Online investing platforms enable you to trade shares and other financial products yourself online. They are usually easy to use and often cheaper than a share broker, but you need to be comfortable making your own decisions as you won’t receive advice and often you won’t receive research reports.
About online investing platforms
An online investing platform is a website or mobile application used to invest within the financial markets.
Online platforms have made investing more accessible. You can invest smaller amounts of money at relatively low cost and they’re easy to use. They can be an opportunity to learn about investing by doing it.
One of the ways that some platforms allow you to invest small amounts is through fractionalised investing, which allows you to buy portions of shares instead of purchasing an entire share. This allows you to have access to more highly priced shares which you may normally not be able to afford. There are platforms which also allow you to buy full shares.
Some platforms also offer investments that are higher risk, including derivatives like options trading and cryptocurrency. Generally these types of investments are not suitable for the average investor and are best approached with caution. To find out more see Understanding the risks.