Revision: FinecoBank multi-currency trading account *

0

Our bottom line

This stock trading platform of the Italian operation FinecoBank has two main selling points. First, a low flat-rate transaction fee of just £ 2.95, and second, a huge selection of European and US stocks that you can trade even cheaper. This makes it ideal for international freewheeling multi-currency investors. However, if you are focusing on the UK you might feel more comfortable with one of the major national platforms.

The action of FinecoBank in brief

FinecoBank is a new name for me, and maybe for you too. Still, it’s a big deal on the continent, where it claims to be “Europe’s most used trading platform”.

Milan-based FinecoBank offers a single multi-currency account for banking, trading and investing, including debit cards in pounds and euros, and no or minimal currency conversion fees. He says he has a million clients and is now looking to gain new business in the UK…

For most investors, the lowest transaction fee of just £ 2.95 for UK stocks will be a big draw. It’s even cheaper to trade stocks overseas, just € 3.95 for European trades and $ 3.95 for US stocks.

Best of all, there are no monthly account fees – and as you may know, those quarterly fees can really add up over time.

The site’s great pitch is for those who want to look beyond the UK to trade European and US stocks, exchange-traded funds, bonds and other financial instruments. There is certainly appeal and wisdom here. The British economy represents less than 5% of the global economy, so good diversification requires investing elsewhere. Even so, it might have less appeal to Brits who don’t see themselves as “Citizens Of Everywhere” because the site labels its customers.

Main features of the FinecoBank equity trading account

Fineco allows you to trade thousands of international stocks, as well as bonds and exchange-traded funds (ETFs) and more complex instruments such as contracts for difference (CFDs), commodities, currencies, contracts for term and options. (Some of these more complex investments may, of course, not be suitable for all investors).

You pay a fixed trading fee regardless of order size and can trade multiple products in local currencies from a single multi-currency account, with a single password and a single PIN to remember. The site currently offers 100 commission-free transactions to new customers in the first three months.

Features include at-a-glance stock picking, which lets you set filters to explore different markets.

I’m not completely taken with the design, however. Personally, I think it lacks a bit of style and streamlining, which is honestly something I would expect from a company based in Italy, the mecca of high-end style and design. This was a drawback for me, as I appreciate a simple and well-designed user interface. Although for many users – especially those focusing on Fineco’s low transaction fees – this may not be a problem.

FinecoBank commission prices

The basic transaction fee for UK stocks, ETFs and bonds is £ 2.95 per trade, plus a 0.5% stamp duty. Put simply, it’s hard to beat, in terms of the price.

The fees are also ultra-competitive on foreign securities, with a fixed fee of € 3.95 in Europe and $ 3.95 for transactions in the United States. This makes it particularly cheap for those negotiating non-UK investments, as some sites may charge £ 15-20.

Fees you should know

With no quarterly account fees or inactivity fees, this really looks like the low-cost platform to beat.

Fineco charges a spread of 0.8 point on currencies and 0.4 point on CFD indices. There is no commission or additional spread on CFDs on stocks.

There is a 0.25% custody fee on funds, although this is the maximum and it decreases as you hold funds in your account.

There is a full list of fees on the site. None of them seemed too expensive to me.

Buy stocks, ETFs and funds with a FinecoBank stock trading account

You can invest in thousands of UK stocks, bonds and ETFs, then go far beyond with European and US stocks, as well as ETFs, currencies, commodities, CFDs and, for more advanced investors, derivatives and futures. Fineco offers automated ETF investment plans and over 6,000 global bonds, including gilts. There is no minimum deposit required, you can decide how much you want to invest. In other words, you should not run out of investment options on this platform.

FinecoBank platform

Fineco’s interface is less user-friendly than, say, Hargreaves Lansdown. Perhaps this is because it is aimed at more serious traders. Or it could be the greatest abundance of foreign stocks. For example, its list of “most popular stocks” includes Telecom Italia and Intesa SanPaolo, which will be less familiar to the average UK investor.

And in case you want to go beyond a standard stock trading account and benefit from tax-advantaged programs, you’ll have to look elsewhere. At the time of this writing, Fineco does not offer ISA or SIPP.

It always takes a while to get used to a new platform, but, even so, this one didn’t really get me out of the door, and I struggled with some of its filtering features. stock, which I found too complex. For me at least, the filters haven’t produced anything that I find particularly clear or useful. I’m not the brightest with technology, so more savvy users may have better results there.

FinecoBank research offers

You can search for stocks by a number of predefined headings, such as “Foreign utility companies with a high return on capital”, “European stocks that can benefit from the monetary policy of the European Central Bank” and “Italian stocks , Spanish and Portuguese with strong growth prospects ”. There is even one for UK banks, oil and mining companies called “God save the Queen”. Hmm …

It offers all kinds of tools for breaking down stock listings, for example, by US, UK or EU index, sector, performance and specs, although I found the Stock Screener a bit complicated overall.

And let’s keep in mind here, if you’re a seasoned investor who doesn’t need a lot of extra support, or if you find investment ideas elsewhere (e.g. an ally like The Motley Fool!) The fees Low transaction costs and the non-existent platform fees can far outweigh these concerns.

Service and support

You can open your account online and Fineco says it should normally take eight to 15 minutes. First, gather your passport, tax residency and other personal information. Once you set it up, its contact details include a UK 0800 number, if not, you can email the service team. They promise a response within one business day.

Is a FinecoBank Equity Trading Account Right for You?

Well, it really depends on what you are looking for in a stock trading account. I really like Fineco’s low cost billing structure – £ 2.95 per trade-in is fine with me! This is the case with an opening of three months of free trade (up to 100).

Those who really want a multi-currency bank account, trade European and US stocks regularly, or trade so regularly that you need the lowest possible fees may be the most drawn to the Fineco platform. Or just investors who are very comfortable researching and coming up with investment ideas on their own and benefit from low transaction fees and no platform fees.

On the other hand, if you primarily want UK investments and place a high value on an easy-to-use interface and tools, I think you might have more fun with one of the platforms. – National trading forms in UK, although you may have to pay for fun by higher fees.


The Motley Fool receives compensation from certain advertisers who provide products and services that may be covered by our editorial team. It’s one way to make money. But know that our editorial integrity and transparency matter most and our ratings are not influenced by compensation. Additionally, while we aim to showcase some of the best products available, we do not review every product on the market. Find out more here. Any opinions or statements contained in this article are owned by the author and may be shared by The Motley Fool, but they have not been provided or endorsed by our affiliate partners unless expressly stated.


Source link

Share.

Leave A Reply