Finance

These are the best brokers for beginners

If you want to invest your money in stocks, funds or ETFs, you need a securities account. This is particularly cheap with online brokers. We explain what to look out for.

The way to the stock exchange leads through a deposit. Because this is where you keep your securities and can, for example, buy and sell stocks or ETFs.

But which depot is the right one? What must it be able to do? And with which provider do you find it? We explain to you what you should consider as a beginner – and which step you should take before deciding on a depot.

Which depot is the best for me?

Which depot is right for you depends on what exactly you want to do with it. As Beginners you will probably want to make the start as easy as possible and invest in easily understandable, yet profitable products.

For your depot this means: you need one, that reliable, Cheap and easy to handle is – and with which you can trade stocks that are suitable for beginners. The good news is: You can do the latter with any common depot.

Because beginners invest particularly comfortably and profitably with so-called ETFs. And these – just like important individual stocks – are part of the standard repertoire of depository providers.

However, not every broker offers the same range of ETFs, and not every ETF is also capable of saving plans with every provider. In addition, the sometimes differ Savings plan fees. With a savings plan, you regularly invest a certain amount – for example every month. Read here how to make provisions for old age with an ETF savings plan. Alternatively, you can only invest a one-time amount for the time being.

Tip: Before you decide on a deposit with a broker, you should know how and in which securities you want to invest. After all, the fund or the stock that you have selected should also be available there – and ideally on favorable terms. You can read here how to open a custody account.

But which providers are reliable, cheap and easy to use? And how do I find out whether my dream share or ETF is there? We will explain this to you in the following sections.

Which broker is reliable?

When it comes to reliability, you don’t need to worry about any of the popular providers. Even a bankruptcy could not harm your invested money, since it is considered a Special assets applies.

This means that your broker does not own the fund shares in your custody account, but only holds them for you. You are thus protected from access by possible creditors. In the event of bankruptcy, you can keep your securities transferred to another depot.

The statutory rate also applies to the money on the clearing account Deposit insurance. That is usually 100,000 euros per person and bank account. So your money is protected in the event of a bank failure.

Which broker is cheap?

Basically: Online custody accounts with direct banks and online brokers usually perform significantly cheaper than deposits at branch banks. Because the Sparkasse or Volksbank around the corner will often charge you one annual fee that she manages your portfolio, while direct banks and online brokers usually do without it.

Even with the so-called Transaction costs, that is, the costs involved in buying and selling securities, there are clear differences. You should bear this in mind when choosing a securities account, because over the years even small differences in fees can have a major impact on your return.

The costs also depend on how much service and offer you need. However, since you as a beginner will probably only buy securities every now and then and leave them in the depot for a long time, access to as many trading venues and real-time prices as possible is less important for you, for example.

You can then choose a broker who does not offer certain services, but is cheaper. You can read below exactly what costs you will have to pay with which provider.

Which depot is easy to use?

Here it depends on what you mean by simple operation. Basically, an online custody account is just as easy to use as classic online banking.

Would you like your depot to have a App on the smartphone so-called neobrokers could be the right choice for you. On the other hand, it is important to from the PC To be able to access it, you are in better hands with direct or branch banks.

Understand by simple operation that you also have the depot run completely offline there is no getting around the branch banks. There you have the opportunity to use your deposit in writing or in personal contact with a bank employee – but at higher costs.

Which brokers are recommended for beginners?

For beginners we recommend providers from Germany, where the Depot management costs nothing and which are automatic Savings plans on ETFs let set up. It should also be possible to trade stocks.

In addition, everyone has to weigh for themselves what is more important to them: special cheap fees or certain offers that then cost a little more. The question of what kind of service you want or how the depot should be operated also depends on your personal preferences.

If low order fees are particularly important to you, you should get in touch Scalable Personal-Financial.com, Trade Republic and Smart broker take a closer look. Regardless of whether it is a single purchase or savings plans – there are particularly favorable conditions here.

Scalable Personal-Financial.com

  • In the “Free Broker” portfolio model, the first savings plan is free.
  • Other savings plans are also free if you choose one of the 600 free ETFs. Otherwise, additional savings plans cost EUR 0.99 each.
  • The minimum monthly savings rate is 25 euros.
  • The free offer includes ETFs from the major providers iShares, Xtrackers and Invesco.
  • Even single purchases cost EUR 0.99 per order if they are made via the Gettex trading platform. It is also possible to trade via the much larger Xetra system (EUR 3.99).
  • The account and securities are held by Baader Bank.
  • You can manage the depot via the app or on the PC.

Trade Republic

  • There are around 1,500 free ETF savings plans on offer.
  • The minimum monthly savings rate is 10 euros.
  • Single purchases and sales cost 1 euro, there is no minimum amount.
  • Trading is only possible via a smartphone app.
  • The orders run exclusively via the Lang & Schwarz trading center.
  • The custody account is with Trade Republic, the clearing account with Solaris Bank, the custody of the ETF shares is handled by HSBC.

Smart broker

  • Almost 300 savings plans are free – albeit for a limited period.
  • Each version then costs EUR 0.80 if the savings rate does not exceed EUR 400. For higher amounts, 0.2 percent fees are due.
  • The minimum monthly savings rate is 25 euros.
  • Individual purchases cost nothing if they are made via Gettex or Lang & Schwarz and you invest more than 500 euros. For lower sums, the order costs 4 euros.
  • Smartbroker charges 0.5 percent per year on the money that you have in the clearing account – but only if the amount there is more than 15 percent of the total deposit value.
  • The account and the safekeeping of securities are with DAB BNP Paribas.

If you want it cheap, but a little more versatile, you should take a look at offers from Direct banks throw. In direct comparison with the neobrokers, these cost a little more, but they offer the option, for example, of keeping a normal current account or a children’s deposit in addition to the deposit.

The following banks have a particularly good offer:

ING

  • All ETF savings plans have been free of charge since April 2021.
  • The minimum monthly savings rate is 1 euro.
  • Single purchases cost EUR 4.90, plus 0.25 percent of the order amount, up to a maximum of EUR 69.90.
  • The deposit can be combined with a current account, which is free of charge with incoming payments of 700 euros per month or more.
  • It is possible to keep a children’s depot and a community depot.

Comdirect

  • The execution of savings plans costs 1.5 percent of the savings rate, but there are regular promotional ETFs where the savings plan is free.
  • The minimum monthly savings rate is 25 euros.
  • Single purchases cost EUR 4.90, plus 0.25 percent of the order amount, a minimum of EUR 9.90 and a maximum of EUR 59.90.
  • The deposit can be combined with a current account, which is free of charge with incoming payments of 700 euros per month or more.
  • It is possible to keep a children’s depot and a community depot.
  • The custody account is only free for three years. So that there are no fees afterwards, you need to set up a savings plan or make two individual purchases per quarter. Otherwise it costs 1.95 euros a month.

Consorsbank

  • The execution of savings plans costs 1.5 percent of the savings rate, but there are regular promotional ETFs where the savings plan is free.
  • The minimum monthly savings rate is 25 euros.
  • Single purchases cost EUR 4.95, plus 0.25 percent of the order amount, a minimum of EUR 9.95 and a maximum of EUR 69.
  • The deposit can be combined with a current account, which is free of charge with incoming payments of 700 euros per month or more.
  • It is possible to keep a children’s depot and a community depot.

DKB

  • The execution of savings plans costs 1.50 euros – regardless of the amount of the savings rate.
  • But there are also special offers with discounted savings plans.
  • The minimum monthly savings rate is 50 euros.
  • Single purchases cost 10 euros for amounts up to 10,000 euros and 25 euros for higher sums.
  • The deposit can be combined with a current account.
  • It is possible to keep a children’s depot and a community depot.

How do I know which ETFs a broker is offering?

You can use to find out whether a broker is offering your favorite ETF ETF search engines find out – for example on justetf.com. There you enter the so-called ISIN in the search field above, the international securities identification number with which each ETF can be clearly identified.

Justetf.com will then show you all the information about this ETF, including whether it savings plan is with which providers and under which conditions.

Which ETF is the right one?

An ETF on the international stock index is suitable for beginners MSCI World. This contains shares from around 1,600 companies worldwide. With such a broad diversification, you lower your risk. Because if one region or industry weakens, another makes up for the loss.

If you also stay invested over a long period of time, ideally at least 15 years, the risk is further reduced because you can simply sit out crises.

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