UK investor FAQ

You buy shares through a regulated broker or investment platform. Open an account, add money by bank transfer or debit card, search for the company by name or ticker (for example AV. for Aviva on the London Stock Exchange), choose how much to invest and place the order. Shares settle into your account a couple of working days later.

The common choices are a Stocks and Shares ISA, where gains and dividends are free of UK tax up to the annual ISA allowance; a general investment account (GIA) with no allowance limit but taxable gains and dividends; and a SIPP, a personal pension with tax relief but locked until pension age. Many investors start with an ISA. Check current allowances on GOV.UK, as they can change.

Search the Financial Conduct Authority (FCA) register to confirm the firm is authorised. Authorised UK platforms must keep client assets separate from their own, and eligible cash may be covered by the Financial Services Compensation Scheme (FSCS) if a firm fails. Be wary of anyone contacting you out of the blue with an investment offer.

Usually your National Insurance number, a UK address, bank details and proof of identity. Most platforms verify you online within minutes.

Compare the platform or account fee, the dealing charge per trade, foreign exchange fees on US shares, and any fund charges. Small percentage differences add up over years, so match the fee structure to how often you plan to trade.

Buying most UK-listed shares electronically incurs Stamp Duty Reserve Tax, currently 0.5% of the purchase price. Some shares, such as many AIM-listed companies, are exempt, and US shares do not carry UK stamp duty. Selling does not incur it.

Inside an ISA or SIPP, no UK tax is due on dividends or gains. Outside them, dividends above the dividend allowance and gains above the capital gains tax allowance may be taxable. Rates and allowances are set each tax year — check GOV.UK or speak to an adviser.

Yes, most UK platforms offer US shares. You will usually need to complete a W-8BEN form, which lowers US withholding tax on dividends, and you pay a currency conversion fee on each trade. StockSignals covers US stocks on its US watchlist.

Bank of England interest rate decisions, inflation data, the pound against the dollar, commodity prices (the FTSE 100 is heavy in oil, mining and banks) and company results. Many FTSE 100 firms earn most of their revenue abroad, so a weaker pound can lift their share prices.

The FTSE 100 tracks the 100 largest London-listed companies by market value; the FTSE 250 covers the next 250 and is more tied to the UK domestic economy. StockSignals compares each UK share against the FTSE 100 — see the live index on the UK watchlist.

Normal trading runs from 8:00am to 4:30pm UK time, Monday to Friday, excluding bank holidays. Prices can gap at the open when news comes out overnight.

Look at the price trend, recent results, earnings growth, valuation against its sector, debt levels and the dividend record. Our stock signals method scores each of these, and the chart reading guide explains what the lines mean.

No one can time the market perfectly. Signals help you weigh the evidence rather than react to headlines. Read when to buy and sell stocks for a beginner's walkthrough, then see how to use StockSignals.