Ask your beginners questions here 🐣


(Alex Sherwood) #99

Click the vote button next to the title to vote for the idea :raised_hands:

We don’t have a transfer process in place at the moment so you may incur charges if you sell your existing portfolio. Once you have, you can purchase it again for free using Freetrade though.


(Leon Angell) #100

The taxman knows about Freetrade?! Damn it! :unamused:


(Leon Angell) #101

I know we can recieve dividends on this app but what about EPS payments? Will that appear in our accounts too?


(Emma) #102

What’s an EPS payment?


(Leon Angell) #103

(Earnings per share) sometimes companies can give you some of their net profit as an extra payment.


(Leon Angell) #104

I go on a website called tradingeconomics.com and it’ll show all the data on different companies. Some will give you EPS payments AND dividends.


(Vladislav Kozub) #105

EPS is simply =Net profit/Number of outstanding shares. It is applicable for every single profit making company (i.e. you will not see Tesla having any EPS). This in no shape or form represents the payment a company makes toward shareholders’ brokerage accounts. For example, Amazon’s EPS in the most recent quarter was $5.07 but there is no way any investors will get a penny out of it.

Therefore, the dividend yield is the only way for companies to give cash to investors.

Correct, assuming a company is profit-making, it will either have both EPS and dividend yield (Microsoft, Apple, McDonald’s, etc.), or just have EPS (Amazon, Netflix, Alibaba, etc.). The former list simply pays dividends, whereas the latter does not.


(Leon Angell) #106

I see, I suppose it’s a added bonus if the company does become profitable. Will we recieve these into our accounts too?


(Vladislav Kozub) #107

Nope :slight_smile:

All you will receive is the dividends, which are usually announced months before being paid. EPS is just an indicator to show you how much profit each of your shares has earned for a given period, does not affect any investors at all.


(Leon Angell) #108

I see, thanks. I just signed up today. Im new to trading. I was going to use plus500 but I’ve heard bad things about that app so closed my account


(Vladislav Kozub) #109

Feel free to ask any further questions should they arise. This is what this topic is for. And hope you will have better experience with Freetrade!


(Leon Angell) #110

Once I’ve got passed the queue, what other steps do I need to undertake? You have access no doubt, maybe you can tell me


(Emma) #111

Plus500 only do CFDs which are an entirely different thing to proper investment

This is a good read explaining them


(Ben) #112

Thanks very much Jeff… appreciate it!


(Laszlo Simon) #113

They basically mean the same thing. A stock is ownership of a certificate of ANY company. A share refers to the ownership certificates of a particular company.

At least to my understanding.


(Thomas James Nicholls) #114

What are some good stocks to invest in with £100, and is there oppotunity to make any reasonable gains on this amount of money on a monthly basis. thanks, just got on the app today!


(Vladislav Kozub) #115

Hey Thomas, it is against the community guidelines to give suggestions for investing because people much make decisions for themselves and be liable for the consequences. So you won’t get anything like “invest in X and you will be fine” :slight_smile:

However, if you do not have ample experience in investing, you may consider ETFs like FTSE 100 or FTSE 250. Should you have invested £100 in the former 10 years ago today, you would have had it valued at circa £170 today with some decent 2 to 3 per cent annual dividend as well. The latter would have been about £300 with some 1 to 2 per cent dividend.

But remember, past performance is not an indication of future and investing in the market will not guarantee reasonable returns within less than years (even after five years they are not guaranteed, just significantly more likely).

The safest decision would be to find a few ETFs you like (even those FTSE 100 and FTSE 250) and keep investing your spare cash in them (on the proviso that you do not need that cash in short run). Reinvesting your dividends will also be a wise decision as it will help to gain the benefit of cumulative growth.

You can read other users’ investment stories and strategies (NOT recommendations) here.


(Kenny Grant) #116

I’d second etfs (far less risky than individual stocks), but also look at this for the long term. It must be long term (years, decades) to make any money.

In answer to your question, no you will not make lots of money from £100, but yes save £100 every month for a few years and you will start to accumulate capital, which is how you make money. This is long term, and long term you will also be able to up that amount, but start now even if you can only afford 100. Eventually your investments will make you more than you can put in.


(Thomas James Nicholls) #117

thanks vlad, ill have to read through the guidelines once more just to be safe.


(Thomas James Nicholls) #118

when viewing your portfolio is the percentages on the your investents section the percentage rise/fall from the time you purchased the stock? thanks.