Best ETF Platform UK: The utilisation of daily ETF trading platforms has gained immense popularity as an investment and trading strategy.
Check out the list below to find the top providers of ETF trading platforms for UK investors who want to diversify their portfolios.
eToro – Ideal for copying trades
If you’re looking to follow the strategies of successful ETF traders, eToro is the go-to platform for UK investors. It boasts one of the largest copy-trading communities in the country.
One of the standout features of eToro is its 0% commission on trades, which helps to keep costs low for investors.
If you want to practice without risking real funds, eToro provides an excellent demo platform with virtual money. You can even engage in copy trading from the demo platform.
What I really like about eToro for ETFs is that they offer over 300 ETFs, along with a wide range of other assets if you wish to expand your investment options.
I’m based in the UK and currently use eToro for my personal portfolio. It’s just so easy to use.
eToro also provides a great selection of educational tools, including their podcast called “Digest and Invest.”
In their latest episode, they cover how ETFs can be an effective tool for diversification.
Fees: Zero commission trading, $5 USD withdrawal fee, $10 USD inactivity fee, currency conversion fees
Minimum balance: £10
Products available: General Investment account
Freetrade – Best for free shares
You can open an account with Freetrade using our link and you will receive a free share valued up to £200 when you make an initial deposit of at least £50.
However, there are plenty of other reasons why Freetrade deserves a spot on my top list.
Freetrade is a highly cost-effective platform, offering zero platform fees if you’re comfortable trading through the general investment account.
If you require a tax wrapper, you can access the stocks and shares ISA with the standard plan for just £4.99 per month. This plan also includes automated order types and 1% AER on any uninvested cash.
Now, here’s why I particularly like Freetrade for ETFs. While they may not have the largest selection of ETFs available, with 400 options, it’s still sufficient to meet the needs of most investors.
Additionally, Freetrade offers a wide range of other assets, including fractional shares, allowing you to create a diversified portfolio.
Fees: Commission-free trading on all stocks, shares, and ETFs
Minimum balance: £0
Products available: General Investing Account, Stocks and Shares ISA, SIPP, Freetrade Plus
Moneybox – Simplifying Investing
For first-time buyers, Moneybox is an excellent choice. You can pay up to £4,000 per tax year and receive a 25% government bonus on all savings!
This means for every £4 you save, you get £1 for free. If you pay the maximum £4,000, you’ll receive a £1,000 bonus – each year you save.
Moneybox is part of the new wave of apps that seamlessly combine investing and saving.
They offer a wide range of products, including automated savings, round-ups, and various account options such as tax wrappers and savings accounts.
What sets Moneybox apart is its simplicity and user-friendly approach.
It requires minimal intervention from the user, making it a perfect choice for those seeking an easy-to-manage investment solution.
When it comes to ETFs, Moneybox offers a total of 12 options. While this may not seem like a large selection, the beauty of Moneybox lies in its simplicity.
They have deliberately chosen to avoid overwhelming investors with numerous choices.
Instead, they provide a curated selection of ETFs managed by renowned industry leaders like Vanguard, BlackRock, and Legal and General.
Fees: £1 per month
Minimum balance: £1
Products available: Stocks and Shares ISA, General Investment Account, Junior Stocks and Shares ISA, Cash Lifetime ISA (3% AER), Stocks and Shares Lifetime ISA, Personal Pension
interactive investor – Best for a variety of investments
interactive investor offers a fixed pricing structure that can be very cost-effective, especially for larger investment portfolios.
They also provide a wide range of account options, including ISAs and pension accounts, to safeguard your gains from Capital Gains Tax.
Here’s why interactive investor stands out for ETFs. As the second largest platform in the UK, they are renowned for their extensive range of assets, and their selection of ETFs is nearly unmatched.
With over 1,000 ETFs to choose from, you’ll have ample options to diversify your investment.
interactive investor recently introduced their new Essentials Plan, which offers an affordable way to invest in ETFs through a tax-efficient ISA at just £4.99 per month.
What I find particularly appealing about interactive investor for ETFs is the wealth of education and data they provide.
You’ll find an up-to-date list of the most purchased ETFs in recent months, as well as information on the top performers.
Fees: £5.99 per trade, annual custody fee starting at £4.99, £40 bonds fee
Minimum balance: £0
Products available: Stocks and shares ISA, Junior cash ISA, Junior stocks and shares ISA, Self-Invested Personal Pension, company account, cash savings
InvestEngine – Ideal for low-cost ETFs
When it comes to keeping costs low, InvestEngine excels. They offer zero platform fees, set-up fees, dealing fees, ISA fees, or withdrawal fees.
This makes it one of the most affordable ways to invest in ETFs. And ETFs are their specialty.
InvestEngine has introduced a way to invest in ETFs that caters to both novice and experienced investors, offering both a robo-advisory service and DIY options.
Get a £25 Welcome Bonus when you invest £100 or more. Plus, receive an additional £100 when you transfer or invest at least £10,000 in your InvestEngine ISA before 2nd May 2023.
Please note that with investments, there is a risk to your capital. The value of your investments can both rise and fall.
Here’s why I appreciate InvestEngine for ETFs. They provide an extensive selection of over 550 ETFs to choose from, and the DIY portfolio comes with zero fees.
Even the managed service is incredibly cost-effective, with an annual fee of just 0.25%. Plus, anyone can get started with just £100.
Fees: 0.25% platform fee for managed portfolios, £0 DIY portfolio
Minimum balance: £100
Products available: Stocks and Shares ISA, Personal Account, Business Account
AJ Bell – Ideal for ease of use
AJ Bell offers investors an excellent platform that is incredibly user-friendly and easy to navigate.
They also provide a variety of account options, including tax wrappers to meet different investment needs.
The pricing structure at AJ Bell is most suitable for those who prefer to buy and hold their investments rather than frequent traders, as the share dealing price may be less favorable for active trading.
Here’s why I appreciate AJ Bell for ETFs. They have introduced a Favourite Funds list to assist investors in selecting ETFs.
Additionally, they offer a convenient regular saving service starting from just £25 per month.
This service can be quickly set up online and left to operate automatically, allowing you to regularly invest funds into your chosen ETF.
AJ Bell offers a good range of account types, including various tax wrappers, to cater to different investment preferences.
Fees: £9.95 for buying and selling ETFs.
Minimum balance: £25
Products available: Stocks and Shares ISA, SIPP, Dealing account, Junior Stocks and Shares ISA, Lifetime ISA
IG Investments – Best for expert help and tools
IG is one of the most reputable platforms in the UK, offering a wide range of investment services at low cost and with exceptional customer service.
An additional advantage of IG is that they are listed on the London Stock Exchange, providing an extra layer of security.
They also have a robust education section called the IG Academy, offering various resources to enhance your investment skills.
Here’s why I appreciate IG for ETFs. They provide investors with both execution and fully managed accounts, allowing you to actively participate in buying and managing your ETFs, or opt for their team of experts to invest on your behalf with an IG Smart Portfolio.
Furthermore, IG offers an ETF screener, a valuable tool for finding ETFs that align with your investment objectives.
With over 2,000 global ETFs to choose from, you can categorize them by asset class, performance, or ISA eligibility.
Fees: ETFs starting from just 0.4%
Minimum balance: £250
Products available: Stocks and shares ISA, share dealing account, Smart Portfolio account, Smart ISA Portfolio account
DEGIRO – Ideal for education
If you’re seeking to expand your investing knowledge or determine your investor profile, DEGIRO is an excellent option.
Their Investor’s Academy is a treasure trove of information and lessons designed to assist you on your investment journey.
Here’s why I appreciate DEGIRO for ETFs. They offer a wide range of ETFs on 19 major exchanges, ensuring that whether you’re interested in local or global ETFs, they have you covered.
DEGIRO also provides information on the three most traded ETFs on their platform from the previous year, allowing you to tap into the wisdom of the crowd.
This includes popular options like the Vanguard S&P 500 UCITS ETF.
Additionally, DEGIRO offers a Core Selection of 200 ETFs that are completely commission-free, helping you keep your costs low.
Fees: Commission-free for dealing ETFs
Minimum balance: £1
Products available: GIA
Saxo Markets – Best for research and tools
Saxo Markets provides access to a vast selection of over 40,000 financial instruments through its award-winning trading and investing platform.
What sets Saxo apart is its exceptional research and market analysis capabilities, empowering investors to make well-informed decisions.
Their platform includes features such as comprehensive market analysis with a screener, in-depth product analysis with charting data and key statistics, risk management tools like stop loss orders, and portfolio tracking analysis with performance history.
Here’s why I appreciate Saxo Markets for ETFs. They offer a wide range of over 6,700 ETFs in sectors such as technology, healthcare, and the environment, among others.
You can purchase ETFs with as little as $3 in commission, and Saxo goes the extra mile by providing investment inspiration, live market updates, expert analysis, podcasts, webinars, and research across various sectors and markets.
Fees: ETFs starting from $3
Minimum balance: £416
Products available: Saxo account, Joint account, Corporate account, Professional account, ISA account, SIPP, Trust account
Hargreaves Lansdown – Ideal for security
Hargreaves Lansdown holds the title of being the largest platform in the UK in terms of market share, providing you with peace of mind regarding the longevity and stability of the platform for your long-term investments.
With Hargreaves Lansdown, you can open an account with just £1, and they offer a wide range of accounts designed to cater to all your investment needs.
Here’s why I appreciate Hargreaves Lansdown for ETFs. You can hold ETFs for free in their fund and share account.
If you decide to utilize a tax wrapper, such as an ISA, you can access it for an annual charge of 0.45% with a maximum of £45.
Hargreaves Lansdown also publishes their most popular ETFs, and they have a dedicated research section on their website specifically for ETFs, where you can register to receive updates.
Fees: £11.95 per trade, 0.45% annual custody fee
Minimum balance: £1
Products available: Stocks and shares ISA, Fund and Share Account, SIPP, Lifetime ISA, Active Savings, Junior Stocks and Shares ISA, Junior SIPP, Junior Investment Account
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Keep in mind that investments can fluctuate in value, and there is a possibility of both gaining and losing money. The taxation of your investments will vary depending on your individual circumstances, and it’s important to note that tax regulations can change over time.
