Alyaziah Hayat | March 28, 2022
Table of Contents
Freetrade is a UK regulated mobile trading app that offers stock and ETF trading free of charge. The Freetrade app is modern, sleek and very user friendly which makes it suitable for traders of all experience levels. However, the charting tools are limited as are the trading instruments and account funding options.
Broker Pros / Cons
- Free stock trading
- User friendly mobile trading app
- Online community
- No minimum deposit
- Limited product range
- No CFDs, forex, commodities, cryptocurrencies
- No desktop or web platforms
- No MetaTrader
- Limited charting capabilities
- Limited account funding options
- No contact telephone number on website
- No demo trading accounts
- GBP accounts only
Freetrade is an intuitive stock trading app that offers commission free investing with over 100,000+ clients who have already invested in the stock market through the app. They offer over 600 UK and US stocks along with ETFs so that users can build their own bespoke portfolio by investing through the mobile app for iOS and Android devices. They can also provide individual savings accounts (ISAs) for a fixed monthly fee.
Freetrade have an online community where you can learn, discuss and share ideas with other investors. This is through an online forum that includes various topics and is open to both beginners and experienced traders. You can even make suggestions that you would like to see included within the Freetrade app.
Founded in 2016, Freetrade is a trading name of Freetrade Limited, which is a member firm of the London Stock Exchange and is authorised and regulated by the Financial Conduct Authority (FCA) in the United Kingdom.
As an FCA-authorised entity, Freetrade must abide by all of the rules and regulations in the conduct of an investment business set forth by the FCA and provide all of the client protections that those regulations require.
Freetrade also segregates client funds and assets so that they cannot be used for any other purposes such as day to day business running costs and to pay off creditors.
Freetrade are covered by the provisions of the Financial Services Compensation Scheme (FSCS) which means that in the unlikely event something was to go wrong, the value of eligible client assets held with Freetrade is protected by the FSCS up to a maximum of £85,000. This does not cover any losses due to movements in market prices.
Freetrade put great emphasis on transparency and state that their number one priority is ensuring your investments and money are safe.
Freetrade is primarily for UK users although they are looking to expand with an EU offering.
The Freetrade mobile app is very user friendly making it quick and easy to trade online from anywhere in the world where you have an internet connection. Via the intuitive app you can search for and filter stocks/ETFs, place, manage and close trade positions.
However, the order types are limited and it does not have the capabilities of setting price alerts. The broker does not offer any desktop or web trading platforms at this time.
The Freetrade app charting is very basic, limited to open and close prices without any detailed technical analysis indicators that those who are accustomed to trading platforms such as MetaTrader may already be familiar with.
Unfortunately, the educational materials are limited although the online community is a useful place to learn more about Freetrade and online stock trading in general. They could improve in this area by offering demo accounts, webinars, trading guides, tutorials, videos, etc.
Freetrade have a range of markets available to trade including major US and UK stocks such as Amazon, Tesla, Pinterest, Google, Nike, Greggs, etc. There are over 50 exchange-traded funds (ETFs) including by Vanguard and iShares.
You can build and track the portfolio that suits your own individual trading preferences and goals, with no hidden fees or charges. It is quick and easy to buy and sell for free, taking just a few taps on the Freetrade app.
It must be stated that the product range is limited when compared to some online brokerages that the trading brokers team have reviewed which offer thousands of instruments across multiple asset classes such as forex currency pairs, cryptocurrency, indices, commodities, CFDs, etc.
Freetrade offer a free basic trading account with commission-free instant orders. There is no minimum deposit required to open an account. There is a freemium pricing model, where you can pay for extra features. They have a comparison table on their website where you can compare Freetrade with other brokers including Hargreaves Lansdown, Interactive Investor and AJ Bell.
They also have an individual savings account (ISA). It is worth mentioning that the stocks and shares ISA has a small monthly fee. There are no account inactivity fees. There is a currency conversion fee at the FX spot rate +/- 0.45%.
Freetrade have a prompt and polite customer support team who are on hand and happy to answer your queries. If you need to speak to someone, you can reach them via the app by tapping on your account tab on the top-right of the portfolio screen, and scroll down to tap on ‘Chat with us.’ The team are available to chat between 8am to 21pm on weekdays and 10am to 17pm on weekends.
Whilst this is useful for those who have the Freetrade app already installed, we believe the broker could benefit greatly from providing a contact telephone number and online chat support. This would allow potential clients to ask questions to see if the app is suitable for their requirements before downloading and installing it.
Freetrade offer account funding via bank transfer. There is a small fee if you want a make an outgoing transfer on the same day. They do not currently support credit/debit card payments whilst there are no online payment processors such as Skrill, PayPal or Neteller. Therefore, we consider the funding options to be very limited compared to some other brokerages that offer a similar service.
That being said, they do support Apple Pay and Google Pay as deposit options which many users may find useful especially considering they will already be using the app on their smart phones.
Bank transfers may take a few business days to clear whilst some methods can be instant. Freetrade strictly do not accept third-party payments. All funds deposited into your trading account must be under the same name as your Freetrade account.
Accounts can only be opened in GBP which means that currency conversion fees will apply when not using an account in GBP.
Freetrade really shines on the account opening process which is quick and easy. You simply need to download the Freetrade app on your mobile phone and provide your email address for them to send you a confirmation link. Once you click on the link you can then fill out your personal information and select your account type.
Freetrade have a digital verification process although you can also upload documents as proof of identity and address. This could be a passport or drivers license and utility bill or bank statement.
|Broker Features||AvaTrade||IG||IC Markets|
|Regulated||ASIC, BVI, CBI, FFAJ, JFSA, FSCA, IIROC, ADGM FRSA||FCA, CFTC, NFA, BaFin, FINMA, ASIC, FMA, MAS, FSA, FSCA, DFSA, JFSA, METI, MAFF||ASIC, CySEC, FSA, SCB|
|Country||Australia, Ireland, South Africa, Japan, British Virgin Islands||Australia, UK, USA, Switzerland, UAE, Singapore, Japan||Australia, Seychelles, Bahamas, Cyprus|
|Min. Deposit||Min $250 Deposit||Min $100 Deposit||Min $200 Deposit|
|Commission||From $0||From $0||From $0|
|Instruments||Forex, Commodities, Cryptocurrency, Stocks, Shares, Indices, Metals, Energies, Options, Bonds, CFDs, ETFs||Forex, Commodities, Stocks, Shares, Indices, Cryptocurrencies, Metals, Energies, Options, Bonds, ETFs, CFDs||Forex, Commodities, Cryptocurrency, Stocks, Shares, Indices, Metals, Energies, Bonds, CFDs|
|Platforms||MetaTrader 4, MetaTrader 5, AvaTradeGO, AvaOptions, AvaSocial, DupliTrade, ZuluTrade, Web, Mobile||MetaTrader 4, IG Platform, IG Progressive Web App, ProRealTime (PRT), L2 Dealer, FIX API, Web, Mobile||MetaTrader 4, MetaTrader 5, cTrader, Web, Mobile|
|Type||Market Maker, STP||STP, ECN, DMA||ECN|
|Funding||Wire Transfer, Credit/Debit Card, Paypal, WebMoney, Neteller, Skrill||Wire Transfer, Credit/Debit Cards, PayPal||Wire Transfer, Credit Card, Debit Card, WebMoney, Neteller, PayPal, Skrill, FasaPay, UnionPay, Qiwi, Bpay, Poli|
|Visit Broker||Visit Broker||Visit Broker||Visit Broker|
The Freetrade app is very user friendly making it a smooth process to search for and trade stocks or ETFs for free with no hidden costs. However, the charting capabilities are limited and they do not offer any desktop or web trading platforms such as MetaTrader.
Freetrade is regulated by the FCA and have an online trading community. The account opening process is quick and easy although we would like to see them offer demo trading accounts for potential users to trial the app.
We did find the trading instruments and funding options to be very limited when compared to many other online brokerages. Furthermore, the educational materials could be improved and there is also no contact telephone number on the Freetrade website.