Top Three Brokerage Platforms in U.K.

The mounting fear about the increasing bond yields are sending off the stock market in red. Hence, it is the best time to buy as what people call it ''during the dip''. The stock market will always go up unless if the world stops moving then it will lose its purpose. I guess that's the most reassuring point especially for nervous first time investors.

Before jumping into the investment wagon, one of the few questions that people will ask is where to invest? Since I am living in United Kingdom, I will be sharing the top three brokerage platforms that I am currently using. I will also share some that I have tried but I will focus on these top three.

What I look for in a brokerage firms? First, I look into the cost and charges for every transaction that I will be making and for holding the account. Second, I assess how good their customer service is. It is easy to check how they are by reading reviews online and also your first-hand experience when resolving an issue or inquiry. What's the point of having a 0% commission platform but it will take days before they could assist you with some issues especially that if you are putting money in their hands. You have to think about that. Third, you need to assess their UX (user experience) design of their products. I am very particular about how easy it is to use their products and what products they are offering. For an example, are their products accessible through mobile and computer? is it easy to use? do they have cool products such as learning videos, articles and other simulation / dummy account features? These are some of my questions that I ask before I engage with a platform. I have to make sure it addresses my needs.

The first brokerage platform that I have opened is AJ Bell Youinvest and I have been with them for the last 5 years if my memory serves right. They offer accounts such as Shares ISA, Lifetime ISA, Trading and SIPP. I am using them for SIPP and Lifetime ISA. All my long-term positions are transacted through these accounts. I have to consider the dealing charges so I need to do my due diligence of careful planning before making a transaction. Furthermore, they do have a good customer service which I like. I guess aside from the platform fees, the area that they need to improve is the real-time update of stock movements and prices. It takes forever when I say forever, you get an update the next day or hours after (lol!). I can check my account through my laptop and mobile. So far, it is okay to use.

Next, the second brokerage platform that I have opened just recently is Interactive Investor. They are slightly cheaper than AJ Bell Youinvest in terms of charges however, I need to pay a monthly £9.99/month as a basic investor subscription. The reason behind this is that they offer free one trade per month for my regular investments. I am using their platform for my Shares ISA. The platform only offers Shares ISA, Trading and SIPP accounts. They do not have a Lifetime ISA. It also have more funds and shares especially international funds and shares compared to AJ Bell Youinvest. Like for example, there is no ARKK or QQQ in AJ Bell Youinvest but Interactive Investor has it. Hence, an additional reason why I have opened an account through them. So far, they have good customer service. Also, the platform is accessible using my mobile and laptop.

Last but not the least brokerage platform that I am using for trading purpose only is eToro. If you are into day-trading then it is the right platform for you. There are no fees, no commission, and no management fees. They offers shares, ETFs, commodities, currencies and even cryptocurrencies. Also, the platform is known for having this feature that you can copy other people's portfolio and have it added in your own portfolio. As per online reviews with regards to their customer service, it is not that stellar. There are some complaints as to how they handle issues but so far, I do not have any first-hand bad experience with them. Also, it is used for trading only so it doesn't hold my long-term positions. Moreover, it is easy to use their platform through mobile and laptop. Also, they do have a good real-time update of prices!

Lastly, I guess I am wrong saying three in the title of this blog post but the fourth one that I also use occasionally is Free Trade. It is accessible using mobile only. It is similar to eToro but it is not solely for trading because it offers Shares ISA and hopefully SIPP soon. It has 0% commission except the added FX rate they place in every transaction. If you want added features such as limit orders and stop losses, they have this Free Trade PLUS account where in you need to pay £9.99/month. So far, this app is used for trading purpose only but I am also considering at the moment about using it for Shares ISA. About customer service, there are so many negative reviews online such as people posting that they have non-existing customer service. I have experienced it. I inquired about some information that I needed then they have replied after 2 to 3 weeks (LOL!).

I have made a simple fees summary below (Image A). I hope this helps!

Image A: Summarized Fees Table

For further information, please do check their websites or google about them so you can have a better idea of each platforms that I have talked about. Also, there are other platforms out there to use (e.g. Hargreaves Lansdown, Vanguard, Traded212). You just have to list the things that you need and research about the platforms that could cater to your needs.

Next topics that I will be writing about are Top Three Picks for February (ETFs), Amazon Affiliate Program, and Canva Editor for Beginners.

Happy Investing!