Introducing multi-currency support to Trading 212 Invest

📰 What's new
54

Bit harsh imo.

@Bibi you’ll probably find it is cheaper to pay the FX fee of 0.15% when adding new money, the benefit really comes when selling shares to buy another in the same currency.

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55

It will suits those who withdraw dividends to take as an income.

Agree though, the option to keep dividends in the same currency as the stock would be great.

Regardless, this is fantastic news - well done 212

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57

Thank you @TInvest
I’m trying to figure out how to optimize / avoid this 0.15% FX fee.
In my case:

  • I only have a bank account in euros. So I will only deposit in euros;
  • on TR212, my primary currency is euro (leaving in Europe);
  • I mostly only buy US shares;
  • Apparently I receive the US dividends in euros (no FX fee for dividends received in dollars > converted in euros);
  • I sometimes buy EUR shares (euro > no fx fee), and UK shares (fx fee euro > pound);

But I’m struggling to understand how to minimize the fx fee for the US stocks at 3 phases (buying US shares, receiving US dividends, and reinvest these US dividends to buy more US shares)…

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58

At the moment, to buy and sell a US stock costs 0.3% in Fx fees so I draw a >0.3% rectangle on all the charts, so I can see how much gain I have to make to clear the fees. Very often the zigzag is less than 0.5%, so it’s not worthwile to try scalping that stock.

Having fees removed from the scenario will mean buying and selling much more frequently . E.g., whenever I see three greens and a red, sell, and vv, if you like. I can see this multiplying the traffic to the T212 site by at factor. of several. Will it cope?

60

It is something we’re considering, but that’s pretty much all there is to share at the moment.

I’ll keep you posted on our progress on that front :v:

61

Hi,

Any more insight on a (possible) release date?

(Yes, I can’t wait :stuck_out_tongue_closed_eyes:)

62

Rollout to Invest accounts has already begun. Once the update is available to you, you’ll be able to utilize it.

Glad to see there’s excitement in the air :raised_hands:

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63

Where in the app will I find it?

64

You’ll receive an in-app notification once the feature is live for you.

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65

has anyone in the UK received the update?

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66

The multi-currency support update has already been uploaded in the app store, with the rollout commencing gradually from Wednesday.

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86

Honestly, this feature is better than I expected.

I just converted all my funds to USD and compared the cost with Revolut and Wise. Now I realise the 0.15% is super cheap!

Wise →

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Revolut →

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So far, so good - to convert £5,000 - using Wise is more cost-effective than Revolut (assuming you don’t pay for metal).

But with Trading 212 I get $6,417 for my £5,000!
$9 more than excellent Wise and $51.99 more than Revolut. Holy cow!

T212 →

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88

Thank you, that’s a nice illustration of what I thought too. I will probably use T212 for conversion, so while initially it’s 0.15 fee, it isn’t if you keep it in US$. I tried looking for a US$ account and there wouldn’t be any which didn’t have a monthly fee on top of the conversion.

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89

But which fees are paid, and when, in the following case:
Trading212 account primary currency is Euro;

  • buying US dividend stocks (dollar);
  • receiving US dividend stocks (which currency) ?
  • reinvest these dividends, by buying again US dividend stocks;

1- Could you clarify in which case above you pay the FX fee; ?
2- And most importantly : what would be the most efficient way to avoid this FX fee ?

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90

When will this feature be available for cfds also?

91

There are no additional updates we can share at this point in time :point_down:

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92

The answers are on the 212 posts with a little reading.

  1. If you are buying a stock that trades in a different currency to the cash you are funding the trade, there is a 0.15% FX fee.
  2. Dividends are paid in your accounts main currency FX fee free.
  3. To minimise FX fees, deposit in the currency you wish to trade in.

Someone can correct me if wrong.

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93

Thanks for your reply.
So,
2- so as my primary currency is euro, if I reinvest my dividends (converted for free in euros) by buying US stocks > FX fee;
3- even if I deposit in dollars, as I’ll buy US stocks, the buy will be FX free > OK; But in terms of dividends received, this brings me to case 2.

So only the BUY of US shares will be FX free if I deposit in dollars.
But the reinvesting of US stocks dividends will cause a FX fee.

94

If you have US shares then buy and sell are both fx free if you trade from the USD held in your account.

95

so us the europeans will be still forced to deposit/withdraw euros and pay a comission every single time we trade US stocks … it sounds very fair to me

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