Best broker for AIM (UK) small caps

I’m looking for the best UK broker to trade Aim listed stocks with? Currently using HL but a the level I’m trading a few hundred to a thousand per company. The Execution fees often mean a starting position of 5-10% which is not fee’sible (pun intended). I’m obviously using Freetrade and love their platform but without the small caps on here I’m looking elsewhere to get access to them. Any lower fee’s or isa’s in the UK. Any brokers you can recommend?

Cheers

I don’t know what HL fees are like but I use AjBell You Invest and the dealing charge is c£10.
Sometimes take a hit on spread but nothing to be done about that with AIM.

Out of curiosity, which AIM stocks are missing from FT which you like?

They have at least the following from AIM:
Keyword Studios, Boohoo, Frontier Developments, ASOS, GB Group - all relatively small caps.

They are missing SUMO and team17 though

Hotel Chocolat, Burford Captial, Dart Group, YouGov

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Wasn’t Burford Captial exposed for fraud by muddy waters?

Wasn’t Burford Captial exposed for fraud by muddy waters?

No, Muddy Waters and their mates sold the shares short and then put out a hatchet-job, ‘throw the kitchen sink and see what sticks’ negative report, accusing them of everything from poor corporate governance (e.g. directors married to each other, true) to fraudulent/ false and misleading reporting (generally not).

The latter was mostly MW’s deliberate / pretend misunderstanding as US-based investors of how international accounting standards work and misrepresentation of what they believed investors would have thought when reading Burford’s reports and presentations, and how it couldn’t possibly stack up, with the intention of shaking the price down so that MW could profit.

The report was roundly rebutted by the board, with the transactions properly explained, but not before the damage had been done to the share price which is hard to recover from in an AIM small cap which does not have the support of the main capital markets - especially when casual investors such as yourself are still thinking a year later, “hmm, I heard they were exposed for fraud…”. I looked at all the reports and announcements after they had tanked and made a quick 40% as they bounced back, and then bought back in after the Covid falls which is looking OK so far, but you never know with speculative punts on smallcaps :slight_smile:

Most of my individual holdings are via AJBell for ISA/SIPP or Jarvis X-o for unwrapped, some bought at Interactive Investor before their price structure changed for the worse.

As an aside, those example AIM companies available through FT such as ASOS, GB Group, Boohoo are not really ‘relatively small caps’; those three at least are all £1-5bn market cap range, and would be FTSE250 stocks if they were on the main market, all too big for FTSE SmallCap index.

IG are the best as they provide DMA in additional to the usual quote system.
DMA means you can place orders directly on the order book.
For a lot of illiquid AIM stocks this can save you quite a lot as usually the market makers have a fairly large spread.
Here’s an example of someone using DMA: https://www.sharesoc.org/blog/brokers/a-liquidity-fairy-tale/
£3 a trade as long with no other fees for ISA and share dealing accounts as you make 3 trades a month.

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