Ha ha. Good point, will edit
I suddenly feel soo much poorer
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It’s definitely gonna be £13 a share, because that’s how many RED FLAGS Billy from the freetrade social media team put on his twitter response about the valuation 
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That was like a month ago. Surely 14 or 15 flags by now
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Impressive 
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That figure is pretty low tbh, Hargreaves Lansdown customers accounts as a comparison are about 100 x larger.
No hate on Freetrade, I am an investor, but account values are so low. Hopefully that improves significantly over time.
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That is not hate, just facts, and interesting TBF. 
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Average user balance £909.
Much higher average user balance than Robinhood which is $240 ish
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I would imagine this is soo low due to people signing up for a free share and that is it. I am shocked it is so low TBH.
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Wow that’s extremely low, I knew the memestock stuff would drop the average per user so I had 1.8 in my model, but clearly I massively overestimated it.
I figured SIPP transfers alone would probably be close to 500m by now, which paints a pretty poor picture for all the new GIAs this year.
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Its crazy to think for every £100k account there must be about 99 x £2 ones to get that average. Heck even my relatively small portfolio on this platform must offset a few 
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Newsflash: the growth in UK stock market investing is based upon bored teenagers and furloughed baristas investing their spare change to chase gainz and get free shares.
Established brokers with “real” investors will be less affected by it, but Freetrade, Robinhood etc are going to have AUM figures massively affected by “new” investors.
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Funny to think if FT traded now it would double that over night
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Yep and this is to be expected for a company growing so quickly from effectively a standing start without having the type of customers the likes of Hargreaves Lansdown have had on their platform for decades. This will increase. People’s attitudes will change and hopefully many of the new customers will continue to deposit into their new accounts regularly.
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At one point last year I was debating finding ETFs with a tiny spread to chrun a few big trades to see if I could make the FT weekly top 10 and try and get a better estimate for FT trading volumes - so I could better estimate FX revenue.
I figured it would completely impractical and too expensive but in hindsight it might actually have worked. The bottom of the top 10 has probably been sub £100k in some weeks.
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Yes! This AUM average will probably match Hargreaves one day, if Freetrade move away from offering easy freebies and continue to be successful for another 10 or 20 years
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Lets remember Freetrade is a young company so the AUA is actually good. Comparing to HL isn’t necessarily a fair comparison.
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To be fair, people won’t shift their hard earned money in overnight. They will move money, pensions, ISA’s in over time as they grow to like the platform. Consider that 80% of accounts were opened in the last 12 months. Yes, there will be loads of younger people that maybe just have a free share for now, but many will use FT as their brokerage as they save and invest over the next 5,10,20 years. HL have been around for decades and I imagine the average age of their users is well into the 50’s or even 60’s. In any case FT earns revenue from subscription fees and not as a % charge on AUM as HL does.
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True but I don’t think anyone expects it to be anywhere near HL numbers but 120x is quite a lot. But as mentioned it is a young company and definitely going in the right direction. Subscriptions is the big £$£$ so if people are paying for small accounts that is great. 
Personally, I would go away from the free shares and move to a monthly £XXX value of shares prize and open to all new and old, for loyalty, similar to what Nationwide do. Maybe every account that gets funded in the month gets an entry. That would keep people with FT and entice new people for a bigger win and longer term stake whilst removing the inflated figures from single share accounts.
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