Depending on the % reduction of FX fees it feels like it might be enough in it’s own right.
For anyone investing 1k a month and not touching it forever thats 5gbp of value per month right there. Assuming a few trades or a larger sum, that is easily 10gbp and a total no-brainer.
I support this view and would also ask that Freetrade don’t make the product purely designed for traders. Many (most?) investors prefer to buy and hold while trading infrequently.
Have been waiting for the app to launch in France for a long time (very long time) and considering the current market landscape in France the app will still be in demand as it is (the app is already better than any single bank offering brokerage services in terms of pricing and the app simplicity).
There are already apps trying to make a universal app for all the markets at the same time (best example is Revolut)
At this point in time it seems that a better value proposition is to tailor the app for the largest markets in the EU with the respective tax-wrapped accounts for each of the markets (PEA in France e.g.).
The point raised is valid and indeed the product offering should still be enticing to people without access to tax wrapped accounts in the EU but would reiterate that tax wrapped accounts should not be de-prioritized.
Have to say, now I am used to just invest by amount and don’t care at all about whole shares (Adam was right on his AMA!) But a guess a few people have OCD so it matters
Good job Freetrade team for listening and acting on the feedback from the community!
It isn’t just about OCD though. Fractional shares create extra work for someone either FT or the share owner in certain circumstances eg stock splits/mergers etc.
Fractions are great for ease of investment and portfolio balancing but there are issues when it comes to some corporate activities. Or at least that has been my experience with fractions on another platform.
I’m sure I’ve missed a post somewhere, but what is the difference between a limit order and a triggered order? I can’t seem to make sense of it based on the post above
Limit order is guaranteed price or better, but does not support fractionals.
Triggered order is a market order that is executed when the target price is hit, but does not guarantee against price fluctuations. These do support fractions.
Fractional shares create extra work for someone either FT or the share owner in certain circumstances eg stock splits/mergers etc.
It’s a simple toggle box on the form for splits. Not too sure about mergers.
Is this because limit orders go into an order book that doesn’t support fractionals?
Doesn’t FT have the ability to not trade if the price is too low? Couldn’t that be used to do limit orders with fractionals? I’m just remembering something about FT monitoring exchange prices to ensure users aren’t getting screwed over by market makers? Or is that a reactive check after the fact only?
This is just how it’s handled by our US orders partner.
I believe limit orders (whole shares) go into the order book directly, but for fractionals they have to do an extra step which can’t be a guaranteed price.
Speculating, I suspect it’s because you’re buying / selling X shares at the guaranteed price and then a fractional part of a share which may come from a share traded in the past / future at a potentially different price. I’d have to ask around to be sure, and remember I’m a software not brokerage guy so don’t quote me on it.
Regarding monitoring exchanges, prices have to be within the NBBO (US) or LSE bid-ask spread else they’re rejected.