Revolut is a convenient option for those looking to get started with trading. This financial app comes with a wide range of features, such as sending and receiving money, budgeting, or investing.
Let’s take a closer look at how to buy stocks on Revolut.
Getting Started With Revolut
Revolut is a mobile app with different banking functionalities. Before you can buy stocks, you’ll have to download the app and create an account for free.
You can find the app on the iOS store, the Google Play Store, or visit the official Revolut site, enter your phone number, and you’ll receive a link to download the app.
Once you have an account, you’ll need to fund it so you can start investing.
Open the app, log in, and look for the Accounts tab. You’ll find a button that says Add money. Tap this button, and you’ll be able to enter your debit card number or link a bank account to fund your Revolut account.
The money you add should be available within one to three days. You can check your balance from your main dashboard.
How to Buy Stocks on Revolut
Revolut offers a user-friendly interface that makes buying stocks easy. This app is a great option if you’re new to trading and consider yourself a casual investor.
Here’s how you can get started with investing in stocks.
Finding the Trading Section
Open the Revolut app and look for the dashboard icon at the bottom of the screen. Tap on this icon, and you’ll see a list of the different functionalities available. Select Trading.
This option will take you to the trading section of the app. You’ll be able to see how much cash you have available for trading, and you’ll also have different buttons for investing, funding your account, withdrawing money, or accessing statements.
If you’re ready to buy or explore stocks, tap on the Buy button.
Signing the Risk Disclosure Agreement
If it’s your first time buying stocks with Revolut, the app will ask you to review and sign a risk disclosure agreement.
This document explains that Revolut executes buying and selling orders on your behalf but doesn’t provide any investment advice.
The purpose of this document is to make sure you’re aware that there are risks associated with buying stocks.
Finding a Stock to Invest In
Once you sign the risk disclosure agreement, you’ll access a new screen where you can explore stocks.
You should see a list of popular stocks among Revolut investors for the week and see a list of the stocks you viewed recently. You can also tap on different industries to explore stocks in a specific category.
If you already know which stock you want to invest in, use the search icon in the top right corner of your screen.
You can look up the name of a company, like Microsoft, Johnson & Johnson, or General Motors. You can also enter a stock ticker symbol if you know it, for instance, MSFT, JNJ, or GM.
Note that Revolut only lets you invest in US stocks. You won’t find any foreign stocks on the app, and you won’t be able to purchase shares of mutual funds and other products.
Placing an Order
Once you look up a stock or tap on a stock that appears on the main Trading page, a new screen will open with details about this stock.
You’ll see a graph with information about current and historical pricing, icons for buying or selling, and an icon to set up a price alert.
Creating a price alert is a useful tool since you’ll get a notification when the value of the stock reaches a specific threshold. It can prevent you from overpaying for a stock.
If you’re ready to purchase the stock, tap on the Buy icon and a new screen will open.
You will see the stock ticker symbol on this new screen, along with the current value of a share, and how much of this stock you already own if applicable.
Placing an order with Revolut is simple. All you have to do is enter the dollar amount you want to invest in the stock and tap on Review order.
How Does Fractional Trading Work?
If you’ve used other investing apps to buy stocks, you might have noticed that not all apps let you choose a dollar amount when you purchase a stock.
Some platforms only let you buy full shares. A share can range from a few pennies to thousands of dollars for blue-chip stocks.
With Revolut, you can invest in fractional shares. You’re purchasing a portion of a share and essentially telling the app you want to purchase $10 worth of a stock.
You can invest as little as $1 and purchase additional fractions as needed.
The size of your fractional share will vary depending on the value of the stock when you place your order.
For instance, investing $10 in a stock will result in a larger fractional share if the value of the stock is low when you place the order.
What Happens After You Place the Order?
Revolut will ask you to review your order and confirm it. The app will show you the current price of the share and how much you are investing in it.
Revolut typically executes orders within a few hours, provided that you’re trading within market hours. Since you can only buy US stocks, market hours range from 9:30 A.M. to 4:00 P.M for the NYSE and NASDAQ exchanges.
If you place a trade outside of market hours, the app will queue it and execute it when the market opens.
How Much Does It Cost to Buy Stocks on Revolut?
You can create an account and buy stocks for free on Revolut.
However, you can only place three trades a day with a free account. If you want to buy more than three stocks a day with a free account, Revolut will charge a 0.25% commission fee.
You can also upgrade your account to a Premium or Metal membership. The Premium tier gives you access to five free trades a day while a Metal account allows you to buy or sell as many stocks as you want for free.
Now that you know how to buy stocks on Revolut, you can start building a portfolio with this app.
Remember to do some research before investing in stocks, which might require you to use resources outside of the app since Revolut makes trading easy but doesn’t have a lot of tools designed to help you build a solid portfolio.