What's the first stock / ETF you'll buy when the app launches?

Only VUSA. And then FAANG [Facebook/Apple/Amazon/Netflix/Google] / BAT [Baidu/Alibaba/Tencent] once the US is out. And Disney, the most undervalued company in the world (my subjective opinion).

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Seconded.

Edit: missed that itā€™s up 8% yesterday :disappointed_relieved:

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Iā€™ll probably rebuy some of the dividend stocks I sold a couple of months ago.

RSDB and BP where two of them, there were a few Insurance companies a well. By pure luck I actually sold on 22nd May which was the day the FTSE made itā€™s all time high before dropping back, so Iā€™m feeling like a genius :smiley:

I sold because Iā€™d seen a truck I wanted to buy, not because of any great insightā€¦

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I want to buy ftse100 etf, however the ftse seems high at the moment and with brexit approaching does anyone have any insights/educated thoughts regarding what will happen to the ftse? I understand in the long run all should be ok as ftse100 has global exposure but should I wait until after the brexit event or just start now? (Or rather on 18 September)

Index funds are generally a good idea regardless of political circumstances, mainly due to their ā€œdiversifiedā€ nature: safer to have 100 companies in your portfolio by buying a single stock, especially in long-term, when the dogs come out and new stars join the tracker. If you were to get into it now and it dropped - you could consider it being on a sale if your risk tolerance lets you. Considering long-term only, of course, usually not less than 5 years :wink:

Also, markets are often irrational and react to news inadequately (like Facebookā€™s unreasonable 20% drop!). As it stands, Brexit would have been priced in by now and should not change drastically unless tories/EU will announce something unbelievable. I personally think there will be a drop due to EU institutional investors potentially withdrawing their stakes, but it should only be temporary until all will realise that Brexit is nothing major and get their money back in.

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Thanks for the insight, it will probably be my first purchase.

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I was swing trading VRAY and UTC pretty well last month. Iā€™m working on my watch list ready for when my account finally gets opened :+1:

Iā€™ve been Curious on the pricing structure with free trade, and as a newbie trader Iā€™m learning the ropes and trying to get through all the jargon. I notice on the free account there is an FX ā€“ Interbank rate + 0.5% charge.

Can anyone help me calculate an example of how much the charges might work out to be on an day trade. Letā€™s say for arguments sake I was to buy Ā£5000 worth of VRAY. And I was to make 2% (Ā£100) on a successful day trade.

How much would I be charged to open and close the trade on the new free trade platform?

If someone can help mucho gracias, Iā€™ve been racking my brains for an hour now but still canā€™t be sure Iā€™m getting it 100%

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Iā€™ll let someone do the maths as Iā€™m not confident that I know how the calculation works Iā€™m afraid.

But just to give you a heads up, although Freetrade users will be able to pay 50p per trade for instant trades or subscribe to Alpha for unlimited instant trades (the pricing is here), itā€™s worth bearing in mind that the service isnā€™t designed for day traders, itā€™s designed for investors so it may not end up including all of the functionality that it sounds like you might end up looking for.

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Thanks Alexs, Iā€™ll take your advice and utilise freetrade for more long term positions.

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Your example does not involve exchange rates. To make it very simple, I will assume Ā£1 = $2.

If you invest Ā£5,000 into VRAY, you will gain $10,000 less 0.5% ā†’ $9,950 (which will be presented as Ā£4,975 in your portfolio). Assuming the FX rates remained as they were on the next day (Ā£1 = $2), you sell the holdings for $10,149 ($9,950*1.02), which is Ā£5,074.50. And after the sale is complete, you will end up with Ā£5,049.128 ($10,149 into GBP less 0.5%).

Frankly, you will always be exposed to 1% exchange commission, but at least you always get the best rate, unlike (probably) with DeGiro. And as Alex has said, staying longer will make this 1% negligible as it does not scale as much with your return growth, so you could treat it as 1% commission.

Apologies for a misleading in terms of the ā€œcommissionā€. I will quote Rob Sexton explaining the rationale behind it being called Interbank rate + 0.5% and not commission per se.

I hope that would make it clearer.

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SPX ETF, USD Currency and then maybe DIS US when they launch US stocks. Bit scared of stockpicking at the moment. :grin:

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I thought the +0.5% on FX Fees was part revenue and part hedge against any change in FX rates between placing a order and executing the order?

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Cheers Vlad that all makes sense!
Do you know if users will be able to hold funds in USD to avoid the exchange back to GBP on every trade? Makes sense to keep some usd value to trade with to avoid the back and forth .5% fee (if thatā€™s possible).

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Glad to help!

As it stands, multi-currency accounts will not be available as of day one. But @Viktor promised to release the roadmap soon after launch and hopefully, it will answer your question.

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I personally see myself starting with investing in some index funds as with those the earlier you start the game the better, normally. After that I may look into some stocks.

When it comes to Brexit and the index funds I think the main response from the markets has happened already. Now, it all depends on what the deal would be, as a no deal may get a very interesting response from the markets.

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5 posts were split to a new topic: Dividend earning ETFs

Some time after launch, depending on a few factors e.g. what feedback we receive from you during the onboarding. :wink:

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I wonder if anyone will buy STJ St James Place, a wealth manager now infamous for having high fees? (and somewhat the opposite of Freetrade, philosophically)

Youā€™re right, some of the 0.5% is revenue. However that quote is taken from a thread where I was trying to explain that we do not add 0.5% to the FX rate, as we do not get the interbank rate ourselves.

Re @saf ā€˜s questions, none of it represents a hedge though - due to the way we do the conversion weā€™re not particularly exposed to FX fluctuations.

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No problem, one of the downsides of such an active community is itā€™s very hard to read everything on here!

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