How to Invest in the Stock Market in the UKHow to Invest in the Stock Market in the UK
How to invest in the stock market in the UK in shares can potentially earn you a passive income from dividends (if paid), and the possibility of capital growth. However, it’s important to remember that investing in shares involves a risk and you could potentially lose money if prices fall.
The best way to get started is by using an online investment platform. These platforms typically allow you to open an account and deposit money in minutes, based on the details provided and passing identity checks. They then hold your investments on a ‘nominee’ basis, meaning they are digitally registered to you but not in your name. Some investment services also offer ready-made portfolios that aim to meet your specified level of risk and investment timeframe.
How to Invest in the Stock Market in the UK: A Beginner’s Guide
There are a number of UK-based investment platforms that offer the opportunity to trade shares, including Vanguard, AJ Bell, Dodl (part of AJB), Trading212, iweb, Hargreaves Lansdowne and Interactive Investor. The costs and charges to buy and sell shares vary.
A growing number of investment platforms also enable UK investors to add exposure to US stocks, although the extra housekeeping that comes with this route may eat into any returns you gain.
Investors can also directly purchase shares in companies – the London Stock Exchange trades from 8 am to 4.30 pm on weekdays, and you can buy or sell shares at any time. However, this is more complicated and you’ll need to research individual company share price movements, or speculate on the direction of prices by taking up leveraged derivatives such as spread bets or CFDs.…
Read FullRead Full