Written by StockBrokers.com
In this head to head comparison of Interactive Brokers vs Freetrade, we will compare the trading platforms, mobile apps, investment options, costs, market research, and more. Let's dive in.
Your capital is at risk.
Alongside the cost per trade, most UK online brokers also charge a monthly, quarterly, or annual management fee, which varies based on the account type and balance. Based on our thorough review, Interactive Brokers offers better pricing than Freetrade for share dealing.
Assuming a £30,000 portfolio size, here are the total annual costs for share dealing with both brokers, given different monthly activity scenarios.
5 trades per year - Interactive Brokers would cost £15 per year, while Freetrade would cost £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) per year.
12 trades per year - Interactive Brokers would cost £36 per year, while Freetrade would cost £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) per year.
36 trades per year - Interactive Brokers would cost £108 per year, while Freetrade would cost £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) per year.
120 trades per year - Interactive Brokers would cost £360 per year, while Freetrade would cost £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) per year.
3 fund trades per year - Interactive Brokers would cost £0 per year, while Freetrade would cost £1 per year.
What type of trader are you?
New to the world of investing? See our picks for the Best UK Trading Platforms for Beginners. More experienced traders should read our guide to the Best UK Trading Platforms for Active Traders.
For UK investors exploring their options, Interactive Brokers and Freetrade both offer a range of investment choices, yet with some notable differences. Interactive Brokers provides a comprehensive selection that includes share trading, crypto trading, ETFs, CFDs, funds, corporate bonds, gilts, and investment trusts. This extensive offering has earned them a 5-star rating for investment choices from UK.StockBrokers.com, securing the #2 rank out of 21 brokers. Meanwhile, Freetrade focuses on a more streamlined selection, allowing users to trade shares, ETFs, and investment trusts, but doesn't cater to crypto, CFD, bond, or funds trading. As a result, Freetrade holds a solid 4-star rating, positioned at #17 in the rankings.
Choosing between these platforms depends on your investment needs. If you're searching for a wide array of investment products, including advanced options like CFD trading and bonds, Interactive Brokers might be the preferable choice. However, if you're looking for a simplified user experience focusing on fundamental investments like shares and ETFs, Freetrade could be more suitable. Each platform offers unique benefits tailored to different types of investors.
| Feature |
Interactive Brokers
|
Freetrade
|
|---|---|---|
| Share Trading | Yes | Yes |
| CFD Trading | Yes | |
| ETFs | Yes | Yes |
| Funds | Yes | |
| Bonds - Government (Gilts) | Yes | |
| Investment Trusts | Yes | Yes |
| Spread Betting | ||
| Crypto Trading | Yes | |
| Advisor Services | ||
| Investment Choices |
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Low-cost US and UK shares.
Professional’s Gateway to the World’s Markets.
When comparing the trading tools of Interactive Brokers and Freetrade for UK investors, significant differences emerge in charting functionalities. Interactive Brokers shines with the ability to display corporate events on charts and an impressive suite of 80 drawing tools and 96 technical indicators. It also allows users to add notes, as well as index and stock overlays to charts, providing a detailed and customizable trading experience. In contrast, Freetrade does not provide these charting features, potentially limiting the depth of analysis traders can perform within their platform.
Both Interactive Brokers and Freetrade offer browser-based trading platforms, making it easy for traders to access their accounts from any device. Additionally, each platform provides the capability to create alerts for stock price updates. However, while Freetrade delivers real-time market data to keep investors informed promptly, it is unclear if Interactive Brokers offers this feature. Overall, for those who prioritize advanced charting and customization in their trading tools, Interactive Brokers holds a distinct advantage over Freetrade.
| Feature |
Interactive Brokers
|
Freetrade
|
|---|---|---|
| Web Platform | Yes | Yes |
| Stock Alerts | Yes | Yes |
| Charting - Indicators / Studies | 96 | 0 |
| Charting - Drawing Tools | 80 | 0 |
| Charting - Notes | Yes | |
| Charting - Display Corporate Events | Yes | |
| Charting - Stock Overlays | Yes | |
| Charting - Index Overlays | Yes |
When comparing Interactive Brokers and Freetrade for retirement accounts in the UK, both online brokers present competitive options. They each offer Individual Savings Accounts (ISA), which allow users to invest their money without paying tax on dividends or capital gains. Additionally, both brokers provide Self-Invested Personal Pensions (SIPP), giving individuals the flexibility to manage their own pension savings with the potential to grow investments over the long term. This makes either Interactive Brokers or Freetrade a viable choice for those looking to maximize their retirement savings potential within tax-efficient accounts.
Dive deeper: Best SIPP Providers, Best Stocks and Shares ISA Providers.
In the UK, both Interactive Brokers and Freetrade cater to users with iOS and Android mobile apps, ensuring accessibility across popular platforms. However, when it comes to user ratings and performance, Interactive Brokers excels with a 5-star mobile app rating from UK.StockBrokers.com, securing the impressive rank of 4th out of 21 brokers. In comparison, Freetrade earns a respectable 4 stars, yet it falls to the 12th position in the same ranking. This suggests that while both apps provide functional mobile trading experiences, Interactive Brokers offers a more highly rated service according to user reviews in the UK.
Dive deeper: Best Stock Trading Apps UK.
For beginner investors in the UK seeking educational resources, Interactive Brokers and Freetrade stand out with different offerings. Interactive Brokers provides extensive educational client webinars, which are also archived for on-demand viewing, covering topics such as share trading, funds, and retirement. In contrast, Freetrade's educational resources do not include webinars, but they do offer information on share trading, funds, and retirement. According to UK.StockBrokers.com, Interactive Brokers scores higher with a rating of 4.5 stars and ranks 8th out of 21 brokers for beginner education, while Freetrade receives 3.5 stars and ranks 16th, indicating a more modest educational support for new investors.
| Feature |
Interactive Brokers
|
Freetrade
|
|---|---|---|
| Client Webinars | Yes | |
| Client Webinars (Archived) | Yes | |
| Education (Share Trading) | Yes | Yes |
| Education (Funds) | Yes | Yes |
| Education (Retirement) | Yes | Yes |
| Education |
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Dive deeper: Best UK Trading Platforms for Beginners.
When it comes to market research features, Interactive Brokers provides a broader spectrum of resources compared to Freetrade. For UK investors interested in detailed insights, Interactive Brokers offers research reports for funds, shares, ETFs, CFDs, and bonds, helping users make informed decisions across different investment types. In contrast, Freetrade offers research for shares and ETFs and provides a view of portfolio allocation by asset class, but lacks research reports for funds, CFDs, and bonds. Both platforms support users with essential portfolio allocation features, though Interactive Brokers delivers a more comprehensive package of research tools for a diverse investment portfolio.
| Feature |
Interactive Brokers
|
Freetrade
|
|---|---|---|
| Research - Shares | Yes | Yes |
| Research - CFDs | Yes | |
| Research - ETFs | Yes | Yes |
| Research - Bonds | Yes | |
| Research - Funds | Yes | |
| Fund Research - Research Reports | Yes | |
| Portfolio Allocation Breakdown | Yes | Yes |
Which broker is better overall, Interactive Brokers or Freetrade? After collecting more than 900 data points over a 10-week period, we found Interactive Brokers to be a better trading platform overall.
Interactive Brokers is a sophisticated trading platform aimed at confident and institutional-grade investors. For newer investors, Interactive Brokers is more intimidating, though it's worth exploring the platform to see if you could save money or access more investments compared to other brokers.
| Feature |
Interactive Brokers
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Freetrade
|
|---|---|---|
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Interactive Brokers offers crypto trading, while Freetrade does not provide this option, making Interactive Brokers a more versatile choice for investors interested in cryptocurrency trading.
Select Brokers
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0 of 5| Overall Rating | Interactive Brokers | Freetrade | |
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| Review | Interactive Brokers Review | Freetrade Review | |
| Winner | check_circle |
| Investments | Interactive Brokers | Freetrade | |
|---|---|---|---|
| ISA | Yes | Yes | |
| SIPP | Yes | Yes | |
| Share Trading | Yes | Yes | |
| CFD Trading | Yes | ||
| Funds | Yes | ||
| ETFs | Yes | Yes | |
| Bonds - Corporate | Yes | ||
| Bonds - Government (Gilts) | Yes | ||
| Investment Trusts | Yes | Yes | |
| Spread Betting | |||
| Crypto Trading | Yes | ||
| Advisor Services |
| Trading Fees | Interactive Brokers | Freetrade | |
|---|---|---|---|
| Minimum Deposit | £0 | £1 | |
| Share Trading: 0-9 Deals/ Month | £3 | £0 | |
| Share Trading: 10-19 Deals/ Month | £3 | £0 | |
| Share Trading: 20+ Deals/ Month | £3 | £0 | |
| 5 trades per year (£30k portfolio) | £15 | £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) | |
| 12 trades per year (£30k portfolio) | £36 | £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) | |
| 36 trades per year (£30k portfolio) | £108 | £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) | |
| 120 trades per year (£30k portfolio) | £360 | £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) | |
| 3 fund trades per year (£30k portfolio) | £0 / £14.85 | N/A | |
| Annual Custody Fee: £0 - £250,000 | £0 | £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) | |
| Annual Custody Fee: £250K-£500K | £0 | £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) | |
| Annual Custody Fee: £500,000 - £1m | £0 | £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) | |
| Annual Custody Fee: £1m and over | £0 | £0 (Basic plan), £59.88 (Standard), £119.88 (Plus) | |
| Bonds - Corporate - Fee | 0.1% (for <10,000 EUR) 0.025% (for >10,000 EUR) | N/A | |
| Bonds - Government (Gilts) - Fee | 0.1% (for <10,000 EUR) 0.025% (for >10,000 EUR) | N/A | |
| ETFs - Fee | £3 | £0 | |
| Investment Trusts - Fee | N/A | £0 | |
| Telephone Dealing Fee | £25 | N/A |
| Broker Screenshots | Interactive Brokers | Freetrade | |
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| Website Gallery (click to expand) |
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| Mobile Trading Apps Gallery (click to expand) |
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| Education Gallery (click to expand) |
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| Platforms & Tools | Interactive Brokers | Freetrade | |
|---|---|---|---|
| Web Platform | Yes | Yes | |
| iPhone App | Yes | Yes | |
| Android App | Yes | Yes | |
| Stock Alerts | Yes | Yes | |
| Charting - Indicators / Studies | 96 | 0 | |
| Charting - Drawing Tools | 80 | 0 | |
| Charting - Notes | Yes | ||
| Charting - Display Corporate Events | Yes | ||
| Charting - Stock Overlays | Yes | ||
| Charting - Index Overlays | Yes |
| Research | Interactive Brokers | Freetrade | |
|---|---|---|---|
| Research - Shares | Yes | Yes | |
| Research - CFDs | Yes | ||
| Research - Funds | Yes | ||
| Fund Research - Research Reports | Yes | ||
| Research - ETFs | Yes | Yes | |
| Research - Bonds | Yes | ||
| Portfolio Allocation Breakdown | Yes | Yes |
| Education | Interactive Brokers | Freetrade | |
|---|---|---|---|
| Education (Share Trading) | Yes | Yes | |
| Education (Funds) | Yes | Yes | |
| Education (Retirement) | Yes | Yes | |
| Client Webinars | Yes | ||
| Client Webinars (Archived) | Yes |
| Overall Summary | Interactive Brokers | Freetrade | |
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| Review | Interactive Brokers Review | Freetrade Review | |
| Winner | check_circle |
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