In 2021, what is the best Robinhood App alternative?
In my perspective, the Freetrade app is the best option. Freetrade is a zero-commission stock and investment trading platform that also allows for fractional share investing. It offers a diverse range of investments and is an excellent approach to build a portfolio over the medium to long term. It’s essentially a British version of Robinhood, with a lot of similarities.
New users can take advantage of a limited-time offer from Freetrade. Anyone who joins through my link and deposits a minimum of £2 will receive a free share worth up to £200!
Are there any additional fees associated with Freetrade?
No, Freetrade charges no commissions on all buys and sells made through their app. Unlike standard investment sites, such as Hargreaves Lansdown, which charges up to £11.95 to purchase and sell a share.
You can use Freetrade to purchase and sell shares for free, allowing you to put more of your hard-earned money to work for you.
How is it possible for Freetrade to provide free stock trading?
Freetrade operates on the same freemium basis as Spotify and Zapier.
They consolidate all of the platform’s transactions and perform deals once a day. This allows them to take advantage of economies of scale and cheap transaction costs.
This means they can provide free General Investment and Share Dealing Accounts, which is fantastic for long-term investors who want to avoid costs that eat into their profits.
User Interface and User Experience
I’ve been using Freetrade for a while and find the platform to be quite user-friendly. It’s straightforward to use and makes trading a breeze.
The app is available on Apple’s (iOS) and Android’s platforms, but not on the PC.
Is Freetrade a Safe Robinhood Alternative?
The Securities and Exchange Commission regulates Robinhood. The Financial Conduct Authority, the UK’s equivalent, regulates freetrade.
The Financial Services Compensation Scheme will cover your investments up to £85,000 in the unlikely event that the company fails.
Robinhood vs Freetrade?
Robinhood, headquartered in the United States, has over 5,000 stocks on its app, while Freetrade, based in the United Kingdom, has over 4,000.
So Freetrade is a little behind in this department, but keep in mind that Robinhood has been around for 8 years longer.
I don’t believe this will make a significant difference for both novice and expert investors. Freetrade provides a diverse range of investment choices, including:
- Global stocks (Including UK and US)
- ETF’s (Exchange Traded Funds )
- Investment Trusts
- REITs (Real Estate Investment Trusts)
- SPACs (Special Purpose Acquisition Vehicles)
- Index Funds
They presently offer over 4,000 distinct individual stocks to trade; if you’re interested in a certain stock, you can see if it’s available here.
Every day, Freetrade adds new goods, and if there is one in particular that you would want to request, you can do so through their customer support.
Is There a Fractional Shares Alternative to Robinhood?
Freetrade, like Robinhood, allows for fractional investing. This is ideal if you’re new to investing and want to learn about the world’s most successful companies.
Consider the stock market darlings of the United States, such as Amazon (AMZN), Apple (AAPL), and Tesla (TSLA).
A single share in these computer behemoths would be unaffordable for most people through a regular stockbroker.
Amazon’s stock is currently trading at $3,200 per share! By anyone’s standards, that’s a lot.
We can purchase into Amazon for as little as £2 and receive a fractional piece in the company through fractional investing.
Although it would only be a little portion of the company, it would nevertheless allow you to be a shareholder, whereas previously you would have been priced out.
When will Robinhood be released in the United Kingdom?
The most recent Robin Hood update, released in April 2021, indicated that the game’s release in the United Kingdom has been postponed indefinitely. They haven’t given any more details on when their app will be available in the United States.
Last Thoughts.
Freetrade is my selection for 2021 if you’re an investor searching for a UK equivalent of the Robinhood app. This app is ideal for both novice and experienced investors who wish to take advantage of a diverse investment portfolio and commission-free investing.