Cheap Share Dealing

Compare latest share dealing offers for UK and international trading

Trade From
Trade from £1.75
+ 0.022% for UK stocks
Details

Access 50+ global markets. No inactivity fees, maintenance fees, or custody fees. Voted Best Low-cost Stockbroker at the 2017 Investors Chronicle and FT Investment and Wealth Management Awards

Degiro Basic Share Dealing Account 

The value of your investments can rise as well as fall. You may get back less than you invested. If you’re unsure, we recommend you ask for independent advice.

Trade From
£5.00 frequent trader rate
£8.00 standard trader rate
Details

Buy UK shares from £5 per trade based on 10 trades from the previous month. No admin or transfer fees. Custody fee of £24 per quarter, charged if you hold share dealing or ISA assets at the end of the quarter. Our website is completely free for you to use but we may receive a commission from some of the companies we link to on the site.

IG Share Dealing Account 

The value of your investments can rise as well as fall. You may get back less than you invested. If you’re unsure, we recommend you ask for independent advice.

Trade From
£9.99 a month
Investor Service Plan
Details

Award-winning share dealing service, with a choice of over 40,000 investments, the widest in the market. Hold multiple currencies. Independent insights & ideas. Simple and fair fixed fees. ISA or Non-ISA accounts

Interactive Investor Trading Account 

The value of your investments can rise as well as fall. You may get back less than you invested. If you’re unsure, we recommend you ask for independent advice.

Trade From
£5.95 frequent trader rate
£11.95 standard trader rate
Details

Online trading charges based on previous month’s activity. 20+ trades made in previous month is £5.95 a trade. 10-19 trades are £8.95 a trade. Less than 10 trades it’s £11.95.

Hargreaves Lansdown Share Dealing Account 

The value of your investments can rise as well as fall. You may get back less than you invested. If you’re unsure, we recommend you ask for independent advice.

Trade From
£4.95 frequent trader rate
£9.95 standard trader rate
Details

Frequent trader rate based on making at least 10 trades in previous month. Choose from over 4,000 investment funds. Voted ‘Best Share Dealing App 2015’  in Investors Chronicle and FT Investment and Wealth Management Awards and ‘Best online Share Dealing provider 2015’  in Your Money Direct Awards

AJ Bell YouInvest Share Dealing Account 

The value of your investments can rise as well as fall. You may get back less than you invested. If you’re unsure, we recommend you ask for independent advice.

Low cost share dealing

What are shares?

Shares are just divided-up units of the value of a company. If a company is worth £200 million, and there are 50 million shares, then each share is worth £4 (usually listed as 400p).

Those shares can go up and down in value for various reasons, and their changing value is shown on the stock market.

How do you make money from share trading?

There are two ways you make can money from buying shares. One is if the shares increase in value and you sell them at a profit.

The other is when they pay dividends. If the company makes a profit, it gives some of it back to its shareholders – either on a regular basis or as a one-off. HMRC gives you a tax-free dividends allowance year. Currently (as of 2019) the first £2,000 you receive in dividends is tax free.

How can you buy or sell shares?

You can either own shares yourself, or pool your funds to buy shares collectively with other people in an investment fund.

On this page we’re dealing with owning and trading shares directly, by yourself.

All shares used to be traded with paper certificates of shares. Online share dealing now makes the stock market more accessible to you, and the cost of trading shares online is much cheaper. (If you have paper shares you can convert them to online shares – usually at no cost.)

How to choose a trading platform

You buy shares online from a “share dealing platform.” These share dealing account providers are increasingly offering competitive charges, and you’ll want to consider how much active trading you will want to do, and compare their fees.

Some accounts may offer cheaper rates for frequent traders, while other accounts may have slightly higher charges per trade but don’t charge an annual or monthly administration fee.

Services available may include:

  • 24-hour access to your account online
  • Access to international markets
  • Real time trading
  • A choice of online or phone trading
  • Share price alerts, research tools and market news

What to consider when you start share trading

1 Higher returns (usually) mean accepting greater risk

As you get more confident in share trading you may be willing to accept more risk. But you’d usually be advised to hold a mixture of higher-return and lower-risk shares. And it’s wise to be a bit more cautious as you get older, when you’ve got less time to recover any losses you might make.

2 First use your ISA stocks and shares allowance

If you’re new to share trading, stocks and shares ISAs should be your preferred route for your first £20,000 of investment (the ISA limit as at 2019). Most platforms will let you do this and it’s a good way to maximise tax benefits on your investment.

You can use all of your annual ISA allowance for stocks and shares trading, or only part of it, with the remainder for a pension ISA (or a cash ISA).

If you’ve got more than £20,000 to invest, you can trade the first £20,000 via an ISA trading platform, and then use a standalone dealing account for the rest.

ISA stocks and shares accounts

3 Aim to invest for at least 5 years

The share market goes up and down all the time. A longer investment period allows you ride out the fluctuations in the market that might make you lose money in the short term. If you know you might need access to your money in less than five years, investing in the stock market might not be right for you.

Don’t be tempted to try to time the market: it’s almost impossible, and even the most experienced investors get it wrong. If you sell your shares as soon as the price drops you could miss out on a recovery. Or if you sell out when you think the market has hit a peak you could see prices rise even higher.

4 Spread your risk

Avoid putting all your eggs in one basket by investing in different companies and spreading out when you buy.

If you invest heavily in one company you stand to make a substantial loss if it fares badly. Spread your risk by investing in different sizes of companies, in different market sectors or parts of the world.

Invest on a regular basis rather than all at once. “Drip-feeding” by buying at different times allows you to smooth out the ups and downs of share prices.

Watch out for fraudsters

If you’re contacted out of the blue by someone inviting you to invest in shares, say No. It’s almost certainly going to be a share scam, also referred to as a “boiler room” scam.

Fraudsters also advertise online, or in newspapers, or may email you offering free research into a company, or a discount on share dealing charges. They may offer to buy shares your already own, or try to sell you worthless or overpriced shares, or even shares in companies that don’t exist.

Seasoned investors have been taken in, so always be cautious and take time to review any decision. As ever – if a deal sounds too good to be true, it probably is.

5 Review your portfolio regularly

You may realise that a particular stock holding just isn’t performing, so you should sell it and reinvest.

With a bit more experience you might now be willing to take a bit more risk. Or you may not be as willing to take risks as you were previously.

And… don’t panic. Shares go down as well as up. Don’t rush to sell funds (or buy them) just because everyone else is. They could be wrong.

Look at share dealing options

Look at Stocks and shares ISAs

 

Important Risk Information:

This website contains information only and does not constitute advice or a personal recommendation in any way whatsoever. The value of investments and income from them can fall as well as rise and you may not get back the full amount invested. The tax efficiency of ISAs is based on current tax law and there is no guarantee that tax rules will stay the same in the future.

Different types of investment carry different levels of risk and may not be suitable for all investors. Prior to making any decision to invest, you should ensure that you are familiar with the risks associated with a particular investment and should read the product literature. If you are in any doubt as to the suitability of a particular investment, both in respect of its objectives and its risk profile, you should seek independent financial advice.