Best Investment Apps UK for Beginners, Students, and Pros

Investing in the stock market can be a rewarding way to grow your wealth and achieve your financial goals. However, investing can also be challenging, especially for beginners who may not have the time, knowledge, or confidence to research and manage their own portfolios.

That’s where investment apps come in handy. Investment apps are software programs that allow you to buy and sell shares and other assets using your smartphone or other mobile device. They can simplify the investing process, offer a variety of features and tools, and help you access the global markets anytime, anywhere.

But with so many investment apps available in the UK, how do you choose the best one for your needs? In this blog post, we will look at the Best Investment Apps UK and compare them to find out the Best Investment App that you should use for your investments.

List of Best Investment Apps UK

How do Investment Apps Work?

Investment apps are essentially online brokers that allow you to trade stocks and other assets through your mobile device. They connect you to the stock exchanges and execute your orders in real time. Depending on the app, you may be able to trade a range of assets, such as:

• Stocks
• ETFs
• Bonds
• Commodities
• Currencies
• Cryptocurrencies
• Options
• Futures
• CFDs
• Spread bets

Some of the best investment apps UK also offer additional features and services, such as:

• Fractional Shares: This feature allows for the purchase of a part of a share. For instance, if a share is priced at £100, you have the option to buy 0.1 of it for £10. This facilitates portfolio diversification, enabling investment in high-value stocks with a modest budget.
• Smart Portfolios: Tailored for users who prefer a hands-off approach, this automated feature designs and manages a portfolio based on your risk tolerance and investment goals. It utilizes sophisticated algorithms and expert insights to make investment decisions on your behalf.
• Copy Trading: A unique feature that empowers you to mirror the trades and strategies of seasoned investors on the platform. This offers a learning opportunity from experienced traders and can even allow them to indirectly manage your investments.
• Social Trading: This interactive element allows for engagement with a community of fellow investors. You can exchange ideas, opinions, and insights, gaining valuable feedback, tips, and support.
• Education and Research Tools: These resources provide educational content and research materials, including articles, videos, podcasts, webinars, courses, and news updates. They are designed to enhance your investing knowledge, sharpen your skills, and keep you informed about market trends and opportunities.

Consider reading: Full List of Best Copy Trading Apps

What are the Best Investment Apps UK for All-round Investors?

All-round investors are those who want to invest in a variety of assets and markets with different levels of risk and return. They may also want to use different features and tools to enhance their investing experience and performance.

For all-round investors, we recommend the following Best Investment Apps UK:

1. eToro: Renowned for its versatility and popularity, eToro is a standout choice. It facilitates commission-free trading on a multitude of stocks and ETFs from the UK, US, and other global markets. Unique features include support for fractional shares, smart portfolios, copy trading, and social trading. Additionally, it allows trading in cryptocurrencies, commodities, currencies, indices, and CFDs. eToro, regulated by the Financial Conduct Authority (FCA), boasts a user base exceeding 20 million globally.
2. XTB: Ideal for investors seeking to trade a broad spectrum of assets, XTB offers commission-free trading on a vast array of stocks, along with currencies, indices, commodities, and ETFs. The platform is known for its low spreads, rapid execution, and sophisticated trading tools. Additionally, it supports trading in CFDs and spread bets. XTB, regulated by the FCA, brings over 15 years of industry experience to the table.
3. AvaTrade: As a multi-asset broker, AvaTrade presents an impressive investment app experience. It caters to trading in UK and international stocks, indices, commodities, and currencies. The app also supports CFDs and spread bets. AvaTrade distinguishes itself by offering zero trading commissions or account fees and provides leverage options of up to 1:5 on stocks and higher for other assets. Regulated by the FCA, AvaTrade has a decade of industry experience.

These apps, with their diverse functionalities and regulatory compliance, offer robust platforms for all-round investors to effectively navigate the investment landscape.

Consider reading: How to Buy Tesla Stock on eToro

What are the Best Investment Apps UK for Beginners?

For beginners in the UK – those new to investing or with limited experience – certain investment apps are particularly well-suited, offering simplicity, low-risk asset options like stocks and ETFs, and tools to enhance learning and investing skills. Here are three recommended Best Investment Apps UK:

1. Freetrade: Ideal for beginners aiming to invest in stocks and ETFs, Freetrade offers commission-free trading on a wide range of UK and US stocks and ETFs. Notable for its fractional shares and ISA account options, the app is known for its straightforward, user-friendly interface and supportive customer service team. Regulated by the FCA, Freetrade has amassed over 1 million users in the UK, making it a popular choice for novice investors.
2. Nutmeg: Excelling in smart portfolio management, Nutmeg is a great choice for beginners who prefer a more hands-off approach. It offers a variety of portfolio options – fully managed, fixed allocation, and socially responsible – tailored to individual risk profiles and goals. With Nutmeg handling investment decisions through algorithms and expert advice, users enjoy low fees, potentially high returns, and exceptional customer service. Regulated by the FCA, Nutmeg manages over £3 billion in assets.
3. Moneybox: Perfect for beginners who want a fun and straightforward investing experience, Moneybox features a unique ’round-up’ option that automatically invests spare change from everyday transactions. It offers stocks and shares ISA, lifetime ISA, and general investment accounts, with options for regular deposits and one-off payments to boost savings. Known for its low fees, flexible withdrawal options, and friendly customer support, Moneybox is regulated by the FCA and has attracted over 600,000 users in the UK.

These apps cater specifically to the needs of beginner investors, offering an accessible entry point into the world of investing with user-friendly features and robust regulatory oversight.

Criteria for Choosing the Best Investment Apps UK

When choosing an Best Investment Apps UK, you should consider the following criteria:

1. Fees: Assess the various costs associated with using the app. This encompasses trading costs (like commissions, spreads, and overnight fees) and account maintenance costs (such as account fees, inactivity fees, and withdrawal fees). Opt for an app offering low or no fees to maximize your investment returns over time.
2. Features: Examine the diversity of assets and markets available for trading, as well as additional features and services provided by the app. These could include fractional shares, smart portfolios, copy trading, social trading, educational and research resources, and customer support. Choose an app with features that align with your investment goals and preferences, as these can significantly improve your investing experience and outcomes.
3. Performance: Consider the app’s speed, reliability, and security. Look for an app offering swift execution, stable connectivity, and robust security measures. Additionally, ensure the app is regulated by a reputable authority like the Financial Conduct Authority (FCA) in the UK, as this offers reassurance regarding the safety and security of your funds and personal data.
4. Reviews: Pay attention to feedback and ratings from other users and industry experts. Positive and genuine reviews can offer valuable insights into the app’s quality and reputation, aiding in your decision-making process.

By carefully evaluating these criteria, you can make an informed choice about which investment app best suits your individual needs, balancing functionality, cost, security, and user experience.

Comparative Analysis of Best Investment Apps UK

To help you compare the best investment apps UK, we have created a table that shows their strengths and weaknesses based on the criteria we discussed earlier.

1. eToro
   • Strengths: Offers commission-free trading on a wide range of assets, including stocks, ETFs, cryptocurrencies, and more. It features fractional shares, smart portfolios, and social trading options, and is known for its fast execution and strong regulatory compliance with the FCA.
   • Weaknesses: Charges a £4 withdrawal fee and involves the complexities of CFD trading. The success of copy and social trading is not guaranteed.
2. XTB
   • Strengths: Provides commission-free trading on various assets, including stocks and ETFs, with advanced trading tools and leverage options. The platform is praised for its fast execution and strong regulatory compliance.
   • Weaknesses: Lacks fractional shares and social trading features, doesn’t offer cryptocurrency trading, and the risks associated with CFDs and spread bets.
3. AvaTrade
   • Strengths: Known for commission-free trading across various assets, including stocks, indices, and commodities, along with educational resources. It also boasts fast execution and strong regulatory compliance.
   • Weaknesses: Charges a £3.5 withdrawal fee and lacks features like fractional shares and social trading. It does not offer cryptocurrency trading and ETFs, and there are risks associated with leverage.
4. Freetrade
   • Strengths: Ideal for beginners, offering commission-free trading on UK and US stocks and ETFs, with a user-friendly interface and ISA account options. It has a strong focus on regulatory compliance and customer support.
   • Weaknesses: Charges a £5 withdrawal fee and has a limited range of assets and markets. It lacks advanced features like smart portfolios and social trading.
5. Nutmeg
   • Strengths: Specializes in managed portfolios tailored to individual risk profiles, with low fees and a focus on customer service. It also enjoys a strong regulatory standing.
   • Weaknesses: Does not offer commission-free trading or features like fractional shares and social trading. Limited control over individual investments and dependent on market conditions.
6. Moneybox
   • Strengths: Features unique saving and investing options like the round-up feature, along with ISA options. It’s known for low fees, flexible withdrawal options, and strong customer support.
   • Weaknesses: Lacks commission-free trading and advanced investing features. Offers a limited range of assets and is subject to fund provider fees.

This analysis should assist users in making informed decisions based on their specific investing needs and preferences. Each app offers a unique set of features and services, catering to different types of investors, from beginners to more experienced traders.

Is it Worth Using an Investment App? The Pros and Cons

Investment apps can be a great way to invest in the stock market, but they also have some drawbacks. Here are some of the pros and cons of using an investment app:

Pros:

1. Convenience: Investment apps provide the flexibility to trade anytime and anywhere using a smartphone or other mobile devices, eliminating the need for a computer, broker, or physical location.
2. Simplicity: These apps offer a user-friendly interface, allowing trades with just a few taps and minimizing the complexity of traditional trading platforms. Features like fractional shares, smart portfolios, and social trading further simplify the investing process.
3. Affordability: Many investment apps feature low or no trading fees and minimal account fees. The ability to trade fractional shares and low minimum deposits make these apps accessible even with a small investment budget.
4. Diversity: A wide range of assets and markets are available, including stocks, ETFs, cryptocurrencies, commodities, currencies, and indices. Additionally, instruments like CFDs and spread bets offer opportunities to profit in varying market conditions.
5. Education: Investment apps often provide educational resources and research materials to help users learn about investing and stay informed about market trends. Features like copy trading and social trading also enable learning from experienced investors.

Cons:

1. Risk: Investing in the stock market carries inherent risks and unpredictability. The use of leverage, CFDs, and spread bets in some apps can amplify losses, potentially leading to losing more than the initial investment.
2. Security: There’s a risk of losing funds or personal data if the app lacks adequate security measures or regulatory compliance. It’s crucial to use apps with strong security features, never share sensitive information, and practice safe online behavior.
3. Emotion: Emotional decision-making can negatively impact investment choices. It’s important to have clear goals, a well-defined strategy, and maintain discipline to avoid overtrading, chasing losses, or making impulsive decisions based on market trends or peer actions.

In summary, investment apps can be a valuable tool for modern investors, offering ease, simplicity, and diverse options. However, they require careful consideration of risks, security, and emotional factors to ensure a positive and responsible investing experience.

Are Investment Apps UK Safe?

The Best Investment apps UK are generally safe, as long as they are secure and regulated. You should always check the following factors before using an investment app:

1. Security:
   • Encryption and Firewalls: The app should employ robust encryption standards and firewalls to safeguard your financial and personal data against cyber threats.
   • Anti-Virus Protection: Strong anti-virus mechanisms are essential to protect against malware and other cyber threats.
   • Two-Factor Authentication (2FA) and Biometric Verification: These features add an extra layer of security to your account, making unauthorized access more difficult.
   • Password Security: The app should have a secure password creation and recovery system to prevent unauthorized access.
2. Regulation:
   • Regulatory Authority: Ensure the app is regulated by a reputable body like the Financial Conduct Authority (FCA) in the UK. This regulation helps ensure the app adheres to specific standards and practices, safeguarding your investments.
   • Segregated Accounts: These accounts keep client funds separate from the company’s funds, providing an additional layer of security.
   • Investor Compensation Schemes: Such schemes can offer protection in the event of the app’s failure.
   • Dispute Resolution Services: These services provide a means to resolve any issues that may arise between you and the app provider.
3. Reputation:
   • User and Expert Reviews: Positive feedback from other users and experts can be a good indicator of an app’s reliability and performance.
   • Customer Support: Responsive and helpful customer support is crucial for resolving issues and providing guidance.
   • Transparency and Accountability: The app should be transparent about its practices, fees, and any potential conflicts of interest.

In conclusion, while investment apps can offer a convenient and accessible way to manage investments, it’s important to thoroughly research and choose apps that prioritize security, are regulated by authoritative bodies, and have a solid reputation in the market. This approach helps ensure the safety and security of your investments and personal information.

Future Trends in Investment Apps UK

The Best Investment apps UK are constantly evolving and improving, as they adapt to the changing needs and preferences of investors and the market. Here are some of the future trends that we can expect to see in investment apps:

1. Artificial Intelligence (AI):
   • Smart Portfolios and Trading: AI will increasingly power features like smart portfolios, optimizing investment strategies based on market data and investor profiles.
   • Personalized Insights and Recommendations: AI algorithms will provide tailored insights and investment recommendations, enhancing decision-making for investors.
   • Interactive Customer Support: AI will improve customer support, offering personalized and efficient assistance.
2. Blockchain Technology:
   • Enhanced Security and Transparency: Blockchain will bolster app security and transparency, ensuring decentralized, encrypted, and immutable data storage and transfer.
   • Innovative Financial Products: Blockchain will facilitate new offerings such as cryptocurrencies, tokenized assets, and smart contracts.
3. Gamification:
   • Engaging Investment Experience: Investment apps will integrate gamification to make investing more engaging and accessible, especially for younger or less experienced investors.
   • Behavioral Motivation and Education: Points, badges, challenges, and other gamification elements will encourage continued engagement, learning, and prudent investing behaviors.
4. Social Impact Investing:
   • Focus on Responsible Investing: There will be a greater emphasis on socially responsible, ethical, and sustainable investing, aligning financial returns with positive social and environmental outcomes.
   • Transparent Impact Reporting: Apps will offer more detailed information on the social and environmental impact of investments, alongside financial performance.

These trends reflect a broader shift towards more intelligent, secure, engaging, and socially conscious investment platforms. As these trends materialize, investment apps are likely to become even more integral tools for personal finance management and investment decision-making.

How do I Choose the Best Investment Apps UK that Suit my Goals and Risk Appetite?

Choosing the Best Investment Apps UK that suit your goals and risk appetite is a personal and important decision, as it can affect your investing experience and outcome. Here are some steps that you can follow to choose an app that suits you:

1. Define Your Investment Goals:
   • Purpose: Identify the primary objective of your investments, such as retirement savings, purchasing a home, or funding travel.
   • Time Horizon: Determine the duration of your investment period – short-term, medium-term, or long-term.
2. Assess Your Risk Appetite:
   • Risk Tolerance: Honestly evaluate how much risk you can comfortably take. Consider your financial situation, personality, and emotional response to market fluctuations.
   • Financial Capacity: Understand your financial resilience in case of potential losses. This should reflect your current and expected future financial status.
3. Compare Investment Apps:
   • Criteria Evaluation: Use previously discussed criteria like fees, features, performance, and user reviews to compare different apps.
   • Asset Classes and Markets: Look at the variety of assets and markets each app offers. Ensure they align with your investment goals.
   • Investment Strategies: Consider if the app supports the type of investment strategies you’re interested in, such as passive or active investing, or specific sector investments.
4. Test the App:
   • Trial Run: Utilize demo accounts or free trials if available. Start with a minimal deposit to get a real sense of the app’s interface and features.
   • Evaluate Usability: Pay attention to how intuitive and user-friendly the app is. Can you navigate easily and find the necessary information and tools?
   • Read Documentation: Carefully review the app’s terms and conditions, privacy policy, and risk disclosure statements to understand your rights and obligations.
5. Seek Recommendations and Advice:
   • Consult Financial Advisors: If possible, seek advice from financial experts or advisors for recommendations tailored to your financial situation and goals.
   • Community Insights: Engage with online communities or forums where experienced users share their insights and experiences with various investment apps.

Remember, the best investment app for you should not only align with your investment goals and risk tolerance but also feel intuitive and comfortable to use. It’s essential to approach this decision with thorough research and consideration.

Final Thoughts on Best Investment Apps UK

Investing in the stock market presents a viable path to growing wealth and achieving various financial goals. Despite its potential rewards, navigating the market can be a complex and daunting task, particularly for newcomers who may lack the time, expertise, or confidence to extensively research and manage their investments.

Investment apps emerge as an ideal solution, catering to a wide range of investors, from beginners to the more experienced. These apps, accessible through smartphones and other mobile devices, enable users to engage in the stock market with remarkable ease. They simplify the investment process, provide an array of useful features and tools, and offer the flexibility to engage with global markets at any time, from any location.

FAQs on Best Investment Apps UK

What is the best app to record investments?

The best app for recording investment portfolio data is often considered to be Personal Capital. This app offers seamless tracking of investments across various assets, provides comprehensive financial management tools, and allows for real-time portfolio monitoring, making it a preferred choice for both novice and experienced investors.

What is the best investment in UK right now?

The best investment in the UK currently may vary according to individual risk appetite and market conditions. However, ISA accounts, short-term corporate bond funds, and property crowdfunding offer potentially strong returns and flexibility. Always consider market trends and consult with a financial advisor before investing.

What is the best platform to invest in stocks UK?

The best platforms for investing in stocks in the UK are Capital.com, which offers zero commission stock trading and transparent fees, DEGIRO with low trading costs of £1.75 + 0.014% per trade, and FinecoBank charging a competitive £2.95 for UK shares and ETFs with no minimum fees.

What is the best investment option in the UK?

the best investment option in the UK depends on your financial goals. For short-term investments, consider high-yield savings accounts, cash management accounts, or short-term government bonds. Evaluate your risk appetite and desired investment duration to choose the most suitable option.