Stake

Another free trading app given FCA approval

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This has been on the cards a while.

Another front end for DriveWealth.

This has been in the works for a while, we’ll see more companies entering this space soon.

Anyway I didn’t realise they let you Gift Shares.

No US shares, unless you pay a USD $5 fee to complete the W8-BEN

Not just a front end! This is the App!

In Stake’s Australian home market the company counts 50,000 users, with an average age of 32 and an average deposit of £7,000.

Wonder how this stacks up with Freetrade today.

“There is more money moving through Apple and Netflix securities each day than the entire LSE,” said Stake’s European Managing Director Richard Watrasiewicz. “For too long it’s been complicated, costly and expensive and in a few months from now, it won’t be.”

“The US stock exchanges combined make up 39% of the entire global stock market value, with a market capitalisation of $31 trillion, and are bigger than the next 7 exchanges combined. This is where the world trades, giving the UK easy access to this amazing market is what we do.”

Fractional shares on Freetrade will negate this threat from those providing it by plugging into DriveWealth.

In Australia Stake doesn’t charge commission or a trading fee, but does charge its clients 0.7% to convert their funds into Dollars.

Charging 0.7% here won’t go down well given some users can’t palate 0.45%.

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I imagine Stake will offer fractional US - since DriveWealth offer fractions. So I see no difference between Stake and Freetrade here barring costs.

If you’re referring to UK fractions… then yes… clear difference and a massive selling point for Freetrade.

Although Freetrade has the UK Stock Market quite well covered, it seems to me that Stake’s product is targeting traders, based outside of the US, who have a significant appetite for the US stock market.

With over 3500 US Stocks and ETFs compared to Freetrade’s meagre 130, I’d expect that Stake will attract some of the more sophisticated traders in the UK away from Freetrade, hence posing some serious competition.

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With this platform do you pay FX on every US trade like on FT?

so $5.00 to fill out a form which is FREE on freetrade
who are the so called “professional” investors it is aimed at serving

i think it is more professional to pay less with freetrade

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Would’ve been great if they could open up free trades for the UK investors in their home market Aus/NZ

Thanks guys. Looks like on FT you pay FX on every US trade. Im interested in the US market and trading some of the growth stocks there, so this looks like a much better offering as i can leave in USD and reinvest it.

Would be happy to pay $5 as any trade above $1000USD costs $9 on FT (in and out). Can anyone confirm?

Nope, you just pay FX to deposit USD into your account and from there it’s free game with what US stocks you invest in

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Please note that you can NOT put USD$$ in an ISA only £ so Freetrade still wins here

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Awesome. Thanks!