LONDON — Wall Street’s race to the bottom in stock brokerage fees is coming to the U.K.
British online stockbroker AJ Bell said Monday it plans to launch a new app which offers commission-free investments in the first half of 2022.
The move will see AJ Bell compete with a wave of fintechs offering similar services, including Revolut, Freetrade and eToro. It could also pile pressure on rival firms Hargreaves Lansdown and Interactive Investor to follow suit.
AJ Bell’s app, called Dodl, will let users buy and sell a range of popular U.K.-listed stocks. U.S. shares won’t be available initially, but the firm said it plans to add them soon after the app rolls out.
The company will also offer multi-asset funds with six different risk levels, as well as a range of “themed” funds focusing on sectors like tech, health care and responsible investing.
Customers will be able to open an individual savings account, a lifetime ISA and a general investment account. Users will be guided by “friendly monsters” giving them advice on investment decisions.
Dodl will charge an annual fee of 0.15% of the value of a portfolio, but no commission fees or tax wrapper charges. Users buying into funds will also have to pay annual costs for the underlying fund.
AJ Bell’s app, called Dodl, will let users buy and sell a range of popular U.K.-listed stocks. U.S. shares won’t be available initially, but the firm said it plans to add them soon after the app rolls out.
The company will also offer multi-asset funds with six different risk levels, as well as a range of “themed” funds focusing on sectors like tech, health care and responsible investing.
Customers will be able to open an individual savings account, a lifetime ISA and a general investment account. Users will be guided by “friendly monsters” giving them advice on investment decisions.
Dodl will charge an annual fee of 0.15% of the value of a portfolio, but no commission fees or tax wrapper charges. Users buying into funds will also have to pay annual costs for the underlying fund.