Are you interested in venturing into stock investing without incurring hefty fees? If so, let us introduce you to Revolut Stocks. This platform serves as your gateway to purchasing and selling stocks from an extensive selection of companies across the US, UK, EU, and Australia. In this article, we will delve into the mechanics of Revolut Stocks, explaining how it operates. Furthermore, we will delve into its safety precautions, pricing structure, and distinctive features that set it apart and establish its prominence in the industry. Whether you’re a novice or an expert investor, this guide will demystify the realm of Revolut Stocks and show you how it can contribute to your financial advancement.
What is revolut stocks?
Revolut Stocks, provided by the fintech company Revolut, offers a service that empowers you to engage in stock trading involving more than 1,500 companies from diverse countries. With this extensive range of choices, the platform becomes a hotbed for investors seeking a varied portfolio.
How does Revolut Stocks work?
Revolut Stocks works by connecting you to a third-party broker, DriveWealth, which executes your trades. When you buy a stock through Revolut Stocks, you are actually buying it through DriveWealth. Revolut then charges you a commission for the trade. The process of buying a stock through Revolut Stocks is as follows:
- Open the Revolut app and head to the “Stocks” section.
- Find the stock you want.
- Tap the “Buy” button.
- Choose the number of shares you’d like.
- Confirm the trade with another tap on “Buy.”
The process of selling stock through Revolut Stocks is similar. Here are some of the fees that you may incur when using Revolut Stocks:
- Commission: If you’re on the Standard plan, you’re in luck—no commission charges. However, users on the Plus, Premium, and Metal plans will face a small commission for each trade.
- Currency Exchange Fees: Trading stocks in a currency that’s not your usual one might bring currency exchange fees into play.
- Overnight Fees: Holding onto a stock overnight could potentially incur additional fees.
Revolut Stocks Pricing
Revolut offers five pricing plans, each with its own perks and costs:
- Standard: The entry-level plan is free and comes with one free trade per month.
- Plus: For £2.99 per month, you get three free trades each month.
- Premium: At £6.99 per month, you enjoy five free trades monthly.
- Metal: Priced at £12.99 per month, this plan gives you ten free trades each month.
- Ultra: If you’re feeling ambitious, the £45 per month plan offers ten free trades as well.
Additionally, Revolut levies an annual custody fee of 0.12% based on your shares’ value. For example, if your shares are worth £10,000, you’ll be charged £12 per year.
There’s also a commission fee of 0.25% per trade. If you’re trading stocks worth £100, the commission amounts to £0.25. If the commission falls short of £1, Revolut rounds it up to £1.
Here is a table summarising the Revolut trading fees and plans:
Plan | Monthly fee | Free trades per month | Custody fee | Commission fee |
Standard | Free | 1 | 0.12% | 0.25% |
Plus | £2.99 | 3 | 0.12% | 0.25% |
Premium | £6.99 | 5 | 0.12% | 0.25% |
Metal | £12.99 | 10 | 0.12% | 0.25% |
Ultra | £45 | 10 | 0.12% | 0.25% |
Features of Revolut Stocks
Revolut Stocks presents an array of remarkable attributes that enhance the ease and efficacy of stock trading. Let’s break down these features in simpler terms to grasp how they can benefit you:
Fractional shares
Revolut Stocks enables users to acquire fractional shares, allowing you to purchase a portion of a share rather than the entire share. This enhances affordability for new investors. For instance, if Apple shares are priced at $100, you can acquire 0.1 shares for $10.
Real-time pricing
Revolut Stocks offers real-time pricing for all listed stocks. This empowers you to observe the latest prices and make well-informed trading choices.
Research tools
Revolut Stocks provides diverse research tools to aid your informed decision-making. These tools encompass company profiles, analyst evaluations, and news highlights. For instance, you can peruse a company’s financial statements, analyse expert reports, and access the most recent news about the company.
Educational resources
Revolut Stocks offers an array of educational materials to facilitate your understanding of investment. These resources encompass articles, videos, and courses. For example, you can take a course on stock trading or learn about various investment strategies.
Access to extended-hours trading
Revolut Stocks enables trading during extended hours, allowing you to trade before and after conventional market hours. This accommodates traders seeking to exploit price shifts beyond regular trading times.
Stop-loss orders
Revolut Stocks permits setting stop-loss orders, automatically selling shares upon reaching a designated price. This safeguards your investment against losses.
Take-profit orders
Revolut Stocks also allows you to configure take-profit orders, automatically selling shares upon reaching a specified price, helping you secure profits.
Is Revolut Trading safe?
Revolut trading is generally deemed secure. It operates under the regulation of the UK’s Financial Conduct Authority (FCA) and the Central Bank of Lithuania in the European Union. This regulatory oversight ensures adherence to stringent rules safeguarding investors.
Nevertheless, investing inherently entails risks. Investment values can fluctuate, resulting in potential losses. Prior research is imperative before investing.
To ensure the safety of Revolut trading, consider the following steps:
- Invest only in disposable funds.
- Conduct thorough research before investing.
- Begin with a modest investment, increasing gradually with experience.
- Implement stop-loss orders to limit losses.
- Diversify your portfolio across different stocks.
- Maintain patience and avoid panic selling during market downturns.
- Consulting a financial advisor is recommended for a personalised perspective if you’re contemplating using Revolut trading.
Conclusion
Revolut Stocks stands out as an attractive choice for commission-free stock trading. It is particularly beneficial for newcomers due to its educational resources. However, be aware that Revolut Stocks might not be accessible in all regions, and the range of available stocks is limited. Other than that, it’s a great place to start your investment journey. For more such updates, visit Feedhour.
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