Zero fee investing 2

Well I was wrong yesterday, it appears that Freetrade is not the only UK contender for Zero Fee investment. There is also Trading212, who have been at this since 2016 or earlier. They appear to have a more mature capability than Freetrade offering shares (which they call equities), CFDs and foreign exchange on their platform. They have both Apple IOS and Android apps available.

Online reviews make interesting reading though. There is a recurring theme about difficulties with withdrawals in comments on reviews. But these comments are featured along side reviews praising the trading platform and the educational materials.

My impression is that since Trading212 are offering CFDs (Contracts for Difference), currency and commodity trading, they are a very different kind of organisation than Freetrade.¬† They appear to be set up for short term trading rather than investing, the nature of that game is very different. If you were to trade on the platform, from the reviews I’ve read, it appears likely that you would be running into fees that are not highlighted in their Zero Commission headlines in their up front marketing.

From just the two organisations web sites and online reviews I’m more inclined to prefer Freetrade over Trading212. The Freetrade service is designed for long term investing, whereas Trading212 appears to major on short term trading.¬†Trading212 appears very slick and corporate, whereas Freetrade’s site has an open vibe with a comprehensive blog and customer forum.

For the moment I’m going to be sticking with my current trading platform as I need the SIPP account, which neither of these platforms currently offer. I will be watching Freetrade though as it could become a viable option when its more mature.

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