Invest in the London Stock Exchange

Find out more about the London Stock Exchange and how to invest in companies on the LSE.

Zoe Stabler DipFA's headshot

By

Zoe Stabler DipFA

Updated

Fact checked
Ways to invest in LSE Learn more
Compare trading platforms Compare features

The London Stock Exchange (LSE) is the main stock exchange in the United Kingdom and is the largest stock exchange in Europe. The main index on the LSE is the FTSE 100 which is the 100 largest stocks on the London Stock Exchange. Also on the LSE is the FTSE 250, which is the next 250 largest stocks on the exchange after that first 100.

Find out more about this major stock exchange and how you can invest in the London Stock Exchange.

How does the London Stock Exchange work?

The stock exchange started in 1698 and was originally called “The Course of the Exchange and Other Things”. It was simply a list of the price of stocks and commodities posted at a coffee shop. It was made more formal in the 1800s, with a set of rules and a fee to be part of it.

A company doesn’t need to be British to be included. It’s got stocks from over 60 countries worldwide.

Companies in the London Stock Exchange include:

Ways to invest in London Stock Exchange

  1. Buy shares in specific companies. If there are specific companies that you’re interested in investing in then you can just invest in those. You can’t realistically invest in all of the companies on the LSE.
  2. Invest in the FTSE 100 or FTSE 250 indices. There are several ways to do this, so check out our dedicated pages on those indices to decide how you want to invest.

How to invest in the London Stock Exchange

  1. Choose a broker or trading platform. If you want to invest in the London Stock Exchange, you’ll need to pick a platform or broker that lists British stocks directly or via LSE-focused ETFs.
  2. Open a share trading account. Once you’ve selected the broker or platform, you’ll need to open a trading account to start investing in LSE stocks.
  3. Deposit funds. Before you start trading, you’ll need to deposit money into your investing account. Depending on your broker or platform, your funds may also need to be converted from pounds into a different currency, such as US dollars.
  4. Buy LSE stocks.

How much does it cost to trade on the London Stock Exchange?

That depends on which trading platform you use. The good news is that, assuming you’re investing from the UK, you won’t incur a currency conversion fee (which you might if you were buying Netflix shares on the Nasdaq, in dollars, for example).

Here are some of the fees for some top providers. We’ve listed the standard commission for a trade and the best commission. The best commission can have some kind of condition, such as if you trade more than 10 times in the previous month or if you invest a certain amount. Check out the specific provider reviews to find out how to qualify for the best commission on offer with a provider.

Compare investment services

Table: sorted by promoted deals first
6 of 12 results
Updated regularly
Finder Score Min. initial deposit Price per trade Frequent trader rate Platform fees
9Excellent
$50
£0
N/A
£0
Go to Site

Capital at risk

More info
Compare product selection
9.2Excellent
£0
£0
N/A
£0
Free share: Get 5 free Vanguard ETF shares when you deposit at least £50 to a new XTB account and purchase at least one stock or ETF within 7 days. Capital at risk. T&Cs apply.
Go to Site

Capital at risk

More info
Compare product selection
9Excellent
£1
£0
N/A
£0
Go to Site

Capital at risk

More info
Compare product selection
InvestEngine logo
9.6Excellent
InvestEngine
Finder AwardFree TradesFunds Only
9.6Excellent
£100
£0
N/A
0%
Welcome bonus: Get a welcome bonus of up to £200 when you invest at least £100. Use code 'FINDER'. Capital at risk. T&Cs apply.
Go to Site

Capital at risk

More info
Compare product selection
Hargreaves Lansdown logo
8.7Great
Hargreaves Lansdown
Finder Award
8.7Great
£1
£6.95
£3.95
0.35%
Go to Site

Capital at risk

More info
Compare product selection
Freetrade logo
9.5Excellent
Freetrade
Free Trades
9.5Excellent
£0
£0
N/A
£0
Free share: Get a free share worth up to £100 when you sign up and deposit at least £50. Capital at risk. T&Cs apply.
More info
Compare product selection
loading
Showing 6 of 12 results

Finder Score for trading platforms

To make comparing even easier we came up with the Finder Score. Costs, features, ease and range of investments across 30+ platforms are all weighted and scaled to produce a score out of 10. The higher the score the better the platform – simple.

Read the full methodology

All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Past performance is no guarantee of future results. If you’re not sure which investments are right for you, please seek out a financial adviser. Capital at risk.


Why should I invest on the London Stock Exchange?

The London Stock Exchange is one of the largest in the world and is the largest in Europe. There are some major companies on it, like the high street bank HSBC, supermarket Sainsbury’s and pharmaceutical company AstraZeneca.

Zoe Stabler DipFA's headshot
Senior writer
Add to Preferred Sources

Zoe was a senior writer at Finder specialising in investment and banking, and during this time, she joined the Women in FinTech Powerlist 2022. She is currently a senior money writer at Be Clever With Your Cash. Zoe has a BA in English literature and a Diploma for Financial Advisers. She has several years of experience in writing about all things personal finance. Zoe has a particular love for spreadsheets, having also worked as a management accountant. In her spare time, you’ll find Zoe skating at her local ice rink. See full bio

Zoe's expertise
Zoe has written 111 Finder guides across topics including:
  • Share dealing
  • Reviews and comparisons of trading platforms
  • Robo-advisors
  • Pensions
  • Banking
More resources on Finder

More guides on Finder

Go to site