What is commission-free trading in the UK?

And the amount of commission depends on which broker, investment platform or trading app you invest with in the UK. ‘Commission-free’ trading or ‘commission-free investing’ just means the broker doesn’t charge you for the service of buying or selling shares. And the benefit is that more of your money gets spent on investing rather than fees.

What does commission free mean?

For example, Ally Invest has several commission-free offerings through its Self-Directed Trading. So what does commission free really mean? It’s all in the name. Commission free means that you don’t pay any commissions on your trades. And when you don’t have to pay commissions, you have more money left over to invest.

Are commission-free trades a good thing for investors?

So commission-free trades are almost certainly a good thing for investors. Still, don’t necessarily think that they offer an excuse to trade more as that may hurt more than it helps.

How much is a commission on a stock trade?

Commission fees are charged by a brokerage when you buy or sell a stock, ETF or other type of investment product. Traditionally, they range in price, depending on the company, from anywhere to $1 to $50. That started to change a few years ago. Robinhood, an investment app, has offered commission-free stock trades since 2013.