Hey guys i want to create this post so we can discuss or maybe admins or ppl who work for them can help us understand how is company doing? im kinda scared because of this crypto related exchanges going under one by one so im wondering how is trading 212 doing(knowing its not crypto only). Thanks and lets discuss.
Pop to Companies House search for Trading 212 and read the statements and reports.
It’s much better learning first hand then getting third hand reviews here.
You are asking the right kind of questions.
It’s probably worth starting with where you are based. Post Brexit, 212 split into two entities. One serving the UK, subject to UK rules and protection, and a EU subject to the EU equivalent.
One thing to know - the financial services industry has its faults, but is highly regulated. 212 has to comply with their rules in order to provide the service it does to us. One of the main things, is the segregation of client funds from their own assets/liabilities. This is done through client money accounts for cash, and similar for securities.
If 212 or another broker were to go bust, then your assets would be transferred to another broker.
But going back to what Scrooge said, then unlike some other new low cost brokers, 212 is profitable. Not just it’s CFD arm, but it’s Invest side as well. Search the forum and there is lots on this.
As other mentioned, T212 is heavily regulated, as a financial broker; so lots of behaviours you would see in the crypto space just aren’t possible here.
Secondly, T212 is and has been for many years profitable, including the invest section for a couple of years now.
Lastly, last I checked T212 had no debt, which entirely removes the risk of bankrupty.
As a side note, T212 will let you use your funds, and withdraw them too, immediately after selling out of a position; whilst the trade has yet to clear. This is only possible by a consequent cash buffer. If T212 users were to sell out and withdraw in masses, withdrawals would take slightly longer to clear as they will need to wait for the funds to be made available.
This is a very minor point, but since your worries come from the recent crypto debacles, it was worth mentioning what would happen upon a massive exodus.
It’s also been around in the UK since 2013 i believe, so it hasn’t just appeared overnight.
Yes, been using this site for a year now and its just keep getting better and better customer service top notch,withdrawls fast and simple,trading and investing rly made easy and user friendly. Was just wondering this because everything we see in crypto space where they can simply freeze ur money and its gone just like that. So i think talking about this topic is important because ppl put THEIR money they made fair and with hard work.
This is very insightful answer.
Very few people would realise that the money is being sent to them before the settlement of their sell trades. I used to assume that “it’s just the way it works”. But it’s not, it’s how Trading 212 made it work by taking a temporary cash hit every time you withdraw.
I assume instant deposits work in a similar fashion, during the settlement of your deposit transaction.
Mate, you should try the app!