Wed. Apr 17th, 2024

This British brokerage service enjoys both popularity and trust among traders from across the globe, due to its regulation by the FCA, as well as its affordable fee policy, which is definitely the key aspect for most clients. Hence, today, we are going to tell you about the major types of commissions charged by it.

In short, Trading 212 is an online brokerage service, which has been operating on the global market for 16 years so far. Its key focus is CFDs. However, it also offers such instruments as stocks, ETFs, Forex pair trading. Experts believe that it is a good choice for beginners as it provides a user-friendly platform, as well as a $0 entering threshold.

Now, let us focus on Trading 212 fees. One can safely claim that they are relatively low compared to competitors, nevertheless, that depends on the type of asset:

·         stocks — $0;

·         ETFs — $0;

·         Forex pairs — a conversion fee of 0.15%;

·         CFDs — included in the spread.

Certainly, despite the fact that many trading options are accessible free of fee, there is a spread. For CFDs, it reaches average levels compared to competitors — for example, 1.9 points for S&P 500 CFD in peak hours. In the case of foreign currency trading, spreads are higher than average. For example, for EURUSD, it equals 1.9 points.

Meanwhile, we must highlight that there is one more advantage, which contributes to the affordability of this brokerage service — no non-trading commissions (for most traders):

·         inactivity — $0;

·         withdrawals — $0;

·         deposits — $0 (except for transfers for more than $2000 from online wallets and bank cards, in such cases the commission equals 0.7%);

·         currency conversion — 0.5% for CFDs and 0.15% for ETFs;

·         yearly financing commissions (for those who prefer investing in long positions) — for example, for EURUSD, that reaches 6.7%.

In sum, we can safely recommend this platform to those traders who are focused on stocks and ETFs since there is no trading commission for such operations. Besides, there are no such pitfalls as hidden non-trading fees for the overwhelming majority of clients. Furthermore, we have saved one more piece of advice for last — we recommend you become a member of Traders Union and register an account on Trading 12 via the referral link from this platform. In such a way, you will regularly receive rebates from your fees paid to the broker and reduce your trading costs dramatically.

By Manali