Totally agree having these things under the same roof is definitely a big plus, freetrade offering the SIPP is I think a big reason why people choose to invest here.
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I think Trading 212 is kind of doing what Uber is doing. Offer really cheap accounts and fees to take out the competition.
Once the majority of the competition has gone, then jack up the prices
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Iām with IBKR, fx fees are the reason, close to 0.
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I mean theyāve been around much longer than freetrade and lots of other fintechs about, I call it staying on top in a ever more competitive market.
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The interesting fact of Trading 212 is that the asset under management are still extraordinary low at around Ā£4bn.
For comparison Hargreaves has over Ā£190bn of AuM and Aj Bell of Ā£80bn.
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Yeah itās going to get spicy once T212 open their sipp thatās why while this is happning freetrade countering with another big feature or a few.
Competition, is good for the industry without it we wouldnāt have innovations and companies becone lazy and then dominate the market which bad.
So hopfully everything keeps going and people csn try find away to take it to T212.
I donāt think itās fair to compare 212 with the likes of HL who have been around for a considerably longer time and have lots of older investors who havenāt moved for literally decades, it is fair to compare with the likes of freetrade, who if 212s assets under management is extraordinarily low then freetrade assets under management is miniscule?
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Totally agree mate, I just think that 212 opening a SIPP, thatās possibly free or at least cheaper than freetrade still is going to make it even more difficult for the likes of freetrade to be competitive, as I imagine lots of peopleās choice for staying here atm, is the fact they yes pay a fee but they get the ISA and SIPP under the same umbrella, if 212 offer a SIPP aswell then what do freetrade really have over them? More expensive(atm anything is more expensive than 212), higher FX fees,less perks in general across the board really.
Trading 212 has over 1 million users and Ā£4bn of assets under management meaning the average account is pretty small.
Big investors are smart enough to donāt use them with their trading.
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Well freetrade is a LOT less so what is your point? Also, what counts as a big investor to you? Because I have put a substantial amount into my 212 ISA, I also know quite a few people also with well over 100k in them? Like I said I think a lot of people on the likes of HL have been there for a long time, which is why you see HL doing things to attract younger investors, this is the good thing what companies like 212 and freetrade have atm, they have lots of the younger market investing with them, just a case of who has more and I can forsee whichever is the winner of this battle,(who I see being 212 personally) will massively benefit over the next generation of investing.
Moneybox has been going for 7/8 years and has Ā£10 billion AUA that is what I call SMASHING IT.
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Itās only a matter of time before Freetrade are snapped up. I have completely changed my mind about the IPO,I just canāt see it ever happening. Freetrade has approximately 1 million active users. They will be snapped up by a competitor at a valuation between 3/4 Ā£billion and 1 Ā£billion
There is lots of competition now, saw something about Revolut invest but their fees are high.
Sale or ipo sooner the better, my mortgage renewal is coming up next year.
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Nobody in their right mind is going to pay Ā£1,000,000,000 for Freetrade.
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IBKR donāt hold shares for anyone. This is a misconception from when 212 made some vague (incorrect) posts about where on earth shares might be.
This is inaccurate. IBKR donāt hold shares. They do have a custodian company who do have share ownership, this is a separate company from IBKR (for UK itās IBKR nominees limited UK). But with 212 being unclear on this, this does not guarantee itās actually held by the nominee or not
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Your cash and assets are kept separate from our own
Your moneyās held in client money bank accounts at some of the worldās largest banks. These client money bank accounts are completely separate from our own bank accounts. Your moneyās ring-fenced and there are legally binding agreements that your money belongs only to you and no one else.
Your investments are held at Interactive Brokers, one of the largest electronic brokers in the world. You can learn more about Interactive Brokers here. Your investments are ring-fenced and held in a pooled account, completely segregated from our own assets.
Even if we fail and go bankrupt, your money and investments are protected, accessible to you and canāt be used by us or anyone else.
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Personally I am not sure who will win the battle on UK trades however I do believe with companies like T212 & Freetrade (just to name a couple) offering free dealing or subscription based monthly charges (like Freetrade) will continue to disrupt the market and will take market share from the others.
Being honest it wouldnāt surprise me if more companies like HL (especially if the takeover goes ahead) and II etc might opt for the flat monthly fee for all trades in a bid to keep their dominant positions.
For US trades I believe RobinHood could easily take those trades away from most other companies as they have a good platform and the FX fee is 0.03% which at 3p for every Ā£100 is a no brainer, however I think they need to launch an ISA for many people to do US trades with them but once they do an ISA I can see them taking off in the UK in a huge way.
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It doesnāt really matter what they say, IBKR do not hold their assets, another company does, that might be IBKRs separate nominee company, but 212 never tells anyone which companies hold assets
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