Charles Stanley Direct: Invest With Confidence

August 16, 2020
Brokers
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Charles Stanley Direct is a UK regulated broker with which you can trade stocks, mutual funds and ETFs. Also, the broker is listed on the stock market and is part of the FTSE 100 Stock Index. Furthermore, the broker offers a referral program with which you can earn extra money every time you invite your friends or family to invest in Charles Stanley Direct. If you are looking for a UK broker with high regulatory standards and a good reputation, Charles Stanley Direct is a good alternative.

It is true that Charles Stanley Direct is a broker that has good characteristics in several aspects. But, we strongly believe that Capital.com is the best online trading platform because is one of the easiest and cheapest ways to trade CFDs on equities, commodities, indices, Forex pairs and cryptocurrencies anywhere in the world. Capital.com offers you zero fees on intra-day trading, a lightning-fast web platform and their proprietary Negative Balance Protection. Also, Capital.com gives you the best chance at financial success with a clean, easy-to-use interface.

We analyzed hundreds of data points relevant to the costs, benefits and features of trading with Charles Stanley Direct and scored our findings on a 10-point scale across 10 distinct categories.
Fees 3
Signup Process 10
Minimum Deposit 10
Ease of Use 6
Deposit & Withdrawal Options 10
Customer Support 10
Asset Classes 2
Referral Program 3
Demo Account & Educational Resources 2
Safety & Regulation 10
Total 66

What is Charles Stanley Direct?

Charles Stanley Direct is the trade name of Charles Stanley & Co. Limited which is registered in England under number 1903304 and is physically located at 55 Bishopsgate, London EC2N 3AS. In addition, Charles Stanley Direct is a broker that is authorized and regulated by the Financial Conduct Authority (FCA).

It is important to note that Charles Stanley Direct is available only for UK residents. But, this fact makes the verification process quick and easy.

 

Pros & Cons

Pros

  • High regulatory standards.
  • High standards of protection of funds.
  • No deposit fee.
  • Free withdrawal.
  • Phone support.
  • Quick and easy verification process.

Cons

  • Available only for UK residents.
  • It only focuses on UK stocks, funds and ETFs.
  • There are annual fees to use its accounts.
  • Only 24/5 customer support.
  • No demo account.

Account Types

Charles Stanley Direct offers different accounts with which you can execute your investment plans either with a standard account or if you plan to accumulate earnings for your retirement.

Investment Account

This type of account consists of a standard account for trading. You can manage your investment portfolios on your own and at any time with any of the financial instruments offered by Charles Stanley Direct.

SIPP Account

This type of account allows any UK resident under 75 years old to make contributions to their account and receive tax relief. In this regard, the government will complete its contribution with a tax deduction of 20%.

Stocks & Shares ISA

This account allows you to invest and save at the same time. You only need to make a contribution from as little as £50 a month or a lump sum of £500 to qualify for tax benefits. Also, you will not have to pay taxes on capital gains.

Here’s a breakdown of our 10 scoring categories, each scored out of 10 for a total of 100 points.

#1 Fees

To operate in Charles Stanley Direct you will have to pay an annual fee to use your account plus the trading fees inherent to the financial asset you wish to trade. Also, the broker does not charge a fee for inactivity or for the deposit or withdrawal of funds from your account.

We present these fees in more detail below:

Platform Fees

  • Stocks: 0.35% annually. Take into account that for shareholdings the maximum charge is £240 annual.
  • Funds:
    • 0.35% annually on the first £250,000 of funds held across all accounts.
    • 0.20% annually on funds between £250,000 and £500,000.
    • 0.15% annually on funds between £500,000 and £1m.
    • 0.05% annually on funds between £1m and £2m.
    • All fees on funds held over £2m will be waived.

Trading Fees

  • Stocks: £11.50 each time you buy or sell stocks.
  • Fund: Free.

The broker is not well rated in this category because you have to pay commissions when trading financial instruments, and those commissions are not cheap. You also have to incur costs for using the brokerage account.

A broker must be an ally when it comes to saving costs. If you are interested in reading about other brokers that offer an improvement in this category, we recommend reading Capital.com, OctaFX and Forex.com.

Charles Stanley Direct Fees Score: 3/10

#2 Signup Process

The process of opening an account at Charles Stanley Direct is completely online. In this sense to open an account, you must be a UK resident and will require an active email address. When registering, the broker will ask you to provide details from a UK passport or driving license for identity verification purposes. That’s it! A really fast and simple process with which you can open an account the same day you want to operate.

The broker is very well qualified in this category because you will not have to wait day after day to be able to operate in the stock market. Take into account that if you need to invest immediately to take advantage of a great opportunity, you can do it without problems with this broker.

Charles Stanley Direct Signup Process Score: 10/10

#3 Minimum Initial Deposit

Charles Stanley Direct requires a minimum deposit of £50. But, you should take into account that in the case of an ISA or SIPP accounts, the minimum amount is £100. In contrast to other brokers, this amount is low and for that reason, the broker is well qualified in this category.

If you are a retail investor, you may be interested in the following table because there you will find the minimum initial deposit of other brokers.

Broker                       Minimum Initial Deposit
Capital.com$20 USD
eToro$50 USD
Forex.com$100 USD
Vantage FX$200 USD

Charles Stanley Direct Minimum Initial Deposit Score: 10/10

#4 Ease of Use

Charles Stanley Direct offers a very simple and intuitive web trading investment platform. The interface of the platform is very friendly, however, it is very basic and does not allow customizations. In this sense, the platform can be an excellent welcome to the world of investments for beginners. However, once you are familiar with the platform, you will need other analysis tools so that you can complement your investment strategies.

Charles Stanley Direct offers a very simple and intuitive web trading investment platform

Charles Stanley Direct App

Although the Charles Stanley Direct app replicates the investment platform in terms of the investment analysis and visualization characteristics, it is poorly rated by its users on the different download pages. It has a 2/5 in the Apple App Store and 2.7/5 in Google Play. In general, users comment that the app is erratic, that sometimes the application suddenly freezes and that it takes time to load.

Although the Charles Stanley Direct app

In general, although the investment platform of Charles Stanley Direct is very friendly, leaves much to be desired and the app version is not well rated by its users. Furthermore, the broker only offers a web version of the investment platform. Take into account that one of the most outstanding aspects when investing in the stock market is having different analysis tools available in your investment platform and, in the case of Charles Stanley Direct, these are limited. For this reason, the broker loses points in this category.

Charles Stanley Direct Ease of Use Score: 6/10

#5 Deposit & Withdrawal Options

Charles Stanley Direct offers several alternatives to make deposits and withdrawals from your account without any fees.

  • Bank transfer
  • Credit/Debit card
  • Check
  • Accounts from other institutions

However, take into account that there is a charge of £50 for returned checks.

Because the broker offers variety when transferring and withdrawing your funds, it has the highest rating in this category.

Nevertheless, if you are looking for a broker that offers you more funding and withdrawal alternatives, we recommend Capital.com because you can use a credit card, bank transfer, debit card, SOFORT, iDeal, Giropay, Multibanko, Przelewy24, QIWI , Webmoney, Trustly, Neteller and Skrill.

Charles Stanley Direct Deposit & Withdrawal Options Score: 10/10

#6 Customer Support

Charles Stanley Direct offers a customer support service through the following channels:

Take into account that you will be attended in English and that the telephone service hours are from 7:30 am to 5:00 pm (GMT + 1).

The Broker offers excellent customer support with immediate attention. For this reason, the broker is highly rated in this category.

Charles Stanley Direct Customer Support Score: 10/10

#7 Asset Classes

Stocks

You will be able to negotiate with stocks from the UK markets without problems.

ETFs

You can trade 1,000+ different types of ETFs

The broker generally offers a good variety of stocks, mutual funds and ETFs. Nevertheless, it does not offer crypto assets, commodities, currency pairs or fixed income instruments with which you could create more efficient portfolios. Take into account that having a greater variety of financial assets will allow you to build diversified portfolios with less risk. For this reason, the broker loses a lot of points in this category.

Charles Stanley Direct Asset Classes Score: 2/10

#8 Referral Program

Charles Stanley Direct will allow you to earn extra money thanks to its referral program. In this regard, each time you refer to friends and family, you will receive a £50 Amazon voucher.

In general, the referral program looks good because you could earn extra money. But, the broker is not very well qualified because the amount could be higher and you will also receive the money in Amazon and not in your trading account.

Ideally, you should accumulate capital in your investment account so that you can progressively increase your profits. For example, imagine that you manage to get a monthly return of 3% on your investments, it is not the same to earn 3% of £1,000 than with £10,000. That is why to achieve financial independence one of the main strategies that you must take into account is to progressively increase your capital.

Charles Stanley Direct Referral Program Score: 3/10

#9 Demo Account & Educational Resources

Demo Account

Unfortunately Charles Stanley Direct does not offer a demo account with which you can test the broker’s investment platform.

Educational Resources

In terms of educational resources, the broker offers content that could be classified average in relation to other brokers. In this sense, Charles Stanley Direct offers:

  • Articles
  • News
  • Financial data

However, the broker loses quite a few points in this category due to not offering a demo account. Take into account that this is a really powerful tool because it will allow you to develop and test investment strategies without the risks of a real account. In this way, you will not put your money at risk and you can constantly evolve as a trader.

If you are looking for a broker that offers you unlimited demo accounts so that you can test your strategies, we recommend Capital.com and TD Ameritrade.

Charles Stanley Direct Demo Account & Educational Resources Score: 2/10

#10 Safety & Regulation

Charles Stanley Direct is authorized and regulated by the Financial Conduct Authority (FCA). Also, investor funds are covered by the FSCS. The Financial Services Compensation Scheme (FSCS) is governed by the Financial Conduct Authority and the Prudential Regulation Authority and is designed to protect customers in the event of the failure of an authorized financial services firm. In this way, you are protected for up to £85,000 per firm for cash held on deposit and up to £85,000 per firm for investments held.

As you can see, this broker complies with high regulatory standards and also offers you protection on your funds. This factor makes Charles Stanley Direct a broker in which you can put your money with confidence. For this reason, the broker is very well qualified in this section.

Charles Stanley Direct Safety & Regulation Score: 10/10

Charles Stanley Direct vs. Capital.com
While researching 100+ of the world’s top brokers, we’ve noticed what works and what doesn’t from the customer’s point of view. That’s why our final test for any broker is to compare it to Capital.com, which scores 91/100 points across the 10 categories mentioned in this review.

Charles Stanley Direct vs. Capital.com

Selecting the broker that best suits your investment strategies and plans is one of the decisions you must make with the greatest amount of information available so that you can operate without distractions and focus on making money. Moreover, it should also allow you to be confident when investing your money by letting you do the best analysis possible at the same time offering you the lowest rates. Taking into account the most relevant aspects for an investor, we prefer Capital.com over Charles Stanley Direct for the following reasons:

It has A Demo Account

One factor that is essential when testing an investment platform is being able to access a demo account, and in this aspect, Charles Stanley Direct falls short because it does not offer one. With Capital.com you can truly test the platform since you will be able to use a demo account to test each one of the tools and features of the investment portal for as long as you want.

The Best Investment options

Charles Stanley Direct has a good number of financial instruments that you can invest in. However, Capital.com offers you several possibilities because on its investment platform you will be able to access a greater number of financial instruments. This feature is really important because with Capital.com you will be able to have a greater capacity for diversification when building your investment portfolios. For example, stocks, commodities, cryptocurrency, indices, forex and ETFs.

It has the best fees

Capital.com doesn’t charge any fees on any asset that you trade: stocks, commodities, cryptocurrency, indices, forex, ETFs, or anything else. It doesn’t charge monthly or annual fees, inactivity fees, or deposit or withdrawal fees, either. It also offers tight spreads on trades, unlike other zero-fee brokers, who make their money on wide spreads. Capital.com only makes money on the overnight fees on leveraged trades, so if you trade without leverage, you’ll never pay any fees.

Charles Stanley Direct  In Summary

  • Charles Stanley Direct is a UK regulated broker with which you can trade stocks, mutual funds and ETFs.
  • The broker is authorized and regulated by the Financial Conduct Authority (FCA). Also, your funds will be protected by the Financial Services Compensation Scheme (FSCS)
  • It offers different accounts with which you can execute your investment plans: Investment Account, SIPP Account and Stocks & Shares ISA
  • To operate in Charles Stanley Direct, you will have to pay an annual fee to use your account plus trading fees.
  • The process of opening an account is completely online.
  • The broker requires a minimum deposit of £50.
  • The broker will allow you to earn extra money thanks to its referral program

If you are looking for a UK broker that meets high regulatory standards with good customer support and a fast and secure account opening process, Charles Stanley Direct may be a good alternative.

Even so, we invite you to consider Capital.com because it has obtained the highest score among the more than 100 brokers that we have analyzed. With capital.com you can open an account in just 20 minutes. Also, it offers you a demo account with which you can practice and devise the best investment strategies. If you are looking for a broker with high regulatory standards and that also offers you a large number of features that will make you money, Capital.com is an excellent alternative.

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