Do I need to worry about Freetrade’s volume?


Morning Freetrade Team,

Newbie trader here so excuse the possible ‘dum’ question.
I maybe getting confused against how crypto volume works but do I need to worry about how much volume is actually traded through freetrade as a broker to be able to sell a stock or ETF successfully or do they work differently to Crypto volume, I’ve been stuck in a crypto trade previously because I purchased on an exchange with low exchange volume even though the total market volume was decent but was trading on a larger exchange making it difficult for me to sell the coin I invested in? Even though the overall market volume is high on a specific stock or ETF as freetrade are a new exchange does this mean the volume for a specific stock or ETF traded through freetrade could be much lower than the market volume making it more difficult to get in and out of a trade? Hope that makes sense, little difficult to explain on messenger :slight_smile:

Investing and markets chat guidelines

Hey! Great question and awesome you’re branching into stocks.

The basic answer is stocks and ETFs aren’t like crypto (in many ways). When you buy and sell on Freetrade, you’re connecting to the same huge worldwide stock exchanges used by all brokers, NOT just other customers on the platform.

You’ll get the true, best market price on your assets and the liquidity you need to buy and sell instantly.

(Tbh it’s kind of complex but even with a stock that has low volume globally you never get ‘trapped in a trade’ because of bodies called market makers which undertake to always take the other side of a trade)

TL;DR stocks do not = crypto. You won’t get stuck in trades.


Toby! Cheers buddy… Just saved me some time scrolling the internet for the answer!


You’re welcome dude! Welcome to stock country. If you’re new might be worth checking out some of the articles in this thread too:

(Calum McWhir) #5

We’re a broker (giving easy access to the exchange) rather than the exchange itself.

View the crypto exchanges you use as very small and independent (and unregulated) equivalents to the London Stock Exchange, rather than Freetrade. Of course, LSE volume is huge on account of the sheer amount of capital that flows in and out between assets daily. Whereas crypto exchanges, as @Toby says, are limited by their customer numbers and what capital they bring to the table, which for many is much lower than peak at the moment.


thanks again Toby


thanks cal