In an industry where every broker claims to be the best, finding one that matches your investment needs can be daunting. In this article, we guide you through the process of selecting an online trading broker by examining their stocks on offer, their fees and onboarding experience. We also highlight the different types of UK online brokers and their respective features.
In addition to UK online brokers comparison costs, a stockbroker’s non-trading charges should be considered as well. These can range from currency conversion fees, deposit and withdrawal processing fees to inactivity charges. Fortunately, most brokerages are transparent with their trading and non-trading charges and will disclose them clearly on their platform.
Lastly, it is important to consider the tax implications of trading stocks in the UK. In particular, profits from trades may be subject to Capital Gains Tax (CGT), so it is important to keep track of your gains and losses.
What to Look for in a UK Online Broker Comparison
When choosing an online stock broker, it is important to consider their regulation and licensing. Specifically, it is important to select a broker that is regulated by the Financial Conduct Authority (FCA). This ensures that the broker adheres to strict financial standards and follows a code of conduct. In addition, investors with FCA-regulated brokers are protected up to PS85,000 through the FSCS scheme in the event of a broker’s failure.