Best Day Trading Platform sites for Beginner Traders & also for Long Term Investors?

lr1277

bery_451 said:

lr1277 said:

Spreadbetting is only tax free if it is your hobby i.e. not the main way you earn your money. I am not sure how this works, but if HMRC find out spreadbetting is your main way of earning money, I am sure they will be in touch.

You can also use Contracts for Difference (CFD's) which are subject to capital gains tax.

So how do HMRC judge and know whether you having a fun time gambling or use gambling as a day job?

No idea.

You could look at this web page:

https://www.financial-spread-betting.com/Tax-free.html

Would imagine in these days of information sharing by computer, spread betting companies may be required to submit a list of their UK or all their clients to HMRC. Then it is a matter for HMRC to do some data matching and seeing who is spreadbetting and does not have another subsistence income.

Like I said, this is what I have read on the internet and it does make sense to me.

But spreadbet at your own risk.

Caeru

I've just started a Trading 212 ISA and find the platform easy to use and the no commission trading is great.

Thrugelmir

Caeru said:

I've just started a Trading 212 ISA and find the platform easy to use and the no commission trading is great.

You do understand how the platform makes it's money? Far from a free service. 

bery_451

Thrugelmir said:

Caeru said:

I've just started a Trading 212 ISA and find the platform easy to use and the no commission trading is great.

You do understand how the platform makes it's money? Far from a free service. 

How do they Trading 212 makes its money then or is it a scam?

Thrugelmir

bery_451 said:

Thrugelmir said:

Caeru said:

I've just started a Trading 212 ISA and find the platform easy to use and the no commission trading is great.

You do understand how the platform makes it's money? Far from a free service. 

How do they Trading 212 makes its money then or is it a scam?

No scam. Perfectly legitimate. More of a marketing ploy to attract new business from the unsuspecting. As always the devil is in the detail of the terms and conditions of trade which people rarely bother to read. Instead just tick the box in the rush to start trading. . 

bery_451

Okay what other Day Trading sites are better than Trading 212 that also have customer protections like FSCA or is Trading 212 the best at the moment? If the best then why Trading 212 is the best, is it because of those youtube ads that made it popular?

Also what Markets Trading 212 cover?

port_of_spain

Never mind which platform. Why do you want to lose money by day trading? There are better ways to get shot of any surplus money you may have — even in a lockdown

bery_451

port_of_spain said:

Never mind which platform. Why do you want to lose money by day trading? There are better ways to get shot of any surplus money you may have — even in a lockdown

Such as?

wmb194

It depends on what you mean by, “best.” If you mean cheapest then Freetrade is another option as its trades are free and it has the usual FSCS cover that the better known British brokers have. I’ve been using it a little bit and whilst it’s very basic - no 15 second quotes, different order types or real-time prices and charting - it’s pretty good and, despite what some here will try to tell you it doesn’t rip you off on the bid-offer spreads, it just gives you the ‘best’ price in the moment your order is placed, and I base this from observing the live prices whilst I’ve placed my orders. I certainly have a much better feeling about it than when I tried Trading212 for the free share - when I sold that it took 20 minutes for the order to execute and the price moved against me - and rather than Trading212’s ever changing, insane ramblings it just has the normal UK brokerage T&Cs.

Edit: Oh, one issue with Freetrade is that compared to other brokers the range of shares you can invest in in London is relatively limited but as I’ve only been buying and selling shares in the FTSE350 it’s been fine for me. YMMV. On the flip side, it does appear to give easier access to US shares than other brokers.

Malthusian

bery_451 said:

lr1277 said:

Spreadbetting is only tax free if it is your hobby i.e. not the main way you earn your money. I am not sure how this works, but if HMRC find out spreadbetting is your main way of earning money, I am sure they will be in touch.

You can also use Contracts for Difference (CFD's) which are subject to capital gains tax.

So how do HMRC judge and know whether you having a fun time gambling or use gambling as a day job?

An example of when you might be taxed on spread betting wins is if you were a stockbroker and used a spread bet to hedge your exposure. This is what is meant by "carrying on a trade".

Making more money from spread betting than your day job (or having no day job) does not by itself make your winnings taxable.

Nobody using spreadbetting in an attempt to get rich quick needs to worry about HMRC taxing their winnings as the vast majority of them will lose money. Statistically, if you won some money at spreadbetting and HMRC tried to tax you on it, by the time the case reached a Tribunal you'd've lost the money and HMRC would have wasted their time.

HMRC does not want to tax profits from gambling because then it would have to give relief for losses. HMRC taxes gambling via corporation tax on bookmakers, dividend tax on the owners, income tax and NI on its employees, etc etc.