Robinhood versus Trading212
Robinhood and Trading212 cater primarily to millennial and GenZ traders with a preference for mobile trading. Both offer proprietary, user-friendly mobile apps, maintain commission-free pricing environments, and have experienced explosive growth and controversy since 2020.
Both brokers provide beginners with acceptable quality educational content, but their market commentary and research fail to add value. Robinhood and Trading212 have issues with customer support, but the former also has a controversial history and engages in payment for order flow.
Trading212 offers fractional share dealing from as little as £1.00 plus its AutoInvest feature, creating a higher-quality trading environment. Robinhood pioneered commission-free trading in the US and Trading212 across Europe.
I have conducted an in-depth review of Robinhood and Trading212 to determine which one presents the better overall choice and which traders will benefit the most at either broker.
Features and Platforms
|Features & Platforms
|Trading212 (visit site)
|Robinhood (visit site)
Retail Loss Rate:
|0.70% (after total deposits of £2,000)
Social / Copy Trading:
Guaranteed Stop Loss:
Negative Balance Protection:
Bonuses and Promotions:
Unique Feature One:
|Fractional share dealing
|Access to IPOs
Unique Feature Two:
|AutoInvest and Pies
|Fractional share trading
Robinhood provides clients with a debit card featuring weekly rewards. Trading212 offers services to traders and investors via distinct units but continues to experience withdrawal issues and stopped onboarding clients months ago.
Commodities and Metals:
Options, Futures, and Synthetics:
Maximum Retail Leverage:
Maximum Pro Leverage:
Robinhood offers equity and ETF trading, supplementing its asset list with options, gold, and select cryptocurrencies, which Trading212 does not maintain. Trading212 maintains 10,000+ assets, where global equities account for most of them. It is also a leading Forex broker with 180+ currency pairs, notably absent at Robinhood, where traders get IPO access.
Typical Spreads and Fees
|Typical Spreads & Fees
Minimum Raw Spreads:
Minimum Standard Spreads:
Minimum Commission for Forex:
Commission for Equities:
Robinhood pricing transparency remains an issue, which Trading212 recently fixed. It lists 2.50% margin rates, a cheap offer versus US-based competitors. Robinhood also supplements income by selling order flow. Trading212 lists average Forex spreads near 0.2 pips or $2.00 per 1 standard lot, making it one of the cheapest cost structures industry wide.
Security and Trust
|Country of the Regulator
|Name of the Regulator
|Financial Conduct Authority
|Register Number 609146
|Financial Supervision Commission
|Register Number 03-0237
|Cyprus Securities and Exchange Commission
|License Number 398/21
|Country of the Regulator
|Name of the Regulator
|US Securities and Exchange Commission (SEC)
Trading212 offers negative balance protection, and its UK and Cyprus subsidiaries have investor compensation funds, up to £85,000 in the UK and €20,000, or 90% of the portfolio in Cyprus. Both segregate client deposits from corporate funds.
Robinhood is a Financial Industry Regulatory Authority (FINRA) member. Client protection exists via the Securities Investor Protection Corporation (SIPC) up to $500,000 per net equity or $250,000 for cash claims. Additional Robinhood membership consists of The New York Stock Exchange (NYSE), the NASDAQ, and the CBOE EDGX Exchange (CBOE EDGX). Traders should consider the controversial history of Robinhood.
Robinhood vs Coinbase – Verdict
|Market-leading currency and commodities selection
|Low leverage for retail traders
|Fractional share dealing and AutoInvest
|MT4 trading platform and algorithmic trading not available
|YouTube educational channel
|Low minimum deposits from as little as $1
|Fractional share dealing from $1.00 and access to IPO trading
|Limited deposit and withdrawal options
|Debit card for swift financial transactions
|Questionable business practices and lack of overall transparency
|Beginner traders get a wealth of educational content in written form
|Algorithmic trading not available
|Optimized mobile app
Robinhood and Trading212 offer equity traders with smaller portfolios an excellent service with fractional share dealing. Trading costs are higher at Robinhood, but Trading212 maintains more expensive financing rates and currency conversion fees. The absence of MT4 and algorithmic trading at both brokers are notable. Trading212 trumps Robinhood with its trading conditions and broader asset selection.
You might also be interested in reviewing the below broker comparisons:
Is Trading 212 like Robinhood?
Both brokers maintain similar core trading environments, but Trading212 features higher quality conditions.
Why is Trading 212 not recommended?
Some industry analysts would not recommend Trading212 due to its high financing costs and withdrawal issues with a suspended onboarding process.
Is Trading 212 a good trading platform?
Trading212 offers a user-friendly trading platform, fractional share dealing, and AutoInvest. While it fails to support algorithmic trading, it is a good choice for beginners with a preference for mobile trading.