7 Best ETF Platforms in the UK in 2024
Dom Farnell
Co-Founder
Dom is a Co-Founder and of TIC. A passionate investor and seasoned blog writer with a keen interest in financial markets and wealth management.My goal is to empower individuals to make informed investment decisions through informative and engaging content.
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Please bear in mind that the value of investments can decrease in addition to increasing, which means there is a possibility of receiving an amount lower than your initial investment. It is generally advisable to retain your investments for a minimum of five years in order to maximize the likelihood of achieving your desired returns. Capital at risk.
Quick Answer: Which are the best ETF Platforms?
In the UK, the best platforms for trading ETFs are Trading 212 and Saxo. Both offer a user-friendly interface, diverse ETF selections, and competitive fees. They are highly recommended for their reliability and comprehensive services in the ETF market.
Here are the Top 7 best ETF Platforms in the UK
Saxo – Best overall ETF Platform for UK Investors and Traders
Trading 212 – Ideal for newcomers with its sign-up bonus and commission-free trades.
Lightyear – Top choice for beginners for overall ease and support.
AJ Bell – Preferred for active traders and investors seeking engagement.
Hargreaves Lansdown – Unmatched for a diverse fund portfolio offering.
Interactive Investor – Distinguished for exceptional customer service.
IG – Renowned for a broad market range and additional services.
Wombat – Excellent for beginners with an interest in thematic investments.
Page Contents:
ETF Trading Platform Comparison Chart
 Saxo | 
Trading 212 | 
Lightyear | 
Interactive Investor | 
IG | 
AJ Bell | 
Hargreaves Lansdown | |
Regulator | FCA | FCA | FCA | FCA | FCA | FCA | FCA |
Mobile App Usability | 4.6/5 | 4.5/5 | 4.6/5 | 4/5 | 3.5/5 | 3.9/5 | 3.5/5 |
Variety of Assets | Invest in 7,000+ ETFs from tech, healthcare, environment and other major sectors | 12,000+ global stocks & ETFs, commodities, forex | Stocks 3000+, ETF's 1000+ | 1,000+ ETFs, Stocks (UK & International), Bonds, Ethical Investments | 18,000+ markets, stocks, ETFs, commodities, currencies, bonds, funds | Shares, funds, SIPPs, ISAs | Stocks, shares, funds, bonds, ISAs, SIPPs |
ISA Available | Yes | Yes | No | Yes | Yes | Yes | Yes |
Trust Pilot Score | 3.9/5 | 4.6/5 | 4.8/5 | 4.7/5 | 4.1/5 | 4.8/5 | 4.1/5 |
Fee Score | 4/5 | 4/5 | 4.5/5 | 4.2/5 | 4/5 | 4/5 | 3.5/5 |
ETF Availability | Limited | Excellent | Limited | Good | Limited | Good | Excellent |
Overall Review Score | 4.6/5 | 4.5/5 | 4.4/5 | 4.4/5 | 3.9/5 | 4.2/5 | 3.9/5 |
Top 5 best ETF Trading Platforms
TIC Score 4.6/5
Saxo Bank provides a vast selection of Exchange-Traded Funds (ETFs), offering investors access to over 7,000 ETFs that cover a multitude of sectors including technology, healthcare, and environmental markets.
Their expansive ETF portfolio is designed to cater to both novice and seasoned investors looking for diversified investment opportunities across global markets.
With Saxo’s user-friendly platform, investors can seamlessly integrate ETF trading into their investment strategy, leveraging Saxo’s competitive fees and robust trading tools to optimize their market position.
Pros
Cons
Please bear in mind that the value of investments can decrease in addition to increasing, which means there is a possibility of receiving an amount lower than your initial investment. It is generally advisable to retain your investments for a minimum of five years in order to maximize the likelihood of achieving your desired returns. Capital at risk.
- Extensive ETF Portfolio: Saxo offers an impressive range of over 7,000 ETFs, giving investors unparalleled access to a diverse spectrum of sectors globally.
- Advanced Trading Tools: Traders have access to sophisticated tools and analytics, making it possible to execute complex trading strategies and in-depth market analysis.
- Global Market Reach: Saxo provides a gateway to international markets, allowing for broader investment strategies and diversification.
- Complex Interface for Beginners: New traders might find Saxo's platform overwhelming due to its advanced features and detailed analytical tools.
- Fee Structure: While offering competitive fees, the costs can accumulate, especially for less active traders who might not fully benefit from the fee model.
- Minimum Deposit Requirement: Saxo typically requires a higher minimum deposit to start trading, which may be a barrier for investors with limited capital.
TIC Trading 212 Score 4.5/5
Trading 212 – Ideal for newcomers with its sign-up bonus and commission-free trades.
Use code TIC to get a free share worth up to £100
Trading 212 stands out as an ideal platform for newcomers to ETF trading, offering a unique combination of a sign-up bonus and commission-free trades, making it highly accessible for those new to investing.
As a fintech company, Trading 212 has rapidly grown to become one of Europe’s leading brokers, emphasizing simplicity and innovation in its app and web platform.
Its user-friendly interface and educational resources make it an excellent starting point for beginners eager to dive into the world of ETFs without the burden of high costs.
Pros
Cons
Please bear in mind that the value of investments can decrease in addition to increasing, which means there is a possibility of receiving an amount lower than your initial investment. It is generally advisable to retain your investments for a minimum of five years in order to maximize the likelihood of achieving your desired returns. Capital at risk.
- Zero Commission: Ideal for ETF trading with no fees, increasing accessibility for all investors.
- New Sign-Up Bonus: Attractive incentives for new ETF investors, enhancing initial investment opportunities.
- Wide Investment Range: Extensive ETF options among other assets, suitable for diverse investment strategies.
- Limited for Experts: Lacks advanced features for seasoned ETF investors seeking specialized tools.
- Customer Service Delays: Potential waits in support, impacting investor assistance during critical times.
- Possible Downtimes: Risk of platform interruptions, affecting ETF trading during vital market changes.
TIC Trading 212 Score 4.6/5
Lightyear is a top choice for beginners in ETF trading, celebrated for its overall ease of use and exceptional support.
The platform distinguishes itself by offering a streamlined, intuitive user experience coupled with zero-commission trading, although other fee’s may apply this still makes it financially attractive for novice investors.
As a newer entrant to the market, Lightyear is committed to removing financial barriers, offering transparent pricing and a curated selection of ETFs that cater to investors who value simplicity and affordability.
This contains financial promotion. The Investors Centre will be paid a referral fee when you open an account and deposit funds through one of the links on this page
Pros
Cons
Please bear in mind that the value of investments can decrease in addition to increasing, which means there is a possibility of receiving an amount lower than your initial investment. It is generally advisable to retain your investments for a minimum of five years in order to maximize the likelihood of achieving your desired returns. Capital at risk.
- User-Friendly Interface: Simplifies ETF trading for beginners with an easy-to-navigate app.
- Low Trading Fees: Offers cost-effective ETF trading with 0% commission; other fees may apply.
- Interest on Uninvested Cash: Earns competitive rates on uninvested balances, enhancing returns.
- Limited Investment Options: Primarily stocks and ETFs, with a lack of alternatives like cryptocurrencies.
- No ISA or Pension Accounts: Misses on tax-efficient options like Stocks and Shares ISAs or SIPPs.
- Limited Educational Resources: Offers fewer learning materials for investment education compared to rivals.
TIC Trading 212 Score 4.2/5
AJ Bell – Preferred for active traders and investors seeking engagement.
AJ Bell caters to active traders and investors seeking a more engaged trading experience.
Known for its comprehensive platform, AJ Bell offers a wide range of investment options, including ETFs, and is designed to support both novice and experienced investors.
With its competitive pricing structure and robust research tools, AJ Bell facilitates informed trading decisions, making it a preferred choice for those who actively manage their investment portfolios and appreciate deeper market involvement.
Pros
Cons
Please bear in mind that the value of investments can decrease in addition to increasing, which means there is a possibility of receiving an amount lower than your initial investment. It is generally advisable to retain your investments for a minimum of five years in order to maximize the likelihood of achieving your desired returns. Capital at risk.
- Wide Range of Investment Choices: AJ Bell's extensive selection, including ETFs, caters to varied strategies and preferences.
- Competitive Pricing: Known for lower dealing charges, offering a cost-effective solution for active traders.
- Tools and Research: Provides ample resources and analysis for informed decision-making.
- Platform Fee: Applies a fee based on portfolio value, impacting those with larger investments.
- Complexity for Beginners: The vast array of options might overwhelm newcomers.
- Limited International Trading: Offers extensive but not exhaustive global trading capabilities.
TIC Trading 212 Score 3.9/5
Hargreaves Lansdown – Unmatched for a diverse fund portfolio offering.
Hargreaves Lansdown is unmatched in the realm of diverse fund portfolio offerings, making it an exceptional choice for investors looking to access a broad range of ETFs and mutual funds.
As one of the UK’s leading investment platforms, Hargreaves Lansdown is renowned for its extensive research, comprehensive investment choices, and premium customer service.
This platform is ideal for investors seeking to build a diversified portfolio underpinned by expert insights and analysis.
Pros
Cons
Please bear in mind that the value of investments can decrease in addition to increasing, which means there is a possibility of receiving an amount lower than your initial investment. It is generally advisable to retain your investments for a minimum of five years in order to maximize the likelihood of achieving your desired returns. Capital at risk.
- Extensive ETF Selection: Hargreaves Lansdown provides access to a wide array of ETFs, ideal for creating a diversified investment portfolio.
- High-Quality Research on ETFs: Offers detailed analyses and tools specifically for ETF investments, aiding in informed decision-making.
- User-Friendly Platform: Its intuitive interface makes it straightforward for investors to explore and manage ETFs.
- Higher ETF Trading Fees: The platform's trading fees for ETFs may be higher than some competitors, potentially impacting returns.
- Overwhelming for ETF Beginners: The breadth of ETF options and data available might intimidate new investors.
- Limited Global ETF Trading: While offering a range of ETFs, the platform may have restrictions on trading international ETFs compared to more global-focused brokers.
TIC Trading 212 Score 4.4/5
Interactive Investor is distinguished for its exceptional customer service, positioning itself as a go-to platform for investors prioritizing support and guidance.
Offering a wide selection of ETFs alongside a vast array of other investment products, Interactive Investor appeals to a diverse investor base, from beginners to seasoned traders.
Its flat-fee pricing model makes it an attractive option for investors with larger portfolios, ensuring that customer service excellence remains a cornerstone of its offering.
Pros
Cons
Please bear in mind that the value of investments can decrease in addition to increasing, which means there is a possibility of receiving an amount lower than your initial investment. It is generally advisable to retain your investments for a minimum of five years in order to maximize the likelihood of achieving your desired returns. Capital at risk.
- Exceptional Customer Service: Interactive Investor offers outstanding support, aiding investors with a range of queries.
- Extensive Investment Choices: A broad selection of options including ETFs, shares, and pensions, meets diverse needs.
- Transparent Fee Structure: Its flat-fee model is beneficial for large portfolios, ensuring cost-effectiveness.
- Costs for Smaller Portfolios: The flat-fee pricing may be less advantageous for those with smaller investments.
- Complexity for New Investors: Abundance of information and tools could be overwhelming for beginners.
- Limited International ETF Trading: Options for trading international ETFs might be restricted or incur higher fees.
TIC Trading 212 Score 3.9/5
IG is renowned for its broad market range and comprehensive additional services, catering to both casual investors and seasoned traders.
With access to over 17,000 markets, including a wide selection of ETFs, IG stands out for its trading technology and versatility.
The platform also offers extensive educational resources and analysis tools, making it suitable for those who seek to trade a variety of asset classes beyond ETFs, including stocks, indices, and forex.
Pros
Cons
Please bear in mind that the value of investments can decrease in addition to increasing, which means there is a possibility of receiving an amount lower than your initial investment. It is generally advisable to retain your investments for a minimum of five years in order to maximize the likelihood of achieving your desired returns. Capital at risk.
- Wide ETF Selection: IG offers extensive access to ETFs across various markets, enabling diversified portfolio strategies.
- Advanced Trading Platforms: Features sophisticated platforms and apps suited for ETF trading, with tools like advanced charting.
- Comprehensive ETF Resources: Provides in-depth analysis and educational content focused on ETF trading to inform investment decisions.
- Complex Pricing for ETFs: The fee structure for ETF trading can be intricate, potentially confusing for new investors.
- Minimum Deposit for ETF Trading: Certain ETF trading accounts may have higher minimum deposit requirements, limiting accessibility.
- Daunting for ETF Beginners: The vast range of ETFs and advanced tools might overwhelm novices initially.
Understanding ETFs
Exchange-Traded Funds (ETFs) are a popular form of investment that offers the flexibility of stocks with the diversification benefits of mutual funds. They are traded on stock exchanges, allowing investors to buy and sell shares throughout the trading day at market prices.
What is an ETF?
An ETF is a type of investment fund that holds a collection of assets, such as stocks, bonds, or commodities, and is designed to track the performance of a specific index or sector. ETFs offer investors a way to invest in a wide array of assets without having to buy each one individually.
Stocks and Shares
ETFs that focus on stocks and shares invest in a variety of companies, ranging from large-cap to small-cap stocks.
They offer exposure to specific industries, geographical regions, or investment styles (e.g., growth or value).
Key benefits include diversification and the potential for growth.
Bonds
Bond ETFs invest in different types of debt securities, including government, municipal, and corporate bonds.
They provide regular income through interest payments and tend to be less volatile than stock ETFs.
Investors can choose from short-term, mid-term, and long-term bond ETFs based on their investment horizon and risk tolerance.
Property
Property or Real Estate ETFs invest in stocks of companies involved in the real estate industry, such as real estate investment trusts (REITs).
They offer a way to gain exposure to the real estate market without owning physical properties.
Benefits include potential income from rent and property appreciation, along with diversification across various real estate sectors.
ETF Trading Platforms
ETF trading platforms are online brokerages that provide investors with the tools and resources needed to buy and sell ETFs. These platforms vary in features, fees, and available ETFs, making it important for investors to choose one that fits their investment style and goals.
What’s an ETF trading platform?
An ETF trading platform is a digital service that enables investors to trade ETFs through a user-friendly interface. These platforms offer real-time market data, research tools, and educational resources to help investors make informed decisions.
Trading ETFs
Research and Selection: Use the platform’s tools to research ETFs based on performance, sector, and risk.
Buying and Selling: Execute trades during market hours, with the option to set market, limit, and stop orders.
Portfolio Management: Monitor your investments and adjust your portfolio as needed to align with your investment strategy.
ETF Comparisons and Types
Is an ETF the same as an index fund?
While both ETFs and index funds are designed to track the performance of a market index, there are key differences:
Trading: ETFs can be traded throughout the day like stocks, while index funds are bought and sold at the end of the trading day at the net asset value price.
Minimum Investment: ETFs can be bought with the price of a single share, whereas index funds may require a minimum investment.
Passive vs Actively Managed Funds
Passive Funds: These funds aim to replicate the performance of a specific index. ETFs often fall into this category, offering lower fees due to reduced management activity.
Actively Managed Funds: Managers of these funds actively select investments to outperform the market, leading to higher fees. Some ETFs are actively managed, offering investors the potential for higher returns with increased risk.
Choosing between passive and actively managed funds depends on your investment strategy, risk tolerance, and financial goals.
ETF Investment Options
Investing in ETFs offers flexibility and accessibility, allowing investors to diversify their portfolios across various asset classes. Understanding the investment options available for ETFs, including tax-efficient accounts and retirement savings, can enhance your investment strategy.
Can you buy ETFs within a Stocks & Shares ISA?
Yes, ETFs can be purchased within a Stocks & Shares ISA.
This allows for tax-efficient investing, as gains and dividends from ETFs within an ISA are not subject to capital gains tax or income tax.
It’s an excellent way for investors to grow their wealth over time while minimizing tax liabilities.
Can you buy ETFs within a pension?
Yes, ETFs are also eligible to be held within pension schemes, including Self-Invested Personal Pensions (SIPPs).
Investing in ETFs through a pension can provide a diversified investment portfolio with potential tax advantages, as investments grow tax-free until retirement.
This option is particularly appealing for long-term investors looking to build their retirement savings.
Costs and Fees
Understanding the costs and fees associated with ETF investing is crucial for managing your investment efficiently. These costs can impact your overall returns and vary depending on the trading platform and the ETFs themselves.
ETF Trading Platform Fees
Platform Fee: A yearly charge levied by the platform for using their services. It’s usually a percentage of your investment value.
ETF Fees: Also known as the expense ratio, this is an annual fee that covers the fund manager’s costs, expressed as a percentage of the fund’s average net assets.
ETF Trading Fees: Charges incurred each time you buy or sell ETF shares. Some platforms offer commission-free trading for certain ETFs.
Currency Conversion Fees: If you’re buying ETFs listed in a currency different from your account’s base currency, you may face currency conversion charges. This fee varies by platform and can significantly affect transactions involving foreign ETFs.
By carefully considering these investment options and associated costs, investors can make informed decisions that align with their financial goals and risk tolerance.
Pros
Cons
- Diversification: ETFs often hold a basket of different assets, providing instant diversification.
- Liquidity: Since ETFs trade like stocks, they can be bought and sold quickly.
- Lower Costs: Generally, ETFs have lower expense ratios compared to traditional mutual funds.
- Transparency:Many ETFs regularly disclose their holdings, providing clear insight into where your money is invested.
- Market Risk:Like any investment, ETFs are subject to market fluctuations.
- Over-Trading: The ease of trading ETFs can lead to over-trading, which might incur additional costs and impact long-term investment strategies.
- Niche Focus Risks: Some ETFs focus on specific sectors or themes, which can be riskier than broad-market ETFs.
Is it safe to invest in ETFs?
Investing in ETFs is generally considered safe, especially when compared to individual stocks, due to their inherent diversification. However, like all investments, ETFs carry some level of risk, which varies depending on the type of ETF and the underlying assets it holds. Here are key points to consider regarding the safety of investing in ETFs:
Diversification: ETFs typically hold a wide range of assets, spreading out the risk. This means that the poor performance of a single asset will have a less significant impact on the overall investment.
Market Risk: All investments are subject to market risk. The value of an ETF can go down as well as up, depending on the performance of the underlying assets or market sectors it tracks.
Liquidity: Most ETFs are highly liquid, meaning they can be easily bought and sold during trading hours at market prices. However, some niche or specialized ETFs may have lower trading volumes, which could impact liquidity and pricing.
Expense Ratios and Fees: While ETFs often have lower expense ratios compared to mutual funds, fees can vary, and it’s important to understand the costs associated with any ETF investment.
Interest Rate Risk: For ETFs that invest in bonds, interest rate changes can affect their value. Generally, when interest rates rise, bond prices fall, and vice versa.
Currency Risk: ETFs that invest in international markets or assets may be subject to currency risk. Fluctuations in exchange rates can affect the value of these investments.
To mitigate risks and ensure a safe investment experience with ETFs, investors should:
Research and Choose Wisely: Select ETFs that align with your investment goals, risk tolerance, and time horizon.
Diversify: Even within ETF investing, diversification across different sectors, asset classes, and geographies can reduce risk.
Stay Informed: Keep abreast of market trends and economic factors that could impact your investments.
Consider Long-Term Investing: Over the long term, markets tend to increase in value, which can help smooth out short-term volatility.
In conclusion, while no investment is without risk, ETFs offer a relatively safe option for investors looking to diversify their portfolios and reduce exposure to the volatility of individual assets. Proper due diligence and a well-considered investment strategy are key to maximizing the safety and potential returns of ETF investments.
References
FAQs
The best ETF platform in the UK for beginners offers user-friendly interfaces, educational resources, and low-cost options. Platforms like Trading 212 and Lightyear are often recommended for their comprehensive services and support for beginners.
ETF brokers specialize in offering a wide range of exchange-traded funds with lower fees and often provide tools specifically designed for ETF trading. Traditional brokers, on the other hand, offer a broader range of investment products but may have higher fees for ETF transactions.
Yes, you can find specialized ETF brokers in the UK that cater to investors looking to focus exclusively on ETF investments. These brokers typically offer extensive ETF selections, competitive pricing, and specialized trading tools.
When choosing an ETF platform, look for features like a wide range of ETFs, competitive fees, comprehensive research tools, user-friendly interface, and strong customer support. Also, consider platforms that offer educational resources to help you make informed decisions.
Trading tools on ETF platforms can enhance your investment strategy by providing real-time market data, analytical tools, and the ability to set up alerts. These tools help you make more informed decisions, manage your portfolio efficiently, and identify potential investment opportunities.