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Do we think commission free brokers such as Freetrade and Trading212 has gamified investing?

Smart Finance

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Feb 23, 2021
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Do we think commission free brokers such as Freetrade and Trading212 has gamified investing?

I think it'll be quite interesting to hear what people think about this.
I personally think it has contributed to a kind of euphoria of new investors meaning they could have potentially increased their risk tolerance more than they would if there was a commission simply because its 'free'.

Being able to easily get in and out of loosing positions can add up over time and think some can get carried away.

Though saying this i don't believe this outweighs all the good which commission free has bought to us normal investors. Though such may has gamified investing it has also opened many doors to those who wouldn't have thought it would have been possible to become an investor.

We've been through a hell of a year and there has been a massive uptake since the March 2020 dip, i wonder how people would react when the market really drops again and because its so cheap to get in and out of positions that these 'long term' investors could sell out at a loss simply because its easy to.
 
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RealisticOption

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Jul 29, 2021
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Commission free brokers have just a blessing to small investors. In traditional model, the brokers charge money for every entry this add up to the price of stock and can't make a quick entry and exit. Because of commission free brokers traders can get lot of flexibility. One more advantage is, in previous model one has to pay brokerage even when they make a loss, this add up to losses and decreases the trading capital. Only the company makes profit consistently even when traders are making loss.
Commission free service would be more suitable for small traders and investors who doesn't need support or assistance from the brokerage companies. For People with high value and huge investments, it's preferable to get a account with full support and a dedicated portfolio tracker, this could protect their investment and can get good returns in the long run.
 

SolidSparrow70

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Absolutely have for me and I don't think it's a bad thing. However, as with any "game" you settle down and although it's very easy to keep checking your portfolio on those with mobile apps the serious mindset and the habit of investing wins out of the casual check and sell.