Dodl is the UK’s Next Low Cost Investing App, Launched by AJ Bell

AJ Bell has announced the upcoming release of Dodl, a mobile only trading platform that will look to compete against the low cost providers of trading services, including UK-based Freetrade.

Low Cost Trading

Dodl allows users the option to choose between opening an individual savings account (ISA), a lifetime ISA, and a pension and general investment account.

The trading offering ranges from popular shares in UK listed companies to some US companies in the near future, as well as investments by themes, including technology, robotics, healthcare and responsible investing, and AJ Bell’s existing low-cost multi-asset funds, which cater for six different risk levels.

Dodl will offer users an annual charge of 0.15 per cent and no commission for buying and selling investments, with a £1 per month minimum per account. This is a move that is likely to onboard many clients in the UK although the low cost retail investing space is increasingly crowded.

“Dodl by AJ Bell is for anyone looking for a low-cost, easy-to-use investment app to help them meet their investment goals such as saving for a house deposit, holidays or retirement,” said AJ Bell Chief Executive Officer Andy Bell. “With a low annual charge of 0.15%, no trading commissions and all the main tax efficient products, Dodl will be amongst the cheapest and best value investment platforms in the market.”

The trading app is set to launch early next year.

Dodl to Fight for Freetrade Users

Investment platform Freetrade has recently celebrated 1 million users in the United Kingdom and is raising millions in its seventh crowdfunding round to date to prepare for the next challenge: to conquer Europe.

As Freetrade expands its footprint in the European continent, with its head office in Stockholm, Sweden, the investment platform will be seeing its UK operation under relative threat with the emergence of a new challenger, Dodl.

Freetrade is also a commission-free stock trading platform and its latest fundraising round values the group at £650 million.

The trading company and has gone into a hiring spree since it closed on a £50 million funding round back in March. Most recently, the firm appointed Revolut’s former finance executive Paul Brooking as Chief Financial Officer (CFO) as it continues its investment in new executive talent.

Rather than partnering with an established broker, Freetrade holds a ‘full scope firm’ license from the FCA. The company has rebuilt its platform infrastructure for investing to allow traders to place their instant orders without having to pay a commission fee.

Before that, clients were allowed to invest in stocks and ETFs, but only if they accept to execute their trades at the end of business day, otherwise the broker charges £1 per trade.