FT not informing users sufficiently when executing trades

I keep reading the same type of posts about users getting screwed.

If a number of people complain about the same thing, there is a problem. I agree with them. I think there is a problem.

FT is not marketing to serious investors, its the young retail crowd. In many cases they don’t have experience, so it is up to FT to hold their hands. To make it very clean on execution that the prices are 15 minutes out of date, that the last price was a last trade price not a price they can deal on.

If they are buying, then show indications on the offer, not mid or last.

FT doesn’t give an indication of bid and ask. This is very poor . Esp as some retail chase penny stocks where bid/offer could be 10%. They need to know this as part of their investment decision. FT is failing them.

Please sort this out before the regulator does it for you.

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:roll_eyes:

I think this has been asked and answered

No live pricing for now. Reason = cost.

Is it compliant? Yes

Is it entirely clear to newbies? No

Does that strictly speaking matter in the eye of the Regulator? No

‘Education’

That’s the party line.

Repeat. It with me: ‘education’

Yeah, that’s right. ‘Education’

Everybody! Sing it with me now. ‘Education’

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Mind-boggling.

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There’s a lot of resources on the website freely available for anyone to learn from.

There’s an abundance of educational resources all over the internet.

Each one of us have to do their own homework and ask for help as needed. The only other way is to delegate decisions to a professional.

Agree with the price display. That’s the only thing I prefer HL over Freetrade.

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I very much agree, though I’d say it’s an issue of reputation and retention, not of regulation. If you’re going to market to newbies with no trading experience, I think it’s the decent thing to do to give them more support. Educated customers will keep trading; people who get confused and think they’ve been ripped off will leave and spread bad reviews.

Freetrade is developing some educational resources such as those linked from the menus at the top of this forum. Could the app help to link to these, in the same way it directs people to the forum for discussions about companies? Without cluttering the UI too much?

And is there anything Freetrade can do about communicating pricing better? I don’t mean real-time pricing, but some way of explaining to newbies that the number they see on the app is not like a price tag in a supermarket!

What I’m getting here is lots of references to providing training/education to inexperienced investors who in fairness quite like the low cost experience.

The issue is, once you’ve educated them and explained what Bid / Offer spread is, explained how there’s live prices and 15 minute delayed prices, explained how the Level 2 order book works, you’ve now got an educated investor… and educated investors can see the limitations of FT.

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RTFM

The info is there, most are too lazy to research/read it and are just hoping to jump on the rocket to the moon without realising it’s not that straight forward.

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Exactly Nicko, for some it’s not enough that Freetrade provide a service which saves new investors hundreds if not thousands of pounds a year vs competitors.

There is only so much you can do. If you’re using the platform to invest in reputable companies then the 15 minute spread is irrelevant in 99% of cases. However, if you are using the platform to try and day trade Argo Blockchain or any other volatile small cap then you are going to have problems. However, that is the same with any broker unless you pay for level 2 data with a separate provider.

I’d also argue that losing money trying to day trade when you first start out is a lesson in itself that you can’t just waltz in and make money straight away, especially not punting on small caps.

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There is a tiny line in the small print at the bottom that says price shown is indicative only.

It shouldn’t be there where no one will see it, it should be up top, next to the price, where it can be easily seen

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It was mentioned in an AMA they’re working on better pricing feeds and changing their data provider. So there are improvements in the pipeline.

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I could be the first person to moan about a lot of things, but at the end of the day FT is not a Financial Advisor. Everything on their site is clear when it comes to prices, you even get warning when prices haven’t updated for some time. Educational pieces would be beneficial to many, however even with the best education possible you can never guess/time the market, and anyone losing money as a result will find it easy to blame the obvious choice. The provider!
If we want to keep this platform as an EDLP model for investors, then it needs to be with individuals to do their own research and seek individual and independent financial advice. Its really not difficult to open a separate tab for Yahoo Finance or Google the share to see the live price.

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Live prices would be great, unfortunately it seems they cost a lot of money per user. I guess Freetrade could consider a paid add-on to allow live prices but it gets really complex if you’re covering several markets and day trading penny stocks really isn’t their focus (nor IMO should it be).

What I’d like to see which I feel is even more important for investor education is default time scales upped to a year, historical data covering more than a few years, and log graph options so that investors are encouraged to look at the long term performance of a stock, rather than track the price daily or by the second which is not very healthy unless you plan to buy/sell daily.

One month is the wrong timescale for almost all investors/traders I’d content - too long for traders and too short for investors.

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You can take a horse to water…

…But they’ve spent 30 seconds on Reddit so know stonks will make them an overnight millionaire.

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People should only invest in equities what they are prepared to lose, or invest for the long term time horizon (5+ years).

We’ve got a culture recently of every man and his dog buying GameStop and Argo Blockchain in order to get rich quick.

This is not FT’s fault. Investing comes with a lot of risk. People need to learn about how to manage risk for themselves - there’s a lot of courses out there such as on Coursera that provided education on portfolio management.

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When the whole GameStop thing was in the news, I got a full page announcement Popup in my HL app, saying something like think carefully before investing in “popular stocks” or speculative crazes.

And HL is meant to be a more “serious”investment app… where ppl supposedly known more about investing

They didn’t have to do it, but I think these things can be a good reminder

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It may not be his fault entirely that you couldn’t drive, but from a completely pragmatic point of view, if he runs a nationwide car dealership that sells lots of cars to young kids who do the same thing that you did, he (and other car dealers who will get lumped in with him) will start receiving negative press, and sooner or later someone’s parents will start a pressure group demanding that people show a driver’s license before buying a car. It’d look better for the car salesperson if he had a few big posters in the showroom reminding the kids to drive safely.

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I’ve seen similar message in freetrade app too

I think some of the comments are getting a little off my point and some are simply not helpful.

I am not suggesting live prices, or a lack of educational material available.

What I am saying is that there are a group of inexperienced users who cannot be bothered to educate themselves, but when things don’t go as they expected they are very vocal and like to complain. The risk is too many of them complain to the FCA and make life harder for the rest of us.

In startup world, one of the first things we learnt was the user is always right. I think there are simple things FT can do to make it more obvious or easy for both themselves and their users. Although these users are ‘wrong’, the fact that they end up in this situation means there are problems.

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sure but that’s up to him. It would be nice, but he was under no obligation to be nice.
We have gotten into a pattern as consumers of feeling entiteled to dictate which services a business provides and doesnt because we are “paying customers”. There is a vast difference between requesting a feature, and straight up demanding it with hyperbolic language such as “Please sort this out before the regulator does it for you.”

Sure it’s good practise to listen to customers, but if a company doesn’t want to, then unlucky.

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Let them waste their time if they want.

Everything is clear if you read through the help pages.

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