How to buy Microsoft (MSFT) shares in the UK

When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in. Tax treatment depends on your individual circumstances and may be subject to future change. The content of this article is provided for information purposes only and is not intended to be, nor does it constitute, any form of personal advice.

Investments in a currency other than GBP are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in GBP terms. You could lose money in GBP even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

If you’re new to investing and are interested in buying shares, you might feel more comfortable putting your money behind a major corporation.

One company that fits the bill is technology giant Microsoft, one of the largest businesses in the US. It’s listed on the NASDAQ stock exchange, and is regularly near the top of the S&P 500 stock market index.

But how do you buy Microsoft shares as a UK investor? Find out everything you need to know here in this handy guide. We’ll run through how to get started, along with info on trading fees and the latest Microsoft (MSFT) share prices.

Can I buy Microsoft shares in the UK?

Yes, even though you’re based in the UK, you can buy shares in companies all over the world.

This includes Microsoft, along with all the other companies on both the US-based S&P 500 index and the UK-based FTSE 100 index.

It’s actually pretty easy to do too. All you need to do is create an account on an online investment platform, such as:

• eToro
• XTB
• Hargreaves Lansdown
• Trading 212
• Webull
• Interactive Brokers.

Alternatively, you could use a broker service for buying and selling shares in stock markets all over the world.

How to buy Microsoft shares

One of the easiest ways to trade in Microsoft shares (to buy or sell) is using an online investment platform.

Here’s how to get started, in just a few steps:

1. Find an investment platform

As Microsoft is a leading global corporation, you should find that most major platforms offer trading in its stock. Some popular trading platforms here in the UK are eToro, XTB, Trading 212, Webull and Interactive Brokers.

When comparing options, key things to pay attention to are fees and charges, as well as how user-friendly the platform is.

A useful feature some offer is a demo trading account, where you can ‘test out’ investments and get a feel for how it all works without actually committing any funds.

2. Sign up for an account

It should take just a few minutes to complete an application. You’ll usually need to provide some personal details, as well as verifying your identity. Remember, always check that the company is listed on the FCA register to ensure that they are a legitimate company before you sign up.

3. Add money to your account

In order to purchase shares, you’ll firstly need to transfer funds from your bank account over to your chosen investment platform. Simply follow the platform’s processes to do this.

4. Search the platform for Microsoft stock

You can search using either the company name or its stock ticker symbol, which for Microsoft Corporation is MSFT.

5. Choose the number of shares or the amount of investment

There are two ways you can place an order for shares. The first is to choose the number of shares you want to buy (i.e. 50 shares), while the second is to enter the maximum amount you want to invest.

6. Confirm the order

Check the details of the order carefully and submit. Your shares will be purchased immediately, as long as it’s within market hours.

How to invest in Microsoft via a fund

You can also invest in companies like Microsoft in other ways, in addition to buying shares directly.

A few options to look into include:

• Global funds
• Investment trusts
• Exchange traded funds (ETFs).

All of the above offer ready-made portfolios, consisting of shares in multiple different companies. They offer a way of spreading your investment across multiple stocks, helping you to diversify your portfolio.

As Microsoft is a major global company, you can expect to find it included in many funds, trusts and ETFs.

These are also available to buy through online investment platforms, as long as you have an investor account.

Microsoft (MSFT) share price

The current Microsoft Corporation (MSFT) share price at the publish date of this article (5th September 2024) is: $408.90 USD or £310.60 GBP.¹

Remember though that share prices fluctuate. So the price above is accurate at the time of writing, but it’s likely to be different at the time you’re buying your shares.

The good news though is that you can check the latest Microsoft share prices at any time using the handy Wise stock ticker tool.

Check latest MSFT share price

Does Microsoft stock pay out dividends?

Dividends are payments made by a company to its shareholders, based on annual overall profits. The aim is to reward shareholders for their investment.

It’s most common for dividends to be paid as cash payments, but it’s also possible to receive dividends in the form of additional shares in the same company.

Microsoft stock does pay dividends to shareholders. It does so on a quarterly basis, and usually pays dividends in cash.

At the time of writing, the company’s dividend yield is 0.72%, which means that shareholders get $0.72 in cash dividends each year for each $100 they have invested in Microsoft shares.²

What does it cost to buy and sell Microsoft shares?

There will usually be some fees involved when you buy shares in the UK.

The most common charges are trading fees (charged every time you buy/sell shares) and foreign exchange fees. These are charged to convert your money from GBP to USD if you’re buying US stock.

Some platforms also have an annual account or platform fee, while others are free to join.

Take a look at the table below for an idea of what popular UK investment platforms charge for trading and currency conversion:

Platform	US trade (commission) fees	Foreign exchange fees
eToro	£03	1.5%4
XTB5	£0	0.5%
Hargreaves Lansdown6	£11.95	1%
Trading 2127	£0	0.15%
Interactive Brokers8	£1.45	0.03%

Note: All above investment platform fees were correct as of 5th September 2024.

Interested in investing in a fund instead of buying shares? The fees for buying a fund, trust or ETF will be different to the above. You’ll need to check the individual platform for details of these.

Avoid hidden currency conversion mark-ups

In this article, we’ve covered everything you need to know about how to buy shares in Microsoft here in the UK. This includes the latest Microsoft share prices, info on fees and steps to buy your first shares in the company.

But if you’re planning on buying and selling shares and funds listed abroad, there’s another crucial thing to consider - currency conversion.

Trade in different currencies and you could be hit with extra cost for cross border money transfer.

You may wish to hold your money in a Wise account until you decide to invest it in your chosen platform. Open a Wise account and you can convert currency at mid-market exchange rates, for low, transparent fees*.

You can also use your Wise account to conveniently manage your money in up to 40+ currencies, sending payments worldwide a the mid-market rate for low fees*.

There’s even an extra feature, Wise Interest. With a Wise account you can earn returns on GBP, USD and EUR by opening a Wise account and investing in a fund that holds government-guaranteed assets. Capital at risk.

Open your Wise account

When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in. Tax treatment depends on your individual circumstances and may be subject to future change. The content of this article is provided for informational purposes only and is not intended to be, nor does it constitute, any form of personal advice.

Investments in a currency other than GBP are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in GBP terms. You could lose money in GBP even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

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Sources used:

1. Wise - current Microsoft Corporation stock price (MSFT)
2. Koyfin - Microsoft Corporation (MSFT) dividend information
3. eToro - eToro fees and charges
4. eToro - eToro conversion fees
5. XTB - XTB fees
6. Hargreaves Lansdown - Hargreaves Lansdown fees
7. Trading 212 - Trading 212 fees
8. Interactive Brokers - Interactive Brokers fees for UK residents

Sources last checked on date: 05-Sep-2024