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trading 212
andy mac
Posted: 29 June 2017 18:16:23(UTC)
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https://www.trading212.com/ commision free
whats the catch has anyone tried it
Alan Selwood
Posted: 29 June 2017 18:39:42(UTC)
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The first 10 trades per month are 'free', the rest are chargeable (albeit the cost is tiny).

Pedigree?

Anyone wanting to trade with a firm should do due diligence - where are they based, can they be contacted in a genuine number or visited in person, how long have they been trading, have they published decent-looking accounts?

Some firms trying to attract business by offering the carrot of 'free' whatevers may have a totally different objective from that of their potential customers - for example, building up a business quickly that they can sell on to a competitor, or to harvest personal details for some nefarious purpose.

Caveat emptor in such cases. There is no such thing as a free lunch!
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andy mac on 29/06/2017(UTC)
King Lodos
Posted: 29 June 2017 20:28:11(UTC)
#3

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(Edited: better explanation below)
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andy mac on 29/06/2017(UTC), Jon Snow on 29/06/2017(UTC)
Alan Selwood
Posted: 29 June 2017 21:21:47(UTC)
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So the view so far seems to be that you could be spending more by going the 'cheap' route than by keeping it simple and paying slightly more for the actual deals.

Difficult to beat iWeb on £5 commission on deals and no annual fee, or X-O on £5.95, also with no annual fee.
King Lodos
Posted: 29 June 2017 23:29:18(UTC)
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(Edited: I'll let the man answer)
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Tim D on 30/06/2017(UTC), Nick Saunders on 06/07/2017(UTC)
Nick Saunders
Posted: 03 July 2017 07:54:06(UTC)
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I should declare an interest in so far as I work for Trading 212, so will stick to facts rather than spin.

We can see how the details on the website could have been confusing, so have taken steps to clarify the matter. Trading 212 offers both CFDs on stocks and 'real', non-leveraged equities. The real stocks are listed in the Equities tab on the website's Trading Instruments page. By purchasing an equity you become the owner of the asset, you are entitled to receive dividends, etc - these are not leveraged and are not CFDs. They are the same stocks you would buy through any other broker. The instruments in the Stocks tab (now renamed Stocks CFDs for clarity) are CFDs on stocks. The commissions charged on these are explained in the Terms and Commissions section.
Pamela Neal
Posted: 06 July 2017 10:48:32(UTC)
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Great, But I have a question how much spread this website receive on every trade with them?
King Lodos
Posted: 06 July 2017 11:47:11(UTC)
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Nick Saunders;48455 wrote:
I should declare an interest in so far as I work for Trading 212, so will stick to facts rather than spin.

We can see how the details on the website could have been confusing, so have taken steps to clarify the matter. Trading 212 offers both CFDs on stocks and 'real', non-leveraged equities. The real stocks are listed in the Equities tab on the website's Trading Instruments page. By purchasing an equity you become the owner of the asset, you are entitled to receive dividends, etc - these are not leveraged and are not CFDs. They are the same stocks you would buy through any other broker. The instruments in the Stocks tab (now renamed Stocks CFDs for clarity) are CFDs on stocks. The commissions charged on these are explained in the Terms and Commissions section.


Good to have you here – I assumed it was just CFDs .. I'll see if I can edit my post and leave the explanation over to you.

Looking at the Terms and Conditions, you actually offer 10 free deals every month? Would you be taking a cut on the spreads, or would these be the same spreads I'd pay on any other platform? (Surely you'd have to?)

And a platform fee? (sorry, I can't find the information at a glance – although I'm sure it's there) .. I think if I could open an account with you, and buy and hold Apple stocks for absolutely nothing, I'd open an account tomorrow .. My advice might be to build a separate website called something like Investing 212, to really hammer home the low costs without people like me automatically assuming it's another CFD trading site. Thx!
Nick Saunders
Posted: 06 July 2017 12:52:46(UTC)
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I appreciate this shouldn't be an advertisement, so will try not to post too much!

All the orders are executed on exchange (or MTF). We don't take the other side, or adjust it in any way; we act as your agent. You should get the same price as with any other broker. There are no platform fees. We don't pay your stamp duty or ptm levy, but for those first ten trades, we don't take anything. It's really a marketing tool - we hope you will trade more than ten times, or trade different, products (this is why we want to keep it all in one platform) You don't have to though. I guess it's similar to a 0% balance transfer - if you just take advantage of the offer there are genuine benefits. Given the cost of online advertising, it's a numbers game. Rather than paying for click-throughs, we're paying for your trades in the hope that you might refer someone who will pay us.
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Tim D on 06/07/2017(UTC)
King Lodos
Posted: 06 July 2017 13:58:03(UTC)
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Well I think that sounds like a great idea – and thanks for providing the information .. I'd use CFDs more to cover positions and currency hedge if they were sharing the same account – so I can see it working .. And you've got things like Stop Losses on the stock trading?

Is there any chance of getting as ISA option somewhere down the line?

Nick Saunders
Posted: 06 July 2017 14:59:59(UTC)
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Stops losses - yes our platform supports them. If they are not supported natively on an exchange, the price is monitored in our system, and they are sent to the exchange for execution once triggered.

ISAs - yes this is on the to do list. They have been much requested,and unless the IT work is more complex than we think, they shouldn't be too long.
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Guest on 06/07/2017(UTC), King Lodos on 10/07/2017(UTC)
Peter Magill
Posted: 09 July 2017 20:12:38(UTC)
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Nick Saunders;48455 wrote:
I should declare an interest in so far as I work for Trading 212, so will stick to facts rather than spin.

We can see how the details on the website could have been confusing, so have taken steps to clarify the matter. Trading 212 offers both CFDs on stocks and 'real', non-leveraged equities. The real stocks are listed in the Equities tab on the website's Trading Instruments page. By purchasing an equity you become the owner of the asset, you are entitled to receive dividends, etc - these are not leveraged and are not CFDs. They are the same stocks you would buy through any other broker. The instruments in the Stocks tab (now renamed Stocks CFDs for clarity) are CFDs on stocks. The commissions charged on these are explained in the Terms and Commissions section.


I have been playing with the practice account considering to open a real one for intermediate-term stock -NOT CFDs - trading.
The platform is excellent and easy to use however I have noticed a couple of things that are unclear:

1) When you buy UK equities and I am talking about non-leveraged equities, the minimum amount you can buy - 1 ''unit'' - corresponds to 1% of the actual stock price. e.g. if you buy 1 unit of Barclays, that will be 2£ when the actual stock price is 200£. So you will need to buy 100 units of a UK equity to actually own 1 share. I dont know whether that is fractional trading or there is another reason behind it.
The same does not apply for german and US stocks where 1 ''unit = 1 share

2) Daily interest rates are charged at 22:00 at the end of each day. For UK equities the interest rate is 0, HOWEVER for US equities there is a daily interest rate deducted from your free funds and can be up to 0.13£ for the trades I have been practicing, which can amount to a significant monthly fee.

This is in contrast to the terms and conditions on their website where it is clearly stated that LEAVING AN OPEN POSITION FOR THE NEXT DAY: No charge (For non leveraged equities)

I have to find the answers to the above, as I do not want to be involved with an online broker who is not upfront with their fees
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Nick Saunders on 10/07/2017(UTC)
Nick Saunders
Posted: 10 July 2017 08:22:13(UTC)
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Thanks for raising these issues, Peter.

I haven't been able to replicate what you say about UK orders. 1 unit should be one share. Barclays shares are a shade over £2 each, so in your example, it sounds like the amount is correct. The LSE, for reasons best known to itself, quotes stock prices in pence, while every other exchange seems to quote in dollars, Euros etc rather than cents. Could this be misleading you? I unit of any equity should be 1 share.

On your second point, this has been identified as a bug affecting the demo environment only. We should have noticed before, so thanks for bringing that to our attention - it should be resolved quickly. I confirm that no interest cost is applied when holding physical equities, whether UK, US or anywhere else and no-one has ever been charged.
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Peter Magill on 10/07/2017(UTC)
Peter Magill
Posted: 10 July 2017 21:49:48(UTC)
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Thank you Nick,

I have to say, scrutinizing your platform online, I have noticed that the company's people are always on their toes to answer questions and reply to comments/complaints (even the silly ones as I realized was my first point)

Anyway, I will keep experimenting with the demo account for the time being and maybe enter when I feel ready
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Nick Saunders on 11/07/2017(UTC)
King Lodos
Posted: 31 August 2017 22:56:11(UTC)
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I got myself a Trading 212 account just to see how I liked the service.

Mini 'fun money' portfolio of:
35% FCSS
25% Russia ETF
25% TRG
10% Gold
5% Cash

But likely to churn/trade.

Thoughts so far: slick interface (I recommend the Dark theme) and very quick/efficient dealing – nicely customisable .. Much prefer making trades with it than HLMarkets/IG – prefer the larger graphs too .. Very easy to edit position sizes .. Feels a bit like if Apple made a trading platform.

Slightly limited range of investments compared to HL – and limited information and past data on some .. But it is a trading platform first, and I've been able to find ITs to fill gaps where ETFs aren't available .. You might need to use other sites to compare investments, get more detailed information, see things plotted in GBP.

The main reason I've got this is so I can move a little more of my portfolio into ETFs – on US and UK exchanges – so I've got a front line of investments I can liquidate very quickly (and buy back in cheaply .. doing that while paying HL's inflated share-dealing fees never sat comfortably with me).

Very happy with it so far .. Would direct access to Asian exchanges (for Equity and ETF trading) ever be possible?
t s
Posted: 01 September 2017 09:20:46(UTC)
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Alan Selwood;48358 wrote:
So the view so far seems to be that you could be spending more by going the 'cheap' route than by keeping it simple and paying slightly more for the actual deals.

Difficult to beat iWeb on £5 commission on deals and no annual fee, or X-O on £5.95, also with no annual fee.



I use X-O.co.uk - No problems. Always very helpful when needed. They don't do funds.
Some stocks aren't quoted but they will list if you ask them to.
Nick Saunders
Posted: 12 September 2017 12:40:55(UTC)
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King Lodos;50571 wrote:
Would direct access to Asian exchanges (for Equity and ETF trading) ever be possible?



While I'd never say never, as things stand at the moment it's not high on the list. Our clients are almost exclusively European and so the volumes are in UK / US / Euro stocks; it's the volume which enables us to drive the costs down to a level where we can offer an attractive commission structure.

I'll take a look at what we can do though, and see if we can do anything to improve the offering. Thanks for speaking up - much better to know what sort of demand there is for these things than trying to guess.
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King Lodos on 12/09/2017(UTC)
King Lodos
Posted: 12 September 2017 15:02:03(UTC)
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Nick Saunders;51034 wrote:
King Lodos;50571 wrote:
Would direct access to Asian exchanges (for Equity and ETF trading) ever be possible?



While I'd never say never, as things stand at the moment it's not high on the list. Our clients are almost exclusively European and so the volumes are in UK / US / Euro stocks; it's the volume which enables us to drive the costs down to a level where we can offer an attractive commission structure.

I'll take a look at what we can do though, and see if we can do anything to improve the offering. Thanks for speaking up - much better to know what sort of demand there is for these things than trying to guess.


It's really just these Asian 'FANGS' (Tencent, Aliababa, Jd.com, Baidu..) – I'd expect retail interest in these kinds of stocks to pick up, if not now, then maybe in a few years .. Some of them are accessible on the NYSE, but not with Trading212 yet (except via CFDs).

Another thing I was wondering (I was going to try tech support – who are great – but it may be a little too technical), is, with Investment Trusts and ETFs, you sometimes get quite big down spikes in price (especially on tick by tick) .. Usually very short – sometimes it sits on a down spike at the end of trading..

.. obviously a liquidity thing with these less liquid instruments .. My question is: could these trigger a stop-loss? Here it is with TRG .. With most, it's not an issue at all


King Lodos
Posted: 15 September 2017 09:29:14(UTC)
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Should add I'm still getting wider spreads on some investments on Trading 212.

TRG
Hargreaves ... 1186 || 1192 ... 0.51%
Trading212 ... 1134 || 1191 ... 5.03%

I don't know how much to trust that price, but if the spread's correct, that certainly nullifies any savings on the trading fee
Nick Saunders
Posted: 15 September 2017 09:37:37(UTC)
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Shouldn't happen. What stock?

All our prices come from an exchange or MTF. Nothing is internalised.
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