world .

You will also find a user-friendly trading platform available on both web and mobile. The account opening process here is also extremely convenient and the broker supports several base currencies very well, although the withdrawal process for some can be lengthy. Debit and credit card deposits are facilitated but you will need to use a wire transfer to make a withdrawal.

Trading fees: Interactive Investor has a flat monthly fee which they charge from £9.99 to £19.99 per month depending on your account type. Trading fees are then usually £3.99 to £7.99 depending on the asset, while a £15 fee is applied to urgent withdrawals which may arrive on the same day. Deposits are free.

Read our interactive investor review or visit Interactive Investor to open your account.

Stake is our current top pick and the reason is that they allow investors to trade over 3,800 US stocks and UK ETFs directly from major US exchanges such as NASDAQ and NYSE. This is where the majority of global tech stocks are traded, opening up a world of opportunity for UK traders.

With Stake, you can buy and sell securities in fractions. This means you can buy an entire dollar amount of a security (i.e. $1,000 of Berkshire Hathaway Class A).

The broker is regulated by the FCA (Financial Conduct Authority) and has partnered with members of the SIPC. In return, the securities in your account are protected up to $500,000.

Trade costs: Make as many trades as you want and never pay a penny in brokerage fees. Best of all transactions are commission-free and have no currency effect on transactions.

For more details, you can see the Stake website directly.

Hargreaves Lansdown is one of the most respected stockbrokers in the UK. They are also one of the oldest since 1981. They are well regulated by the FCA and remain competitive at all levels in terms of costs and fees, their offer having evolved well over the years, although only UK traders can open their account entirely online. .

Once set up, you’ll find a good range of total assets with over 2,000 assets available for trading, including many stocks from around the world, ETFs, mutual funds and bonds. As the broker retains some aspects of a traditional stockbroker, you can also choose to have your portfolio managed by one of their own professionals, although the minimum deposit for this type of account is £1,000 , against no minimum deposit with a standard investment account. One of the many account types available is also an ISA account which allows a certain amount of tax-free investment.

Apart from betting on spreads and trading CFDs, you will be using Hargreaves own trading platform on mobile and as a web platform which is also very user friendly and easy to navigate for a good trading experience. The broker also provides a good depth of educational content.

Trading fees: Fees range from £5.95 to £11.95 for exchange trades depending on volume. Fees on mutual funds are also low while there are no deposit, withdrawal or inactivity fees.

To learn more about this broker or to open an account, you can see the Hargreaves Lansdown website.

Dolores W. Simon