Freetrade vs AJ Bell

Broker Comparison · UK · 2026

Freetrade vs AJ Bell (2026):
Full UK Comparison

The decision comes down to three things: cost structure, account range, and how much you care about research depth. Freetrade is the lowest-cost option for passive ETF investors — no commission, no custody fee, free basic tier. AJ Bell offers a wider wrapper range including a Lifetime ISA and Junior SIPP, a deeper research suite, and phone support. Neither is strictly better; the right answer depends on what you actually need.

Plain black background featuring the Freetrade and AJ Bell broker logos in the center of the image

Freetrade vs AJ Bell at a glance

Freetrade
  • Zero commission on all trades, all plans
  • No custody fee ever
  • Free Basic tier — no monthly fee
  • Fractional shares on US stocks from £1
  • Recurring orders weekly, fortnightly, or monthly
  • Flexible stocks and shares ISA
  • GIA, ISA, SIPP, JISA
  • No Lifetime ISA (LISA)
  • No phone support
  • Web platform on Standard/Plus only
AJ Bell
  • £1.50 regular investing — automated monthly buys
  • 0.25% custody, capped at £42/yr (ISA/GIA)
  • Lifetime ISA and Junior SIPP available
  • 3,000+ ETFs, 4,000+ funds
  • Phone support Mon–Fri 8am–7pm; Sat 10am–2pm
  • FTSE 250-listed company (LSE: AJB)
  • Full research suite + Shares Magazine access
  • £5 per online trade
  • No fractional shares
  • Regular investing executes monthly only (10th)
Short verdict: Freetrade Basic is the lowest-cost option for passive investors buying GBP ETFs. AJ Bell wins on account breadth and research depth. The Lifetime ISA and phone support are AJ Bell exclusives in this comparison.

Fee breakdown: Freetrade vs AJ Bell

All fees verified from primary sources. Freetrade figures apply to the free Basic tier unless noted.

Fee Freetrade AJ Bell
Commission per trade £0 (all plans) £5.00 (£3.50 for 10+ trades/month)
Regular / automated investing £0 £1.50 per automated monthly order
Monthly platform fee £0 Basic; £5.99 Standard; £11.99 Plus £0
Annual custody fee 0% 0.25% p.a. (ISA/GIA cap: £42/yr; SIPP cap: £120/yr)
FX markup 0.99% Basic; 0.59% Standard; 0.39% Plus 0.75% (<£10k); 0.50% (£10k–£20k); 0.25% (>£20k)
Fractional shares Yes (US stocks) No
Minimum deposit £0 £0

What these fees cost in practice

Scenario 1 — passive ISA investor, GBP ETFs, monthly direct debit

If your plan is one monthly direct debit into a GBP-denominated ETF with no FX involved, Freetrade Basic costs nothing. AJ Bell charges £1.50 per regular investing order plus 0.25% custody on the growing balance. At a £10,000 ISA balance: £18/yr dealing (12 x £1.50) + £25 custody = £43/yr. The ISA custody cap of £42/yr kicks in at £16,800, so AJ Bell’s total stabilises at £60/yr above that. Freetrade Basic stays at £0 at every portfolio size.

Verdict: Freetrade Basic wins on cost for passive GBP ETF investing at any portfolio size.

Scenario 2 — buying US stocks, single lump-sum trades

Both brokers apply FX on US stock purchases, but in opposite directions. Freetrade Basic: 0.99% FX, zero commission. AJ Bell: £5 commission + 0.75% FX (first £10k). The break-even trade size is roughly £2,083 — below that, Freetrade Basic has a lower total cost; above it, AJ Bell’s lower FX rate outweighs the £5 flat charge.

Example: On a £500 US trade: Freetrade Basic £4.95 vs AJ Bell £5.00 + £3.75 = £8.75. On a £3,000 trade: Freetrade Basic £29.70 vs AJ Bell £5.00 + £22.50 = £27.50. AJ Bell wins at larger individual trade sizes.

Scenario 3 — Freetrade Standard (£5.99/mo) vs AJ Bell regular investing

Freetrade Standard costs £71.88/yr and adds lower FX (0.59%) plus web access. AJ Bell with one monthly regular investing order costs £18/yr dealing + custody (capped at £42 in ISA) = maximum £60/yr. AJ Bell’s capped annual ISA cost is cheaper than Freetrade Standard at every portfolio size for passive monthly investors.

When Standard pays off: If you are buying US-listed assets frequently enough that the FX saving from 0.59% vs 0.99% — roughly £400/yr in foreign trades to save £71.88 — outweighs the subscription cost. Otherwise, AJ Bell regular investing is cheaper than Freetrade Standard.


Wrappers, accounts, and eligibility

Account type Freetrade AJ Bell
GIA (Dealing account) Yes Yes
Stocks and shares ISA Yes Yes
SIPP (Self-invested pension) Yes Yes
Junior ISA (JISA) Yes Yes
Lifetime ISA (LISA) No Yes
Junior SIPP No Yes
UK residency required Yes Yes
The LISA gap matters. If you are under 40 and eligible for the Lifetime ISA — to buy a first home or to supplement retirement savings — AJ Bell is the only option here that offers one. The 25% government bonus on up to £4,000/yr in LISA contributions is too large to dismiss over a £5 dealing charge. If a LISA is relevant to your situation, let that decision dominate.

What you can invest in and how

Feature Freetrade AJ Bell
ETF count 700+ 3,000+
Mutual funds (OEICs) Not available 4,000+
Stocks available 6,000+ (UK, US, European) 14,000+ across 24 markets
Fractional shares Yes (US stocks, from £1) No
Recurring order frequency Weekly, fortnightly, or monthly Monthly only (executes on the 10th)
Recurring order minimum £2 £25
Crypto / CFDs No (Crypto ETNs only) No
Mobile app iOS and Android (all plans) iOS and Android
Web / desktop platform Standard and Plus plans only All accounts
Research tools Basic fundamentals; analyst ratings on paid tiers Full screeners, analyst reports, Shares Magazine, video commentary
The recurring order difference in practice

Freetrade’s recurring orders can run weekly, fortnightly, or monthly from a minimum of £2 per asset. AJ Bell’s Regular Investing executes once per month, on the 10th, with a minimum of £25 per asset. For a disciplined monthly direct debit above £25, AJ Bell at £1.50 per order is cost-effective. For investors who want multiple schedules, smaller per-asset contributions, or fractional top-ups, Freetrade is more flexible.


Interest on uninvested cash

Account / Tier Freetrade AJ Bell
Basic plan / GIA dealing 1% AER (up to £1,000) 0.75% AER (up to £2,000); 0% above
Standard plan / ISA 2.5% AER (up to £2,000) 1.75% AER (all balances, uncapped)
Plus plan / SIPP 3.5% AER (up to £3,000) 2.05–3.15% AER (tiered by balance)
Balance cap on interest Yes — hard cap per tier No cap on ISA/SIPP; hard cap on GIA
Payment frequency Monthly (around 11th working day) Quarterly (March, June, September, December)
Neither platform is designed to park large cash balances. Freetrade’s interest applies only up to small capped amounts per tier. AJ Bell’s ISA rate of 1.75% is uncapped but modest. These rates are a secondary benefit, not a primary reason to choose either broker — for material uninvested cash, dedicated cash ISAs or savings platforms pay more.

Regulation, compensation, and structural safety

Freetrade
  • FCA-regulated: Freetrade Limited (FRN 783189)
  • Client assets held under Freetrade Nominees Limited — separate from operating capital
  • Client cash in segregated bank accounts
  • FSCS protection: investments up to £85,000; cash up to £120,000
  • Parent: IG Group (FTSE 100-listed)
  • Freetrade itself is privately held
AJ Bell
  • FCA-regulated: AJ Bell Management Ltd and AJ Bell Securities Ltd
  • Client assets under AJ Bell Nominees Limited
  • Cash held via ClearBank and segregated trust accounts
  • FSCS protection: investments up to £85,000; cash up to £120,000
  • AJ Bell plc: FTSE 250-listed (LSE: AJB)
  • Full public-company accounts and regulatory disclosure requirements
Both are FCA-regulated, FSCS-covered, and hold client assets under nominee structures. The meaningful difference is public listing: AJ Bell plc is a quoted company with public accounts and analyst scrutiny. Freetrade is privately held, backed by FTSE 100-listed IG Group. For most investors the regulatory protection is equivalent — the listing difference reflects transparency rather than safety.

Support channels and availability

Channel Freetrade AJ Bell
Phone No Yes — Mon–Fri 8am–7pm; Sat 10am–2pm
Live chat Yes (in-app, plus chatbot) Yes (webchat)
Email / secure message Yes Yes
Out-of-hours cover Chatbot only No

Freetrade has no telephone channel. If you expect to call your broker during periods of market stress, or want phone support for SIPP or pension administration queries, AJ Bell is the only option between these two.


Who each broker actually fits

Freetrade — good fit if
  • You want zero-cost investing with no platform or custody fee
  • Your plan is a regular ISA contribution into one or two GBP ETFs
  • You want fractional shares on US stocks from a small amount
  • You want a flexible recurring order schedule (weekly or fortnightly)
  • You do not need a Lifetime ISA or Junior SIPP
  • You are comfortable with app-based support on the free tier
AJ Bell — good fit if
  • You want a Lifetime ISA — AJ Bell is the only option between these two
  • You want a Junior SIPP for family pension planning
  • You prefer phone support and want to be able to call your broker
  • You want mutual funds (4,000+ OEICs) not available on Freetrade
  • You want deeper research: screeners, analyst data, Shares Magazine
  • You are making infrequent, larger lump-sum trades where the £5 flat charge is proportionally small
When the LISA decision should dominate everything else

If you are under 40 and the Lifetime ISA is relevant to your situation — either for a first home purchase or to supplement retirement savings — that single product decision should take priority over every other comparison on this page. The 25% government top-up on up to £4,000/yr is too significant to trade away over a £5 dealing commission. In that case, choose AJ Bell.


Ready to open an account?

Both platforms are FCA-regulated, FSCS-covered, and have no minimum deposit. Freetrade’s Basic plan is free to open. AJ Bell accepts accounts with no upfront cost. Use the fee break-even scenarios above against your expected portfolio size and trading frequency before deciding.



Freetrade vs AJ Bell: common questions

Is Freetrade better than AJ Bell for beginners?

For pure simplicity and zero cost to start, Freetrade Basic wins: no commissions, no platform fee, no minimum deposit. AJ Bell suits beginners who want a Lifetime ISA, deeper research tools, or phone support. If you are starting from scratch with a small monthly ISA contribution, Freetrade Basic costs nothing. If you want a wider account range or more guided content, AJ Bell is the more capable platform.

Does AJ Bell charge a platform fee?

AJ Bell charges a custody fee of 0.25% per year on shares and ETFs in an ISA or GIA, capped at £3.50 per month (£42 per year). The SIPP custody is capped at £10 per month (£120 per year). There is no fixed monthly subscription fee. Freetrade charges no custody fee but charges £5.99 or £11.99 per month for its Standard and Plus plans.

Can I transfer my ISA from Freetrade to AJ Bell or vice versa?

Yes, both platforms accept ISA transfers in and allow ISA transfers out. In-specie transfers (moving holdings without selling) may not be supported between all platforms — confirm with both brokers before initiating. Cash transfers (sell, transfer cash, rebuy) are more straightforward. Check whether your sending platform charges a transfer-out fee before you begin.

Does Freetrade offer a Lifetime ISA?

No. Freetrade does not offer a Lifetime ISA (LISA). AJ Bell does. If the 25% government bonus on LISA contributions is part of your plan — for a first home purchase or retirement — AJ Bell is the only option between these two platforms.

What happens to my investments if Freetrade goes bust?

Freetrade is FCA-regulated and holds client assets separately under Freetrade Nominees Limited. In an insolvency, those assets would not form part of Freetrade’s creditor pool. FSCS protection covers investments up to £85,000 per person. Freetrade’s parent is IG Group, a FTSE 100-listed company. AJ Bell is itself FTSE 250-listed, providing an additional layer of public-company transparency and scrutiny.

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