Freetrade and Trading 212 are two of the UK’s leading share trading apps.
But is one better than the other?
In this video I’ll be doing a side-by-side comparison of the apps - taking a closer look
at the fees, the key features and our final verdict on which app we think is the best.
Quick look
At first glance, Freetrade and Trading 212 look incredibly similar.
It’s free to open an account on both platforms and you can invest in stocks and exchange-traded
funds without paying any commission.
Both offer fractional shares if you don’t want to or can’t afford to buy a full share.
And both have slick easy to use apps and helpful learning tools for beginners.
That said, there are a few points of difference that separate these two platforms which might
result in one being a better fit over the other.
To help you decide which is the right platform for you, let’s take a look at the finer
details.
Fees
Freetrade and Trading 212 are both free to set-up and manage and offer unlimited commission-free
trades.
There are no withdrawal fees.
However, Freetrade will charge £5 for same-day withdrawals and Trading 212 has a minimum
withdrawal amount of £1.
Unlike Freetrade, which has no minimum deposit, Trading 212 does have a minimum deposit amount
of a whopping £1.
For foreign exchange trades, Freetrade charges a conversion fee of 0.45%, while Trading 212
only charges a conversion fee of 0.15%.
To open a stocks and shares ISA with Freetrade you will need to upgrade to a Freetrade Plus
account which will set you back £3/month.
Whereas Trading 212’s ISA comes free with your standard account.
Key features
As mentioned before, Freetrade and Trading 212 both allow you to trade stocks and ETFs.
Both apps let you trade on the London Stock Exchange, New York Stock Exchange and the
Nasdaq.
But with Trading 212 you also get exposure Canadian, German and pan-European stock exchanges.
The Freetrade standard account doesn’t have a stocks and shares ISA or a self-invested
personal pension but the app does give you the option to upgrade to these products for
£3 and £9.99 a month respectively.
While Trading 212 has a free ISA, it does not offer any additional financial products.
Both apps have helpful guides and in-depth learning tools for beginners but Trading 212
takes it to that next level with additional videos, walkthroughs and a demo app that lets
you practice trading before trying it for real.
Freetrade and Trading 212 are available on IOS and Android, and Trading 212 also has
a desktop app if you like to trade on your computer as well as your phone.
What about cryptocurrencies?
Neither platform offer cryptocurrencies at the time of publishing, but Freetrade recently
announced that it is looking to invest in some crypto products in the coming year so
keep your eyes peeled for any updates.
The verdict
Freetrade and Trading 212 are both great options for free trading.
While both have smart, easy to navigate apps, Trading 212’s interface could be more complicated
for beginners.
However, its wealth of learning tools and the demo app mean there’s plenty of resources
available to help you get up to speed.
Overall, between the fees and features, Trading 212 just pips Freetrade to the post.
What next?
For more information on Freetrade and Trading 212 head to the finder.com.
I’ve tagged a whole bunch of useful links in the description below, including a link
to additional trading apps and platforms if you’re looking to invest in additional assets
and products like ready-made portfolios, cryptocurrencies, lifetime ISAs or SIPPs.
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Thanks for watching.