Best ETF Platforms in the UK in 2024 (compared)

InvestEngine is a UK-based robo-advisor and investment platform launched in 2020. It provides users with access to low-cost, diversified portfolios of exchange-traded funds (ETFs) designed to meet their investment goals and risk tolerance. InvestEngine offers both managed portfolios and a do-it-yourself (DIY) option for investors who prefer to build and manage their own portfolios.

Pros:

1. Low-cost investing: InvestEngine provides a low-cost solution for investing, with competitive fees for both managed portfolios and the DIY option.
2. Diversification: The platform offers a range of ETFs, enabling investors to create a diversified portfolio tailored to their risk tolerance and investment objectives.
3. Auto-rebalancing: For managed portfolios, InvestEngine periodically rebalances the portfolio to maintain the desired level of risk and diversification.
4. User-friendly interface: The platform is easy to navigate and provides helpful tools, such as risk assessment questionnaires and educational resources.

Cons:

1. Limited investment options: Compared to some other platforms, InvestEngine offers a smaller selection of ETFs. Investors looking for a wider range of investment options might find this limiting.
2. No individual stocks or bonds: InvestEngine focuses exclusively on ETFs, which might not be suitable for investors who wish to invest in individual stocks, bonds, or other types of instruments.

All in all, it is a great solution for buy-and-hold investors looking to only invest in ETFs for the long term.

Interactive Brokers is another outstanding broker that offers the most extensive range of ETFs and allows you to trade almost any financial instrument, such as stocks, options, futures, Forex, commodities, bonds, and even over-the-counter (OTC) securities. It was founded in 1978 and is regulated by many top-tier regulators, such as the SEC and the FCA.

Nearly all UK investors are eligible to open an account at Interactive Brokers, and it is suitable for any investor. Although its web-based Client Portal, GlobalTrader Mobile app, and professional Trader Workstation platform (TWS) are very well designed and simple to use, a newbie may find the number of tools available overwhelming.

Deposits can be made through bank wire transfer, with no minimum deposit requirement to open an account. As for ETF trading, the fees follow tier-based pricing and vary depending on the exchange and the volume of your trades. For instance, the fees on most EU-listed ETFs are 0.05% of trade value, with a minimum fee of €1.25 and a maximum of €29.00. 

As for their customer support, you can reach them by phone, email, live chat, or through their automated “iBot.” Even though their team is quite experienced, email inquiries might not get a reply right away.

Interactive Brokers also offers UK residents tax-favourable Self-Invested Personal Pension (SIPP), Stocks and Shares ISA, and Junior ISA accounts.

Overall, Interactive Brokers is a good choice for beginners and advanced investors looking for a secure broker and access to a wide choice of financial products. If you need more info about it, please check out our more detailed review of Interactive Brokers.

eToro, a global online broker, is at the top of the list of the best ETF brokers in the UK. It has been known for its social trading platform, where you can copy the trades of other successful investors. eToro has a vast community of over 30 million investors with access to more than 3,000 financial products, including 260+ ETFs.

Their trading platform is intuitive, and you can easily open an account at eToro and fund it through various methods such as credit or debit cards, Paypal, Skrill and bank transfer. Their minimum deposit is relatively low at $100. Moreover, they do not charge any fee on deposits, and you can benefit from commission-free trading on certain ETFs.

It offers a stocks and shares ISA account through a partnership with Moneyfarm.

eToro is regulated and supervised by several top-tier regulators, such as the Financial Conduct Authority (FCA) and the Cyprus Securities Exchange Commission (CySEC). As per the European Securities and Markets Authority (ESMA) regulation, eToro also provides negative balance protection for Forex and CFD trading on a per-account basis to retail clients from the European Union.

On the downside, they charge a $5 fee per withdrawal, and if your deposit currency is different than your account currency, a currency conversion fee will be applied (for example: from GBP to USD is 0.50%). Finally, their customer support may take over two business days to reply to customer requests.

For a full assessment, read our comprehensive eToro review.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Founded in 2004, Trading 212 claims the title of the first-ever commission-free broker in both the U.K. and Europe. As of 2024, it has over 2 million users with over €3.5 billion in assets under management (AUM).

It offers two distinct account types: Trading 212 Invest, which offers commission-free stocks and ETFs trading, and Trading 212 CFD, which offers CFD trading only.

The Trading212 Invest account has been rapidly gaining popularity with beginner investors especially, and with good reasons:

• The minimum deposit is just £1 (£10 for bank transfers);
• Commission-free stocks and ETFs trading is available (along with fractional shares and ISAs);
• The platform is straightforward to use (for both account opening and trading).

It is important to note that Trading 212 can offer commission-free trading primarily due to its share lending program, which is mandatory for Trading 212 users. In a nutshell:

• Trading 212 holds the right to lend your shares to a third party (borrower);
• This doesn’t affect your ability to trade the shares, receive dividends, etc.
• Trading 212 has to always hold collateral in the form of US Treasury Bonds that is equal to or more than 102% of the value of the shares lent.

However, that doesn’t mean there are no fees on Trading 212. Some of the fees that Trading 212 charges are;

• 0.7% for deposits by cards, Google Pay, Apple Pay & other (it’s free up to the first €2,000);
• 0.15% (Trading 212 Invest) or 0.50% (Trading 212 CFD) currency exchange fees;
• Overnight fees on CFDs.

Stocks and Shares ISA account is also available for UK residents at no extra fee.

For those of you who are thinking about joining Trading 212, you can even claim a free share when you sign up by following this link. After you verify your identity and fund the account, be sure to include promo code “IITW” to claim one free share worth up to €100.

To sum it up, Trading 212 is a good choice for beginner investors who want a simple, effective, and cheap way to buy stocks and ETFs.

If you need more info, feel free to check out our more detailed review of Trading 212.