Robinhood UK vs Vanguard UK Investor 2024

Vanguard U.K. Investor, part of one of the world's largest fund managers, is cheap and easy to use and will appeal to investors looking for inexpensive index funds for long-term investing. Its platform, however, reveals many shortcomings compared to leading brokers, particularly relating to the narrow investment selection and lack of mobile app.

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, Vanguard UK Investor offers better pricing than Robinhood UK 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 - Robinhood UK would cost £0 per year, while Vanguard UK Investor would cost N/A per year.

12 trades per year - Robinhood UK would cost £0 per year, while Vanguard UK Investor would cost N/A per year.

36 trades per year - Robinhood UK would cost £0 per year, while Vanguard UK Investor would cost N/A per year.

120 trades per year - Robinhood UK would cost £0 per year, while Vanguard UK Investor would cost N/A per year.

3 fund trades per year - Robinhood UK would cost £0 per year, while Vanguard UK Investor would cost £500 per year.

Robinhood UK requires a minimum deposit of £0, while Vanguard UK Investor requires a minimum deposit of £500. From our testing we found for accounts between £0 - £250,000 Robinhood UK charges annual custody fees of £0, while Vanguard UK Investor charges annual custody fees of 0.15%.

Robinhood UK offers investors access to Share Trading, while Vanguard UK Investor offers investors access to ISA, SIPP, Funds and ETFs. Neither have CFD Trading, Bonds - Corporate, Bonds - Government (Gilts), Investment Trusts, Spread Betting, Crypto Trading and Advisor Services. Investing encompasses a wide variety of asset classes, so finding a broker that offers every investment type you are interested in is important.

Self-invested personal pensions (SIPPs) and individual savings accounts (ISAs) are tax-advantaged savings accounts that are an important tool for many individual investors. You can read more about how these accounts operate at Gov.UK: Click here for SIPP information and here for ISA information. Our analysis finds that Robinhood UK offers traders access to neither of these accounts, while Vanguard UK Investor offers traders access to SIPP and ISA accounts.

In our analysis of top brokers for share dealing in the U.K., we research whether each broker offers the ability to trade cash cryptocurrency, such as bitcoin and ethereum, which is still a somewhat rare offering amongst major U.K. brokers. Our review finds that neither Robinhood UK nor Vanguard UK Investor offer crypto investing.

Our testing concluded that the website of Vanguard UK Investor is better than the website of Robinhood UK. Vanguard UK Investor offers more functionality, is cleanly designed, and is, overall, easier to use for beginners and casual investors.

To compare the trading platforms of both Robinhood UK and Vanguard UK Investor, we tested each broker's stock trading app. All features compared, our analysis finds that Vanguard UK Investor offers a better mobile app. Dive deeper: Best Stock Trading Apps UK.

Educational offerings are of particular importance to those who are newer to investing, and we examine the availability of several different types of educational materials in our analysis. Our research finds that Robinhood UK offers traders access to Education (Share Trading), while Vanguard UK Investor offers access to Client Webinars (Archived), Education (Funds) and Education (Retirement). Neither have Client Webinars.