I agree that the fee for instant trades is a disadvantage for small investments.
But I’ve always imagined that someone in this scenario wouldn’t be too concerned about instant trades when they’re just starting out. If you’re testing the water then I’d have thought you’re unlikely to be trying anything too time sensitive? Or at least, you probably shouldn’t be..
I second that, if there are initial investors, the best strategy for them would be to view it as a mid to long term savings. Find something that they are interested in ( e.g. Apple products then APPL shares), that way it’s something more personal to them so they are more likely to remember\view and monitor. Once they’ve got a taste\more rounded understanding then branch out into other shares - always good to have a good understanding of the company, what they do etc
Sorry to disappoint, but as may as I would love it to be it’s definitely not a matter of days to add them!
We have already started working on the integration (in fact Adam and I are heading out to the US in late July to see our key partners out there), and we’re hoping we’ll be adding to the platform pretty soon. The delay is due to the fact that we need to build the connections to our FX partner and to the US, and we chose to prioritise the UK connections first.
Fundamentally though our backend software is ready to deal with US stocks, and just needs linking up (and plenty of testing!). So hopefully it shouldn’t be too long a wait.
I see that FX rates are interbank rate + 0.5% is it hight/low? I have not compared to other brokers.
How does trading on US markets going to work?
From what I remember I would not be able to keep USD in broker account (this might be a general rule in UK?)
My money will be always in GBP and when I trade it converted into USD and vice-versa?
With Freetrade, at least you do not need to invest £100,000 to get 0.5%, you get that with £1. And it has also been mentioned that Freetrade intends to come up with further FX reductions (whether for all or for Alpha users - no idea), but that is not in the short term.
After all, one day they could also implement a USD denominated storage within your account which could sole FX issues altogether.
In terms of this, it would essentially be a 0.5% commission on non-UK transactions. If you invest £100 into the US security, then sell it, assuming no fees and no growth/loss, you will end up with just over £99 (£99.0025 to be precise).