Best investment platforms
Compare the 11 best investment platforms in 2023
The top investment platforms, suitable for any budget, are selected in this comprehensive resource. Keep reading to learn about the most trustworthy and cost-effective online brokerages.
Any website that allows you to create an investing portfolio is considered an investment platform. It could be a managed account service or a simple stock trading brokerage.
To help you select the finest investing platform for your needs, our specialists have compared and rated a wide range of services.
Best investment platforms for 2023
- Trade socially and get excellent service with Pacific Union.
- News and stock prices are at their most accurate and timely when reported by Admirals.
What are the best investment platforms?
The table below ranks the greatest investment platforms, and you can sign up for any of them right now by clicking on the links in the table. Keep reading for the specifics of each investment platform and why we’ve given it such a high rating.
What is an investment platform?
Investing platforms provide a central location for trading and storing a diverse array of financial assets. They are web-based or client-based services available online. Some of the best platforms also have mobile apps. Investment marketplaces, also known as “fund supermarkets,” streamline the buying and selling of various types of financial assets.
How do investment platforms work?
They function much like traditional banking systems. In order to use an investment platform’s many features, users must first sign up for an account. After registering, traders have access to thousands of financial products across a wide range of markets. The most popular types of investments available on these sites are stocks, forex, commodities, cryptocurrency, ETFs, and investment funds.
Most online investment platforms prioritise safety and compliance with the law because of the large sums of money that are transacted on their sites every day. The most reliable websites are those that have been subject to strict regulation in a prestigious jurisdiction like the United Kingdom and that provide additional layers of safety for their users. By aggregating the latest prices from the top Bitcoin exchanges, investment platforms facilitate the purchase and sale of securities for their users.
How should I choose an investment platform?
You need to consider your intended outcomes. You can invest a little bit every week with your spare change, or you can save up for a rainy day and put it all into one big mutual fund.
Consider these factors as you weigh your investment options to determine the best platform for you.
How much do you want to invest?
An investing platform that allows you to invest even small amounts, like when you first start out, is the best choice.
You can set it up so that any change from your regular purchases is added to a savings account or retirement plan automatically.
If, on the other hand, you’re starting with a sizable sum of money, you might look into an investment service that gives you freedom of choice while still keeping trading costs low. So, you can avoid sacrificing too much of your savings to transaction costs.
What do you want to invest in?
Pick a service that will let you invest in everything you want. It’s true that stocks and shares are the most common investment vehicle, but they’re certainly not your only choice. The investment landscape is diverse, with opportunities in everything from cryptocurrencies like Bitcoin to commodities like gold.
Diversification is key in building a successful investment portfolio. A balanced portfolio can weather economic storms better than one that is unbalanced. Selecting an investment platform that gives you the freedom to build your own diversified portfolio is crucial.
Do you want to choose your own investments?
Online trading platforms can be categorised into those where the trader makes all investment decisions, those where the trader’s funds are managed by financial experts, and those where algorithms make all investment decisions on the trader’s behalf.
For most people just getting started in the stock market, it’s best to either outsource investment management to a professional or use an automated investing platform. Alternatively, you can use a copy trading platform to mimic the actions of successful investors. Investing in stocks and shares through an ISA is the most tax-wise choice.
What is your risk tolerance?
If you are a beginner investor looking to buy stocks in individual companies, I recommend finding a platform that has low fees and a wide variety of stocks from around the world. Finding a platform with low fees is more important the more frequently you plan to invest.
Allotting a sizable sum to a large, diversified fund can be intimidating for novice investors, so they should prioritise funds with low annual management fees. There is a fixed fee associated with each fund, either monthly or annually. When you have a significant amount of money in your account, even a small change in fees, expressed as a percentage, can have a significant impact on the monthly charge.
Investors with more experience may prefer to make their own stock selections and engage in more frequent trading as part of their investment strategy. Still, fees matter, and you might do better by choosing a trading platform that takes a percentage of your profits instead of a flat rate.
More things to look out for
Every service, no matter how small, should offer the following functions. You need a safe and low-cost investment platform where you can put your money and leave it alone. What else should you keep an eye out for
- A trading system that won’t break the bank. Fees are an inevitable part of investing and are levied by every single investment platform. Before signing up for a platform, it’s a good idea to familiarise yourself with its fee structure, which may include commissions or spreads. Keep in mind that the lowest cost investment platform isn’t always the best; rather, you should look for the one that strikes the best balance between low cost or commission-free trading and helpful features.
- Superb safety measures. You should be confident that the platform you choose to invest through is a safe one. The most secure login methods, such as 2-Factor Authentication (TFA), are provided by the best platforms.
- The safest place to put your money online. Some outages are to be expected from investment platforms, but you should avoid those that occur frequently. Before signing up for a new investment platform, you can get a sense of its reliability by reading online customer reviews of competing platforms.
- An efficiently governed industry. You should check the service’s regulatory status before using it as an investment platform. The United Kingdom and the European Union are examples of tier-one jurisdictions that have strict rules for online investment platforms. The Financial Services Compensation Scheme protects investors who use a regulated investment platform.
Should I use an investment platform?
The use of one of these platforms to manage your investments could be beneficial if you intend to make many investments. You can invest in a variety of markets and assets without maintaining multiple accounts thanks to their convenience. Using an investment platform will streamline the process of monitoring your portfolio, and you can even use a mobile app to keep tabs on your holdings wherever you go.
The benefits and drawbacks of online trading sites
Below you will find a summary of the benefits and drawbacks of investing with an investment platform to help you make up your mind.
- Investments are managed centrally through a single platform.
- Get your hands on tens of thousands of resources
- Keeping tabs on your investments has never been easier, thanks to mobile apps.
- Information on the market as of right now, including accurate pricing
- The fees charged by most sites are more reasonable than those of traditional telephone companies.
- Since there is a wide variety of sources, it can be difficult for novice investors to sort through it all.
- Not every medium provides access to instructional material.
What kind of costs are associated with using an investment platform?
When you sign up for an account, you should investigate the various investment platforms through their own websites and compare the costs that each one charges. On the other hand, you should anticipate having to pay certain expenses, such as a commission for each deal you make. There are other platforms that do not charge any fees; nevertheless, they make their money in other ways, such as by having wider spreads (the difference between the buy and sell price). Depending on the platform, there may be additional fees associated with deposits and withdrawals.
Methodology – how we choose the best online investment platforms
At Invezz, assisting individuals in making more informed choices regarding their personal finances is at the core of our goal.
More than 69 different investment platforms are put through our rigorous testing process on a regular basis so that we can offer our users transparent and easily understandable advice regarding the many investment opportunities currently available. Our group of wealth-building professionals, analysts, and active traders are the ones in charge of all of the testing. They are the ones who sign up for each platform, carry out research, and assess each investing service.
Our evaluations are aimed to identify financial services that provide an investing experience that is both safe and accessible to novice investors at a reasonable cost. In addition to our hands-on testing and experience, we conduct research on each service in order to compile any additional information that may be pertinent. We gather input from actual people by reading online customer reviews, app reviews on the Play Store and App Store, and by conducting user surveys. This helps us determine what works and what doesn’t work.
Each investment platform receives a final score that is based on more than 130 data points that are distributed across 8 ranking categories. These categories include cost, reliability, user experience, deposit and withdrawal options, investing options, range of products and markets, research and analysis tools, and the availability of educational and learning resources.
We make sure the information shown here on personal investing is correct by collaborating closely with many brands in this space. An impartial examiner then looks through each piece of data to ensure that it’s accurate. In our review process, you will have the opportunity to discover more about our expert panel as well as the testing, rating, and reviewing procedures that we follow.
Are investment platforms safe?
They certainly are. Although the majority of platforms are very safe, security is still a vital aspect to take into consideration when selecting one. This is especially true for those who take additional steps, such as offering Two-Factor Authentication, such as protecting their accounts with a password and a security question.
Are investment platforms taxable?
It is best to investigate if you will be required to pay any taxes on your investments because this will be determined by your own individual circumstances. On the other hand, there are ways to invest that do not result in taxable income. For instance, investors in the United Kingdom can make tax-free investments through an Individual Savings Account (ISA) or through a spread betting broker, both of which are also exempt from taxation.
Which is the best online investment platform for crypto?
eToro is the platform that has received the highest overall rating from us, and it is notable for the diversity of cryptocurrencies that it makes available for investment. You can check out which markets are offered by each platform on their respective websites, or you can read our comprehensive reviews.
Is eToro the best investment platform?
Indeed, it has the highest ratings of any investment platform I looked into. It provides access to a wide variety of investment opportunities and also features a social trading network via which users can replicate the trades made by market experts.
Investing platforms: do they charge fees?
Access to many of them is free, however there is a cost associated with using the service. There is a possibility that you will be required to pay taxes on any profits as well as a monthly subscription fee or a cost for each transaction.
While some platforms provide demo accounts, it is possible to practise investing without spending any real money while using these accounts.
Can I have more than one investment platform?
You can have as many as you’d want, that’s not a problem. But, the greatest systems will provide access to multiple markets, so you will only be required to use one of them.
What is the best online investment platform for trading?
Pepperstone is the platform you should go with if you are interested in utilising short-term trading tactics. You can get additional information on the platform by scrolling further up on this page. Both spread betting and CFD trading are available to investors through Pepperston.
Is it better to use an investment app or desktop platform?
That will be determined by the specifics of your situation. If you want to keep a close eye on your portfolio on a regular basis, you could find that utilising an app is more convenient.