Trading 212 Review |
|
| 📅 Year founded |
2004 |
| 📈 Multiple top-tier regulation |
Yes |
| 📍 Headquarters |
London, United Kingdom |
| 🌍 Country of regulation |
United Kingdom / Cyprus / Australia |
| ✅ Regulators |
FCA / CySec / ASIC |
| 📈 Execution Type |
Market Execution |
| 💰 Minimum Deposit |
$10 USD |
| 🛡️ Negative Balance Protection |
Yes |
| 📉 Trading Platforms |
Trading 212 Platform |
| ☪ Islamic account |
Yes |
| 📉 Trading Instruments |
Forex / Indices / Commodities / Stocks / ETFs / Treasury Bonds |
| 📱 Mobile trading |
iOS / Android / Windows |
| 💳 Payment Types Accepted |
Debit and Credit Card / Bank Wire Transfer |
| 🎮 Demo Account |
Yes |
| ⓒ Copy Trading |
Yes |
| 🎁 Bonus Offer |
None |
| 💰 Account Currencies |
USD / EUR / CAD / GBP / HUF / PLN / CZK / RON / DKK / NOK / SEK / BGN |
| 📈 Minimum Trade |
0.01 Lots |
| 📈 Account Types |
ECN / STP |
| 📈 Margin Trading |
Yes |
| 📈 Trading fees |
Low |
| 📈 Inactivity fee |
None |
| 💰 Withdrawal fee |
None |
| ☎ Customer Support |
24/7 |
| 💰 Max. Leverage |
30:1 |
| ✔️ Hedging Allowed |
Yes |
| ✔️ Scalping Allowed |
Yes |
| 💰 Commission |
None |
| 💰 Spreads |
From 0.2 pips |
| 💰 Leverage |
Flexible |
| 💰 Currency Pairs (Total Forex pairs) |
180 + |
| 🔢 Number of clients |
3 000 000 + |
| 🥇 Instruments Offered |
13 000 + |
| 📙 Education |
Learn Centre / Interactive Trading Simulator |
WHAT IS TRADING 212?
Trading 212 is a prominent online trading platform that revolutionised the accessibility of the financial markets by pioneering zero-commission stock trading in Europe. Founded in 2004, Trading 212 has grown to become a significant player in the global trading landscape, known for its user-centric approach and innovative financial solutions.
One of Trading 212’s strongest aspects is its robust regulatory framework, which instils trust and reliability among its users. The platform is comprehensively regulated by some of the world’s most respected authorities including the Financial Conduct Authority (FCA) in the United Kingdom, Cyprus Securities and Exchange Commission (CySec) and the Australian Securities and Investments Commission (ASIC).
Trading 212 uses advanced technological infrastructure to provide a seamless trading experience. This includes a proprietary trading platform tailored to meet the needs of modern traders, offering robust analytical tools, real-time data and intuitive trading features.
Trading 212 is also committed to making financial trading and investing as accessible as possible. This is evident not only in their zero-commission model but also in their minimum deposit requirement, which is significantly lower than many competitors, making it easier for individuals to start trading.
Trading 212 stands out in the financial trading landscape for its strong regulatory adherence, cutting-edge technology and a deep commitment to making trading accessible to the masses. Whether a novice trader or a seasoned investor, Trading 212 offers a powerful platform that meets diverse trading needs while upholding the highest standards of security and regulatory compliance.
INTRODUCTION
Trading 212 has made a significant impact on the trading landscape since its inception in 2004. Initially established in Bulgaria and later expanding its operations across Europe and beyond, Trading 212 has redefined what it means to be an accessible trading platform.
It operates under the ethos that the financial markets should be accessible to all, not just the financially affluent or those with deep financial knowledge. This inclusive approach has resonated with a broad audience, making it one of the go-to platforms for retail investors around the world.
Trading 212’s influence extends beyond just competitive pricing. The platform is known for its robust educational resources, which empower users to make informed decisions.
From detailed articles and video tutorials to an interactive trading simulator, Trading 212 invests heavily in trader education. This commitment has helped build a loyal community of traders who appreciate the platform’s efforts to facilitate a deeper understanding of financial markets.
Additionally, Trading 212’s adherence to stringent regulatory standards across different jurisdictions has cemented its reputation as a reliable and trustworthy broker. By ensuring compliance with some of the most stringent financial authorities worldwide, Trading 212 provides a secure environment where traders can focus on maximising their potential without undue concern about the safety of their investments.
Trading 212’s introduction to the financial markets has not only broadened access to trading but has also pushed the industry towards greater transparency and user-friendliness. As it continues to innovate and lead with user-first solutions, Trading 212 remains at the forefront of the evolving world of online trading.
PROS & CONS
PROS
- Zero commission trading.
- Wide range of instruments with over 13 000 available.
- User-friendly platform.
- Low fees including no inactivity or withdrawal fees.
- Earn interest on currency not utilised.
CONS
- Limited leverage of only 30:1 available due to regulatory restrictions.
- Limited transaction methods available.
TRADING INSTRUMENTS
Trading 212 offers an extensive range of trading instruments, catering to a diverse clientele with different investment preferences and strategies. This broad spectrum of assets allows traders to diversify their portfolios and take advantage of various market conditions.
Forex
Trading 212 provides access to the forex market, which is known for its high liquidity and 24/5 availability. Traders can engage in more than 180 currency pairs including majors, minors and exotics.
This variety allows traders to capitalise on currency fluctuations driven by geopolitical events, economic data and market sentiment.
Indices
For those interested in a broader market exposure, Trading 212 offers a range of major global indices. These include benchmarks like the US S&P 500, the UK’s FTSE 100 and the German DAX.
Trading indices allow traders to speculate on the performance of entire economies without having to select individual stocks.
Commodities
Commodities trading is another cornerstone at Trading 212. Traders can choose from a selection of hard and soft commodities to trade including metals like gold and silver, energy commodities like oil and natural gas and agricultural products like coffee and sugar.
Stocks
Stock trading is hugely popular on Trading 212, with thousands of stocks available from major global exchanges such as the New York Stock Exchange, NASDAQ and London Stock Exchange. This offers traders the opportunity to invest in high-growth sectors and established global companies directly.
ETFs
Exchange-Traded Funds (ETFs) are available on Trading 212, providing a cost-effective way to invest in a diversified portfolio of assets. ETFs on the platform cover various asset classes including stocks, commodities and bonds, offering both thematic and regional exposure.
Treasury Bonds
In addition to more traditional trading instruments, Trading 212 also offers treasury bonds, which are government debt securities that pay interest and return the principal at maturity. Trading in treasury bonds is an excellent option for risk-averse investors looking for stable returns and lower volatility compared to stocks and commodities.
Trading 212’s extensive range of trading instruments across different asset classes makes it a comprehensive platform suitable for both novice traders and experienced investors. Whether you’re looking to trade on the latest currency trends, invest in global markets through indices and stocks or secure your investments with commodities and treasury bonds, Trading 212 provides the tools and resources to achieve your financial goals.
TRADING PLATFORMS
Trading 212 distinguishes itself in the financial trading market by offering a single, proprietary platform that caters to all types of traders, from beginners to seasoned investors. This platform is available in both web and mobile formats, ensuring that traders can access their accounts and make trades seamlessly from any device.
The web version of the Trading 212 platform is accessible through any standard web browser, offering convenience without the need to download or install any additional software. This platform is designed with a user-friendly interface, making navigation straightforward even for those new to trading.
It features an intuitive design with drag-and-drop functionality, customisable charts and a variety of technical indicators and tools that traders can use to analyse market trends and make informed decisions.
The Trading 212 mobile app is available for both Android and iOS devices, reflecting the platform’s commitment to mobility and accessibility. The app includes all the functionality of the web platform, optimised for a smaller screen.
Features like touch-enabled charting, a comprehensive trading screen and mobile alerts allow traders to monitor and react to the market effectively while on the go.
Both versions of the platform come equipped with advanced charting tools that offer over 60 different indicators and chart types. This range of tools supports sophisticated technical analysis, helping traders spot trends and patterns to capitalize on market movements.
Trading 212 incorporates several risk management tools directly into its platform, such as stop loss and take profit options, negative balance protection and customisable leverage settings. These features help traders manage their exposure and protect against significant losses, crucial for both novice and experienced traders alike.
A standout feature of the Trading 212 platform is its seamless integration of demo trading accounts alongside real trading options. Users can switch between real and demo accounts instantly, allowing them to test strategies without financial risk and then apply them in real market conditions as they gain confidence.
The platform also includes a variety of educational materials directly accessible within the interface. These include video tutorials, webinars and written guides that cover basic trading concepts, advanced strategies and tips on using the platform effectively.
Trading 212’s platform allows for a high degree of personalisation. Traders can configure their trading environment according to their preferences including the layout of charts and instruments, as well as setting up their own trading alerts based on specific conditions like price movements or technical indicators.
Trading 212’s proprietary platform provides a comprehensive, integrated trading environment that combines advanced functionality with ease of use. Its all-in-one approach ensures that traders have all the tools they need to execute trades effectively, manage risks prudently and expand their trading knowledge, all from a single interface whether they are at home or on the move.
ACCOUNT TYPES
Trading 212 offers two distinct types of accounts tailored to meet different trading needs and preferences: the Trading 212 Invest account and the Trading 212 CFD account. Each account type is designed with specific features to cater to various trading strategies and goals, allowing traders to choose the one that best suits their investment style.
Trading 212 Invest Account
The Trading 212 Invest account is ideal for traders who prefer direct investments in stocks, ETFs and bonds. This account type allows users to buy and hold securities, offering a traditional investment approach without the use of leverage.
One of the most appealing features of the Trading 212 Invest account is the zero commission on trades, making it a cost-effective option for buying and selling shares. This feature is especially beneficial for those who trade frequently or in small amounts, as it helps to minimise trading costs and maximise potential returns.
The Invest account supports automatic reinvestment of dividends, a valuable feature for those looking to compound their investment returns over time. This option can be set up to automatically purchase additional shares of the stock or ETF that paid the dividend, thus enhancing the growth potential of the investment portfolio.
Trading 212 allows the purchase of fractional shares through the Invest account, enabling traders to invest in high-priced stocks with a smaller amount of money. This feature democratises access to expensive securities, making it possible for investors with limited capital to participate in the growth of leading companies.
Trading 212 CFD Account
The Trading 212 CFD (Contract for Difference) account provides the opportunity to trade on margin, offering the potential for significant returns from relatively small investments. However, it’s important to note that while leverage can increase profits, it also amplifies potential losses, making it essential for traders to understand and manage their risk exposure carefully.
The CFD account gives access to a broader range of trading instruments including forex, indices, commodities, stocks, ETFs and treasury bonds. This variety allows traders to speculate on price movements across global markets, offering more opportunities for short-term trading based on market volatility.
Trading 212 provides several tools to help manage risks associated with CFD trading. These include stop loss orders, which can limit potential losses by automatically closing a trade at a predetermined price and negative balance protection, ensuring that traders do not lose more money than they have deposited in their accounts.
Traders can also use the CFD account to hedge other investments as a form of risk management. By taking a position that is expected to perform well when other investments might be losing value, traders can offset potential losses and reduce overall portfolio risk.
Trading 212 offers two tailored account types to meet the diverse needs of traders. The Invest account is well-suited for those looking to build a long-term investment portfolio with direct equity ownership, while the CFD account caters to those interested in leveraged trading and a wide range of trading instruments for potentially rapid returns.
HOW TO OPEN AN ACCOUNT
Opening an account with Trading 212 is a straightforward process and can easily be done via the broker’s website. Traders are required to provide their personal details as well as the required documents for verification.
Once the documents are verified, traders are able to select their account type, deposit funds and begin trading.
DEMO ACCOUNT
For beginners, Trading 212 offers a demo account loaded with virtual funds. This is an excellent way to practice trading strategies and get accustomed to the platform without financial risk.
SOCIAL TRADING AND COPY TRADING
Trading 212 does offer copy trading features through its AutoInvest feature on the Invest account, where traders funds are automatically invested once deposited. Although this feature is limited, it provides a great option for those looking to be passive investors.
COMMISSIONS AND FEES
One of Trading 212’s most attractive features is its commission-free trading model. However, traders should be aware of other potential fees, such as currency conversion fees.
These fees are standard charges from brokers in the industry and Trading 212 offers some of the lowest fees in the industry.
LEVERAGE
The platform offers leverage, which varies by asset class and client categorisation. Leverage allows traders to increase their exposure with a smaller initial investment but also increases potential losses.
Due to regulatory limits, the broker only offers leverage of 30:1 on the CFD account, while higher leverage is available for professional traders.
WITHDRAWALS AND DEPOSITS
Trading 212 supports various deposit and withdrawal methods including bank transfers and credit and debit cards. The broker does not charge any withdrawal or deposit fees and withdrawals are usually processed fairly quickly, within 2-3 business days.
CUSTOMER SERVICE
Customer support is available 24/7 through live chat, email and phone. The service team is knowledgeable and responsive, helping to enhance user experience and satisfaction.
A strong emphasis is put on the broker’s customer support with the website claiming the average response time is only 29 seconds.
SAFETY AND SECURITY
Trading 212 takes the safety and security of its clients’ investments very seriously, employing a range of measures to ensure a secure trading environment. A key component of its security framework is adherence to regulations set forth by some of the world’s most stringent financial regulatory bodies.
Financial Conduct Authority (FCA), United Kingdom
Trading 212 is authorised and regulated by the FCA, which is renowned for its rigorous standards and strict oversight. Regulation by the FCA ensures that Trading 212 adheres to the highest ethical and operational standards.
The FCA’s rules mandate that client funds be held in segregated bank accounts, separate from the company’s own funds. This ensures that client money is protected in the event of the company’s insolvency and cannot be used for the firm’s business activities.
Cyprus Securities and Exchange Commission (CySEC)
As a regulator within the European Union, CySEC provides an additional layer of security for Trading 212’s clients, particularly those based in Europe. CySEC enforces EU regulations, including the Markets in Financial Instruments Directive (MiFID II), which aims to increase transparency across the EU’s financial markets and standardise the regulatory disclosures required for particular markets.
Australian Securities and Investments Commission (ASIC)
ASIC’s oversight ensures that Trading 212 operates with integrity and transparency in the Australian market. ASIC requires Trading 212 to meet stringent capital requirements, conduct regular audits and submit financial reports to ensure compliance with financial standards.
The broker also implements further safety features such as data encryption, two-factor authentication, regular audits and negative balance protection for their clients.
The robust regulatory framework and additional security measures that Trading 212 has implemented are central to its operations, providing a secure and transparent trading environment for its clients. By adhering to the regulations set by the FCA, CySEC, and ASIC and employing advanced security technologies, Trading 212 ensures that its clients’ investments are protected to the highest possible standards.
PROMOTIONS
While Trading 212 does not offer promotions currently, traders are encouraged to regularly visit the broker’s website in case this changes.
RESEARCH
The platform provides various research tools including real-time data, charts and analyst insights that help traders make informed decisions. These research tools are readily available on the broker’s website and represent one of the best offerings in the industry.
EDUCATION
Trading 212 offers an extensive array of educational resources including videos, articles and webinars that cover trading basics and advanced strategies. The broker also provides a Learn tab with various resources and a simulated trading experience which can be hugely beneficial for both new traders and those looking to test new strategies.
GLOBAL AWARDS
Over the years, Trading 212 has received numerous awards recognising its innovation and customer service in the financial services industry. Some of their most recent awards include the following:
- Best for Share Traders (2024) – Boring Money.
- Consumer Rated Value for Money (2024) – Boring Money.
- Annual Awards (2024) – UKStockbrokers.com
- Best Free Trading App (2023) – BrokerChooser.
SAFE OR SCAM?
In the world of online trading, the distinction between a safe platform and a scam can often be a major concern for investors, particularly for those new to trading. Trading 212 has established itself as a legitimate and trustworthy platform, rigorously regulated by several top-tier financial authorities globally.
Trading 212 is regulated by multiple respected regulatory bodies including the FCA in the UK, CySEC, and ASIC. These regulators are known for their strict oversight and stringent requirements including regular audits, minimum capital requirements and client protection measures such as segregated client funds.
The adherence to these regulations provides a strong indication of Trading 212’s commitment to fair and secure trading practices.
Transparency is a key indicator of a platform’s legitimacy. Trading 212 maintains a high level of transparency by providing clear information about its trading conditions, fees and the risks associated with trading.
Trading 212 implements several measures to protect its clients including negative balance protection, which ensures that traders cannot lose more money than they have deposited. Additionally, client funds are held in segregated accounts, ensuring they are not used for company expenses and are protected in the event of the company’s insolvency.
Trading 212 has built a solid reputation over the years and has a large, active user base. It frequently receives positive feedback from its users, especially concerning its user-friendly platform and comprehensive educational materials. While no trading platform is without its critics, the overwhelming majority of reviews and testimonials from Trading 212 users are positive.
Trading 212 can be considered safe to use. It operates under strict regulatory oversight, offers significant client protection measures, maintains transparency in its operations and upholds a strong reputation among traders worldwide.
CONCLUSION
Trading 212 stands out as a robust platform that caters to the needs of both new and experienced traders. Its zero-commission model, combined with a comprehensive range of services and excellent customer support, makes it a commendable choice for anyone looking to engage in trading activities.
After conducting the above review into the broker, the team at Brokersuggest.com highly recommends Trading 212 as one of the very best brokers in the industry.
