London Stock Exchange

London Stock Exchange (LSE) brokers offer access to one of the world’s top trading hubs. In this article, we cover it from A to Z and reveal all the relevant information for traders in 2024, including how to compare London Stock Exchange brokers. You will also learn the history of the exchange, how it operates, trading hours, performance, rules and more. Finally, we offer tips and insights for investors choosing between brokers with access to the London Stock Exchange.

London Stock Exchange Brokers

These are the 5 best brokers for trading on the London Stock Exchange:

#1 - AvaTrade

Why We Chose AvaTrade

AvaTrade is a leading forex and CFD broker, established in 2006 and regulated across 9 jurisdictions. Over 400,000 users have signed up with the broker which processes over 2 million trades each month. The firm offers multiple trading platforms, including MT4, MT5, and a proprietary WebTrader. 1250+ financial instruments are available for day trading, alongside a comprehensive education center and multilingual customer support.

"AvaTrade offers the full package for short-term traders. There is powerful charting software, reliable execution, transparent fees, and fast account opening with a low minimum deposit."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Stocks, Indices, Commodities, ETFs, Bonds, Crypto, Spread Betting
  • Regulator: ASIC, CySEC, FSCA, ISA, CBol, FSA, FSRA, BVI, ADGM
  • Platforms: WebTrader, AvaTradeGO, AvaOptions, MT4, MT5, AlgoTrader, TradingCentral, DupliTrade
  • Minimum Trade: 0.01 Lots
  • Leverage: 1:30 (Retail) 1:400 (Pro)

Stock Exchanges

AvaTrade offers trading on 15 stock exchanges:

  • Australian Securities Exchange (ASX)
  • Borsa Italiana
  • Deutsche Boerse
  • Euronext
  • Hang Seng
  • IBEX 35
  • Japan Exchange Group
  • London Stock Exchange
  • Nasdaq
  • Russell 2000
  • SIX Swiss Exchange
  • Shanghai Stock Exchange
  • Shenzhen Stock Exchange
  • Taiwan Stock Exchange
  • Toronto Stock Exchange

Pros

  • Day traders can access stable spreads and zero commissions with no hidden fees
  • The broker’s unique risk management tool, AvaProtect, protects against losses up to $1 million and is easy to activate in the platform
  • WebTrader is well-suited to beginners and features a strong suite of technical analysis tools and market research for day traders

Cons

  • It’s a shame that there are no rebate schemes for serious traders looking for additional perks - CMC Markets would be a better choice here
  • A high $2000 minimum investment is required to use DupliTrade, which will be out of reach for many beginners
  • There is no ECN account with raw spreads

#2 - Pepperstone

Why We Chose Pepperstone

Established in Australia in 2010, Pepperstone is a top-rated forex and CFD broker with over 400,000 clients worldwide. It offers access to 1,300+ instruments on leading platforms MT4, MT5, cTrader and TradingView, maintaining low, transparent fees. Pepperstone is also regulated by trusted authorities like the FCA, ASIC, and CySEC, ensuring a secure environment for day traders at all levels.

"Pepperstone stands out as a top choice for day trading, offering razor-sharp spreads, ultra-fast execution, and advanced charting platforms for experienced traders. New traders are also welcomed with no minimum deposit, extensive educational resources, and exceptional 24/7 support."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Currency Indices, Stocks, Indices, Commodities, ETFs, Crypto, Spread Betting
  • Regulator: FCA, ASIC, CySEC, DFSA, CMA, BaFin, SCB
  • Platforms: MT4, MT5, cTrader, TradingView, AutoChartist, DupliTrade
  • Minimum Deposit: $0
  • Minimum Trade: 0.01 Lots
  • Leverage: 1:30 (Retail), 1:500 (Pro)

Stock Exchanges

Pepperstone offers trading on 22 stock exchanges:

  • Australian Securities Exchange (ASX)
  • CAC 40 Index France
  • DAX GER 40 Index
  • Deutsche Boerse
  • Dow Jones
  • Euronext
  • FTSE UK Index
  • Hang Seng
  • Hong Kong Stock Exchange
  • IBEX 35
  • Japan Exchange Group
  • Korean Stock Exchange
  • London Stock Exchange
  • Nasdaq
  • New York Stock Exchange
  • Russell 2000
  • S&P 500
  • SIX Swiss Exchange
  • Shanghai Stock Exchange
  • Shenzhen Stock Exchange
  • Taiwan Stock Exchange
  • Toronto Stock Exchange

Pros

  • There’s support for a range of industry-leading charting platforms including MT4, MT5, TradingView, and cTrader, catering to various short-term trading styles, including algo trading.
  • Award-winning customer support is available via telephone, email or live chat with response times of <5 minutes during testing.
  • Pepperstone emerges as a low-cost broker, especially for serious day traders with spreads from 0.0 in the Razor account and rebates of 25%+ through the Active Trader program.

Cons

  • There’s no simplified proprietary trading platform, nor are there any social trading features, which could be a disadvantage if you are new to day trading.
  • Despite enhancements to its range of markets, crypto offerings are relatively limited compared to other brokers such as eToro, with no option to invest in real coins.
  • Pepperstone’s demo accounts are active for only 30 days, which may not be not long enough to familiarize yourself with the different platforms and test trading strategies.

#3 - Eightcap

Why We Chose Eightcap

"Eightcap delivers in every area for day traders with a growing selection of charting platforms and AI-powered tools. Now sporting 250+ crypto CFDs and the Crypto Crusher market scanner, it's also become a stand-out choice for crypto trading, winning our 'Best Crypto Broker' award two years in a row."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Stocks, Indices, Commodities
  • Regulator: ASIC, FCA, xCySEC, SCB
  • Platforms: MT4, MT5, TradingView
  • Minimum Deposit: $100
  • Minimum Trade: 0.01 Lots

Stock Exchanges

Eightcap offers trading on 16 stock exchanges:

  • Australian Securities Exchange (ASX)
  • CAC 40 Index France
  • DAX GER 40 Index
  • Dow Jones
  • Euronext
  • FTSE UK Index
  • Hang Seng
  • Hong Kong Stock Exchange
  • Japan Exchange Group
  • London Stock Exchange
  • Nasdaq
  • New York Stock Exchange
  • Russell 2000
  • S&P 500
  • SIX Swiss Exchange
  • Toronto Stock Exchange

Pros

  • With tight spreads from 0 pips, low commission fees, and high leverage up to 1:500 for certain clients, Eightcap provides cost-effective and flexible trading conditions that can accommodate an array of strategies, including day trading and scalping.
  • After bolstering its roster in 2021, Eightcap offers one of the most extensive selections of cryptocurrency CFDs in the market, with crypto/fiat pairs, crypto/crypto pairs, plus crypto indices for broader exposure to the market.
  • Having excelled across all key areas for day traders, Eightcap outperformed more than 490 competitors to win our 'Best Overall Broker' award for 2024, also securing our 'Best Crypto Broker' title.

Cons

  • In spite of an increasing variety of tools, Eightcap doesn't offer industry favorites like Autochartist or Trading Central, which offer cutting-edge charting analytics, live news, and market insights for short-term traders.
  • Despite a useful library of educational guides and e-books, Eightcap still trails IG’s comprehensive toolkit for aspiring traders with its dedicated IG Academy app and 18 course categories.
  • The demo account expires after 30 days and can only be extended upon request - a notable inconvenience compared to the likes of XM with its unlimited demo mode.

#4 - Exness

Why We Chose Exness

Exness is a Cyprus-based forex and CFD brokerage established in 2008. With over 260,000 clients, several awards and reputable licensing, the broker has maintained its position as a highly respected global brand. Active day traders can access the popular MT4 and MT5 platforms, raw spreads and multiple account types.

"Exness remains an accessible broker for all experience levels, though experienced day traders will particularly appreciate the ultra-low commission rates, fast withdrawals and high-quality charting software."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Stocks, Indices, Commodities, Crypto
  • Regulator: FSA, CySEC, FCA, FSCA, FSC, CBCS
  • Platforms: Exness Trade App, MT4, MT5, TradingCentral
  • Minimum Deposit: $10
  • Minimum Trade: 0.01 Lots
  • Leverage: 1:2000

Stock Exchanges

Exness offers trading on 9 stock exchanges:

  • CAC 40 Index France
  • DAX GER 40 Index
  • Euronext
  • FTSE UK Index
  • Hong Kong Stock Exchange
  • Japan Exchange Group
  • London Stock Exchange
  • Nasdaq
  • New York Stock Exchange

Pros

  • Top-tier licensing with the FCA and CySEC and a strong reputation with over 10 years in business
  • The broker offers fast execution speeds for short-term traders, averaging under 25ms
  • Highly competitive spreads are available from 0.1 pips and low commissions from $3.50 per side

Cons

  • There are several regional restrictions for retail traders including the USA, Europe and the UK
  • Unlike most competitors, Exness doesn't provide its own education section
  • There are no promotional deals or loyalty schemes for high-volume day traders

#5 - eToro

Why We Chose eToro

eToro is a top-rated multi-asset platform which offers trading services in thousands of CFDs, stocks and cryptoassets. Launched in 2007, the brand has millions of active traders globally and is authorized by tier one regulators, including the FCA and CySEC. The brand is particularly popular for its comprehensive social trading platform. Cryptoasset investing is highly volatile and unregulated in the UK and some EU countries. No consumer protection. Tax on profits may apply. 76% of retail accounts lose money.

"eToro's social trading platform leads the pack with a terrific user experience and active community chat that can help beginners find opportunities. There are also competitive fees on thousands of CFDs and real stocks, plus excellent rewards for experienced strategy providers."

- DayTrading Review Team
  • Instruments: CFDs, Forex, Stocks, ETFs, Cryptos, Futures, Commodities, Bonds
  • Regulator: FCA, ASIC, CySEC, FSA, FSRA, MFSA
  • Platforms: eToro Web, CopyTrader, TradingCentral
  • Minimum Deposit: $50
  • Minimum Trade: $10

Stock Exchanges

eToro offers trading on 24 stock exchanges:

  • Australian Securities Exchange (ASX)
  • Borsa Italiana
  • CAC 40 Index France
  • DAX GER 40 Index
  • Deutsche Boerse
  • Dow Jones
  • Euronext
  • FTSE UK Index
  • Hang Seng
  • Hong Kong Stock Exchange
  • IBEX 35
  • Japan Exchange Group
  • Korean Stock Exchange
  • London Stock Exchange
  • Nasdaq
  • Nasdaq Nordic & Baltics
  • National Stock Exchange Of India
  • New York Stock Exchange
  • Russell 2000
  • S&P 500
  • SIX Swiss Exchange
  • Shanghai Stock Exchange
  • Taiwan Stock Exchange
  • Tokyo Commodity Exchange

Pros

  • Top copy traders can receive annual payments up to 1.5% of assets under copy in the broker's Popular Investor Program
  • eToro has bolstered its investment offering, most recently with new crypto assets, now offering over 90 digital currencies
  • The copy trading app facilitates a best-in-class social environment, with an engaging social feed and community chat

Cons

  • There is a $30 minimum withdrawal amount and a $5 fee, which will affect novices with low capital
  • There are limited contact methods aside from the in-platform live chat
  • Traders will face currency conversion fees for account denominations other than USD

Choosing LSE Brokers

You may not be aware that investing directly on the LSE order books is unusual. Instead, London Stock Exchange brokers have to ask Retail Service Providers (RSPs) for pricing. These middlemen give rates in tiny volume increments, and you can only trade at their price.

Direct access and order book trading provides investors with faster execution and better pricing than a third-party broker/dealer. So, investment performance may increase regardless of the number of transactions per day or year. The ability to link the buyers’ and sellers’ order book columns may let you purchase or sell inside the spread; hence saving you money.

Here are a few examples of direct market access providers:

Some other factors investors must take into consideration when choosing between London Stock Exchange brokers are costs, features the app or platform has (such as alerts), and customer service availability:

Costs

Investing through brokers that support trading on the London Stock Exchange can be expensive. Fees such as commission charges, transaction costs, swap fees and account deposit & withdrawal charges can reduce your overall bottom line.

Look out for London Stock Exchange brokers that provide transparent price structures so you are clear with exactly what payments are required. Interactive Brokers, for example, charge a 0.10% fixed fee for direct routing trades on the LSE.

Platforms

Stable and reliant platforms should be one of the main considerations when comparing London Stock Exchange brokers. They are the gateway between you and the market. Make sure you have access to a range of analysis tools, pricing data and customizable graphs and charts.

IG, for example, offers a proprietary platform, plus access to third-party terminals including MetaTrader 4 and ProRealTime. This is very much a personal preference, with many investors preferring to use software they are familiar with. However, some bespoke tools can provide competitive advantages such as favored execution speeds or reduced transaction costs.

Also look out for mobile-compatible apps so you can trade on the go.

Customer Service

The best London Stock Exchange brokers will provide access to a responsive and reliable customer service team. The best methods are often integrated live chat via the website or platform or local telephone contact numbers. Look out for those LSE brokers that offer direct human interaction vs automated bots when using the contact method.

LSE brokers with 24/5 customer service include XTB, FxPro and Interactive Brokers.

Strategy

Factors to consider when you build your strategy at the top London Exchange Brokers include:

Choose A Stock

When buying shares at London Stock Exchange brokers, you can consider the price forecast, liquidity, the 52-week high-low, the type of asset you wish to invest in, price action in a period of time (for example, the 5-year chart), and much more. The research of this information will help you select the best stocks.

It is also worth remembering that LSE has an index fund available, the FTSE 100, made of the top 100 companies in the UK. Indecisive traders may find this particularly helpful as it tracks all the top companies and the general UK economy.

What Is The London Stock Exchange?

The London Stock Exchange (LSE) is the UK’s main stock exchange. It offers cost-effective access to some of the world’s deepest and most liquid capital markets. LSE hosts a diverse mix of businesses and offers listed firms electronic equity trading.

In November 2021, the LSE’s total market cap was £3.9 trillion – ranked eight internationally. Its revenue in 2020 was an impressive £2.124 billion.

Board members include Don Robert (Chairman), David Schwimmer (CEO), Anna Manz, Jacques Aigrain, Dominic Blakemore, Martin Brand, Erin Brown, Professor Kathleen DeRose, Tsega Gebreyes, Cressida Hogg CBE, Dr. Val Rahmani, Douglas M. Steenland, and Ashok Vaswani.

The building is physically located in the London borough of Westminster. The present address is 10 Paternoster Square, next to St Paul’s Cathedral, London, EC4M 7LS. In addition to the headquarters, LSE has activities in 70 cities and countries with several critical locations including Nottingham (UK), New York City (USA), Beijing (China), Bangkok (Thailand), Bengaluru (India) and Bucharest (Romania).

Note, online LSE brokers and platforms are based in various investing hubs around the world, from the UK to Europe and Asia.

History

Key milestone dates included in LSE’s history include:

What Is The London Stock Exchange Used For?

Primary Markets

Secondary Markets

How London Stock Exchange Trading Works

Listing Rules

Firms follow a few listing requirements to be admitted. They must:

Indices

The London Stock Exchange has several specialized indexes:

The best London Stock Exchange brokers will integrate key financial metrics, latest updates and changes to listed companies within their services.

To start investing, you will need to find registered LSE brokers that offer instruments related to the LSE. Below we break down some of the most important considerations when comparing brokers that support trading on the London Stock Exchange.

Trading Hours

The usual London Stock Exchange market hours are from 8:00 AM opening to 16:30 closing time (local time) except Saturdays, Sundays, and holidays when the market is closed. The following is the detailed daily schedule:

The market is closed on the following bank holidays: New Year’s Day, Good Friday, Easter Monday, May Bank Holiday, Spring Bank Holiday, Summer Bank Holiday, Christmas Day, and Boxing Day. If New Year’s Day, Christmas Day, or Boxing Day fall on a weekend, the next business day is a holiday. The exchange is also closed on the 24th and 31st of December.

London Stock Exchange brokers should provide an updated working hours calendar reflective of the above market closure dates.

Biggest Players

By market cap, here are some of the biggest listed member companies available at the best LSE brokers:

The top London Stock Exchange brokers will also offer detailed insights into leading stocks, including changes to market capatlization and other financial metrics.

Why Trade With London Stock Exchange Brokers?

Tips

News

The London Stock Exchange has a press office that releases announcements regarding updates, insights, new issues, and detailed reports concerning local or international matters. This can be an invaluable information resource for investors who wish to keep up with market trends.

Look out for London Stock Exchange brokers that filter this information directly into economic calendars and client portals.

Journal

A journal can help you understand your investing performance. Note why you picked an asset, what resources and the research material you used, time and date, entrance and exit prices, if the trade was successful or not, and more. Analyze the data after a few days or weeks. This process will offer you insights into the smaller and sometimes seemingly insignificant details that impact your trades.

The best London Stock Exchange brokers and platforms allow notes and comments to be inserted directly into personal investing environment. This means you can keep track of what worked and what didn’t.

Educational Resources

One of the most prominent educational resources the London Stock Exchange offers is the Contributor Academy. The training center transforms global market knowledge into world-class training courses and programs that cover every facet of the financial markets. The faculty includes some of the most seasoned practitioners and inspiring professors in finance.

The school develops and delivers roughly 300 training courses to approximately 2,100 attendees each year. Over 4,000 projects have been designed and implemented globally since its start. In addition, LSE is at the heart of the financial markets, so it can construct courses to prepare you for the future. The majority of courses are priced at £495, take place in London or online, and are certified. However, this varies, with some courses priced at £800.

Free educational resources include news reports, documentation, analytics insights, and a virtual portfolio which we will look into next.

Demo Accounts

With LSE’s free virtual portfolio, you can learn about investing without risking any money. You can choose from thousands of stocks, ETFs, and covered warrants accessible on the market. You can also compete with your friends in Trading Simulator mode. Test your best methods to outperform the market with the £10,000 in demo capital. Additionally, the watchlist lets you keep an eye on your favorite stocks. It will tell you when your assets hit specified thresholds.

Using the virtual portfolio, you can:

Alternatively, many London Stock Exchange brokers also offer demo accounts loaded with virtual funds. You can practise trading the exchange risk-free, whilst having access to live pricing data.

Resources

Some of the resources the London Stock Exchange is offering to traders and businesses include:

Final Word On LSE Brokers

London Stock Exchange brokers offer access to the most influential companies in the UK in addition to a multitude of assets and indices. It provides day traders with plenty of opportunities to profit from price fluctuations and overall economic performance. Choosing the right London Stock Exchange brokers is essential in making the most of the LSE. Take our key factors above into consideration and see our list of the best brokers with access to the London Stock Exchange to get started today.

FAQ

What Companies Can I Trade With The London Stock Exchange Brokers?

Here is a list of the most popular firms traded at London Stock Exchange brokers: Kier, Deliveroo, HSBC, Unilever, Vodafone, BP Plc, WTB, 88 Energy, Shell, Kanabo, Zegona, Zotefoams, Boohoo, Xaar, XLMedia, C&C, XP Power, M&C Saatchi, Zenith Energy, B&M, 4D Pharma Aktie, 7Digital, 888 Holdings, Digital 9 Infrastructure, 4Imprint, 3I Infrastructure, Joules, JD SPORTS, QinetiQ, R&Q, BT, QBT, J Sainsbury, RRL, M&S, AJ Bell Plc, KGF, N Brown, RHI Magnesita NV, Kodal Minerals, U and I, JSC VTB BANK, E-therapeutics, ULVR, F&C Investment Trust, Vanguard S&P 500 UCITS ETF USD Dis (VUSA), J&E Davy, HL, M&G Plc, H&T Group, H&M, AG Barr Plc, L&G Group, Tclarke, Tora, S&U Plc.

Can You Trade The London Stock Exchange From Brokers In The USA?

Yes, you can trade any LSE listed stocks using a supporting broker from the United States.

Can I Visit The London Stock Exchange?

No – the LSE office isn’t open to the public. The conventional practice of open outcry on the trading floor was replaced with computerized trading after the deregulation in 1986. Thus, the London Stock Exchange has no traditional trading floor.

Do Online Brokers Allow Cryptocurrency Trading On The London Stock Exchange?

No – this option isn’t available at the moment. With that said, you can trade many other assets such as stocks, bonds, and commodities.

What Is The Equivalent Of S&P 500 On The LSE?

The FTSE 100 is the closest comparison because it tracks the performance of the top 100 companies in the UK, in a similar manner to the S&P in the USA.