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Lightyear Review | 2025
Overview, highlights & more!
What you will find in this review:
Overview of Lightyear
Lightyear is a modern European investment platform, launched in 2020 by former TransferWise (now Wise) engineers, with a clear mission: to offer an investment platform that everyone in Europe can use with ease, transparency, and low costs.
Based in the UK and Estonia, it is regulated by both the FCA and EFSA, with customer protections that include up to £500,000 via SIPC for US securities and €20,000 for EU-held assets.
The platform serves investors across more than 22 European countries, offering access to over 4,000 US stocks, as well as listings from Euronext, Deutsche Börse, the UK, and the Baltics. Users can also invest in ETFs, money market funds, and bonds.
One of Lightyear’s standout features is the interest paid on uninvested cash, reaching up to 2.11% APY in EUR, with even higher rates for GBP and USD balances.
The information provided on this page and throughout the website is for general information purposes only and does not constitute financial advice. It is important that you conduct your own research and consider your own personal circumstances before making any investment decisions.
It also keeps trading costs low and offers commission-free ETF investing.
In short, Lightyear simplifies investing by removing hidden costs, supporting multi-currency accounts, and delivering everything through a clean and intuitive interface.
What you will find in this review:
Platform Highlights
| 🗺️ Supported Countries | UK, 22+ European countries (EEA) |
| 📊 Management fees | No |
| 💲 FX Fee | %0.35 (mid-market rate + fixed markup) |
| ⏳ Inactivity fee | No |
| 🏧 Withdrawal fee | No |
| 💵 Minimum Deposit | No minimum |
| 💡 Products offered | GIA, Stocks & Shares ISA, Business Account |
| 🎮 Demo Account | Not available |
| 📜 Regulatory entities | FCA (UK), EFSA (Estonia) |
These platform highlights capture Lightyear’s strongest appeal: simplicity and cost-efficiency. The absence of account, inactivity, and withdrawal fees makes it ideal for long-term investors who want to avoid unnecessary charges.
The flat 0.35% FX markup is easy to understand and significantly more transparent than tiered or hidden conversion costs used by other platforms.
With support across the UK and over 22 European countries, and access to accounts like GIA, ISA, and Business, Lightyear offers a clean and competitive solution for individuals and companies alike.
While it doesn’t offer a demo account, the intuitive interface helps ease the onboarding process for most users.
Lightyear Offering for UK investors
Lightyear has grown into a strong alternative to traditional UK brokers, especially for long-term investors and those interested in keeping costs low while accessing global markets. Below is a breakdown of the account types and services UK users can benefit from.
General Investment Account (GIA)
The standard account on Lightyear, the GIA, gives UK residents access to thousands of global stocks and ETFs. It supports trading in multiple currencies, helping users avoid unnecessary conversion fees when investing in international markets.
With no account management fees, no trading commissions on ETFs, and a clean interface, the GIA is ideal for both beginners and experienced investors who want control without added complexity.
Stocks & Shares ISA
For UK investors looking to take advantage of their annual ISA allowance, Lightyear introduced its Stocks & Shares ISA in 2024. The account allows you to invest up to £20,000 per year tax-free, shielding capital gains, interest, and dividends from UK taxation.
Unlike some competitors, Lightyear applies its same low-cost structure to the ISA account:
🟢 No monthly ISA fee
🟢 Commission-free ETFs
🟢 0.35% FX fee on currency conversions
This makes Lightyear one of the most cost-effective platforms for long-term ISA investing, especially if you’re building a globally diversified portfolio.
Business Investment Account
Lightyear also caters to business users in the UK through its Business Account, enabling company directors and limited companies to invest excess cash into stocks, ETFs, and money market funds.
This account is designed with a similar fee structure and user experience as the GIA, but it also includes tools for managing finances at the company level, such as downloadable reports and support for corporate ownership verification.
When selecting an investment style, it’s crucial to consider factors such as financial goals, risk tolerance, and the type of account that would suit that best.
The diverse service offering of Trading 212 gives investors the flexibility to align their investments with their unique objectives and values.
Access to Global Markets
Regardless of account type, UK investors using Lightyear can trade:
4,000+ US stocks
European equities
Euronext, Deutsche Börse, Baltic exchanges
UK-listed stocks
ETFs and MMFs
Exchange-Traded funds and Money Market Funds
Euro and USD bonds
Added in late 2024
All assets can be held in multiple currencies (GBP, USD, EUR), which is especially useful for avoiding unnecessary FX charges on dividends or sales.
Advantages
Clear and Transparent Fee Structure
Lightyear avoids hidden costs. There are no account fees, no commissions on ETF trades, and FX conversions are charged at a simple 0.35% rate over the mid-
Multi-Currency Wallets
Investors can hold and trade in GBP, USD, and EUR without being forced to convert currencies after every transaction. This feature is particularly useful for those investing globally or receiving dividends in foreign currencies.
Interest on Uninvested cash
Lightyear pays competitive interest on uninvested cash balances, with APYs reaching over 4% on USD, 3% on GBP, and 2%+ on EUR. This makes holding idle funds less of a drawback while waiting to invest.
User Experience and Interface
The platform offers one of the cleanest and most intuitive mobile and web apps on the market. Execution is fast, and the design is built with simplicity in mind, especially for beginners.
No Payment-for-Order-Flow (PFOF)
Unlike some commission-free brokers, Lightyear does not rely on PFOF. Orders are routed directly to exchanges, which can improve execution transparency and fairness.
Start your investing journey with Lightyear today!
Disadvantages
Limited Asset Classes
While Lightyear offers a solid range of global stocks, ETFs, and bonds, it does not provide access to CFDs, crypto, or derivatives. This may be limiting for more advanced or speculative traders.
No Fractional Shares on EU or UK stocks
Currently, fractional investing is only supported for US-listed stocks. This means you’ll need to buy whole shares of European and UK stocks, which can reduce flexibility, especially for portfolios with smaller capital.
No Demo or Practice Account
Unlike some competitors, Lightyear doesn’t offer a demo account or paper trading mode. This might be a small hurdle for absolute beginners who want to test the platform before funding their account.
Limited Educational Tools
While the app provides some basic market data and company information, there is no robust learning hub. Investors looking for educational resources or interactive tutorials may need to supplement their knowledge elsewhere.
Fee Structure at a Glance
Lightyear positions itself as one of the most transparent brokers in the UK and European market when it comes to fees.
It avoids the traditional commission traps and confusing layers that many legacy platforms still use. Below is a breakdown of what to expect in terms of costs.
Zero Account Fees
There are no management, inactivity, or withdrawal fees.
This applies to all account types – General Investment Account (GIA), ISA, and Business. Lightyear does not charge anything to hold your investments or cash.
Stock and ETF Trading Fees
- US-listed stocks and ETFs:
- No trading commission
- Fractional shares available
- UK and EU-listed stocks:
- Trades are commission-free
- Full shares only (as of 2025)
All trades go through real exchanges without payment-for-order-flow, which contributes to better transparency and execution pricing.
FX Conversion Fees
One of the only fees to be aware of on Lightyear is the foreign exchange conversion fee:
- FX fee: 0.35% flat markup on the mid-market rate
- This applies when converting between currencies (e.g. GBP to USD) for buying foreign stocks or receiving dividends in other currencies
If you use the multi-currency wallet feature wisely, you can minimise these conversions and keep costs even lower.
Interest Rate Advantage
Rather than charging you, Lightyear pays you to keep uninvested cash in your account:
- USD: up to 4.5% APY
- GBP: ~3.5% APY
- EUR: ~2.11% APY
These rates fluctuate in line with central bank interest rates but remain consistently competitive compared to traditional brokers or banks.
ISA Account Costs
- No monthly ISA subscription fee
- Same trading conditions as GIA (commission-free stocks & ETFs, same FX fees)
- You retain your tax-free wrapper for up to £20,000 per year in line with HMRC rules
Lightyear’s simple cost structure makes it one of the most cost-efficient brokers for UK-based investors, especially for long-term, diversified portfolios.
Lightyear’s Customer Support
Customer service might not be the first thing you look at when choosing a broker, but it’s one of those features that really matters when something goes wrong.
Available customer support channels:
Lightyear keeps its support system lean but responsive, with a few key channels that UK investors can rely on.
Account Setup Process
Opening an account with Lightyear is designed to be simple, fast, and entirely online.
Whether you’re looking to open a General Investment Account or an ISA, the process is intuitive and takes just a few minutes.
1️⃣ Download the App or Visit the Website
Start by downloading the Lightyear app (available on iOS and Android) or registering through the web platform.
Most users prefer the mobile experience, but both versions are equally functional and easy-to-use.
2️⃣ Create Your Account
After entering your email address and creating a password, you’ll be asked to provide some basic personal information.
This includes your:
- Full name
- Date of birth
- National Insurance number (for UK residents)
- Residential address
Lightyear also collects information on your financial background and investment experience to meet regulatory requirements.
3️⃣ Identity Verification
To comply with financial regulations, Lightyear requires a photo ID and a quick selfie.
Verification usually takes just a few minutes, though in rare cases it may take up to 24 hours.
Accepted documents typically include:
- Passport
- Driver’s license
- National ID card
4️⃣ Fund Your Account
Once verified, you can add funds via bank transfer or card payment. Lightyear supports top-ups in GBP, EUR, and USD. There is no minimum deposit, which makes it accessible for investors of all levels.
5️⃣ Choose an Account Type
For UK investors, you’ll be prompted to select between a General Investment Account or a Stocks & Shares ISA. The ISA setup will also ask you to confirm your UK tax residency and acknowledge your annual allowance.
6️⃣ Start Investing
Once funded, you’re ready to start investing. The app guides you through searching for assets, switching currencies, and reviewing relevant market data. You can also create watchlists and access company insights directly within the platform.
The information provided on this page and throughout the website is for general information purposes only and does not constitute financial advice. It is important that you conduct your own research and consider your own personal circumstances before making any investment decisions.
Regulatory Safeguards
Security and regulatory oversight are key when choosing an investment platform. Lightyear operates with a strong compliance framework and offers several layers of protection for UK investors.
Regulated by the FCA and EFSA
Lightyear is authorised and regulated by:
The Financial Conduct Authority (FCA)
In the United Kingdom, the service is provided by Lightyear UK Ltd, which is authorised and regulated by the Financial Conduct Authority (FRN 987226)
The Estonian Financial Supervision Authority (EFSA)
In Europe, the service is provided by Lightyear Europe AS, which is authorised and regulated as an investment firm by the Estonian Financial Supervision Authority (Finantsinspektsioon) under activity licence number 4.1-1/31.
This dual regulation allows the platform to serve clients across the UK and the European Economic Area while complying with the strictest financial standards in both regions.
Segregation of Client Funds
Customer assets are held in segregated accounts, separate from Lightyear’s own operational funds. This is a fundamental requirement under FCA rules, designed to protect investor money in the event of company insolvency.
Segregation of Client Funds
Depending on your location and the specific assets held, Lightyear clients benefit from the following protections:
- UK customers holding US-listed securities are protected by SIPC, covering up to $500,000 (including up to $250,000 in cash)
- EU-held assets are protected by the Estonian Guarantee Fund, which covers up to €20,000 in the unlikely event of default
While these protections are not a substitute for market risk, they provide a reassuring level of coverage against operational failure.
Transparent Execution and No PFOF
Lightyear does not engage in payment-for-order-flow (PFOF). All orders are routed directly to exchanges, such as NYSE, NASDAQ, and Euronext, ensuring that investors receive clean execution pricing without hidden conflicts of interest.
Lightyear Alternatives
In our search for alternative investment platforms, we thoroughly examined various factors such as business model, licensing & operations, cost of trading, target audience, and available financial markets.
Here are the key features we considered when identifying the top Lightyear alternatives and the respective picks for each one:
Best low-fee alternative
We analyzed the overall cost of platforms, including trading fees, commissions, inactivity fees, spreads, and conversion fees.
Best alternatives for beginners
Beginner-friendly platforms offer intuitive apps and trading experiences, essential for those new to trading. Free demo accounts are crucial, while features like copy or social trading add value.
Best competitors with similar products
We prioritized platforms offering markets and assets similar to Lightyear, emphasizing a diverse range of financial products.
Most secure alternative
Regulatory compliance is paramount, so we focused on platforms regulated by top-tier financial authorities. Transparency regarding finances and customer fund storage was also a crucial factor.
Best competitors with highest user reviews & customer ratings
Real user experiences matter. We identified platforms with the best average ratings and positive reviews, ensuring reliability and user satisfaction.
By considering these aspects, we aimed to provide readers with viable alternatives tailored to their investment needs and preferences.
Each alternative was assessed based on these criteria, considering user reviews from platforms like TrustPilot to ensure comparability with Lightyear’s offering.
And make sure to check out our reviewed brokers!
Frequently Asked Questions
Closing Thoughts and Conclusion
Lightyear stands out as one of the most transparent and investor-friendly platforms currently available in the UK and across Europe. It strips back much of the noise found in traditional brokers, focusing instead on what matters most: low costs, intuitive design, and access to global markets.
With no account or withdrawal fees, a clean 0.35% FX markup, and commission-free trading on major stocks and ETFs, Lightyear is built for long-term investors who value cost-efficiency and control. The ability to hold multiple currencies, earn interest on uninvested cash, and avoid payment-for-order-flow adds further credibility to its model.
It may not cater to high-frequency traders or those seeking complex financial instruments, but for everyday investors, especially those focused on building wealth through ISAs or globally diversified portfolios, Lightyear is an excellent choice.
We believe Lightyear is only just getting started. As the platform expands its product offering and continues to refine its service, it’s positioning itself as a serious contender among the best investment platforms in the UK.
