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Neobroker: Bitpanda, Smartbroker, Trade Republic & Co in comparison

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Scalable Capital, Trade Republic, Robinhood and, more recently, Bitpanda: the so-called neo-brokers have been springing up like mushrooms in recent months and years. In the meantime, their offerings have grown substantially and keeping track of all things going on can be pretty challenging. To make it easier, we have compared the leading brokers.

Neobrokers: Trading on the go

Not so long ago, anyone who wanted to trade securities had to use a PC – and first learn how it works. We still recommend this today, but the entry barrier for securities trading has become considerably lower: nearly all neo-brokers now offer apps for the most popular smartphone operating systems, so trading happens “on the go” – anytime, anywhere.

Differences & similarities between neobrokers

Of course, there are also differences between the individual providers – for example, their offers and their target group, but above all – the costs and the requirements for opening an account. In addition, Scalable or Trade Republic, for example, offer savings plans, which is even free in the basic version of both providers.  In summary: If you want to trade ETFs through your smartphone, you should think about which platform to use. Here is some help.

Bitpanda

On April 21, 2021, the Viennese crypto unicorn Bitpanda also joined the neobroker ranks. At this stage, its ETFs and stock offering is not as extensive as its competition, but Bitpanda lures with investments in partial stocks. Customers can invest from small amounts just one euro.

origin Austria
founding year 2014
target group Existing customers and newcomers to the stock market
Banking license Own license
costs No fees; spread fee of 0-0.5%
requirements Bitpanda account, deposit of 25 euros
Trading venues Long & Black
platform Desktop, iOS, Android
Savings plan Individual savings plan through Bitpanda Savings
Deposit insurance Up to 100,000 euros per investor

Scalable Capital

According to their own statement,  Scalable Capital is “Europe’s leading digital asset management company”. Their license comes from Baader Bank, and there are two trading venues to choose from. There is also a savings plan, as well as deposit insurance.

origin Germany
founding year 2014
target group Young retail investors
Banking license Baader Bank
costs Flat rate of 2.99 euros per month (all trades free of charge) / Free Broker: 0.99 euros per trade
requirements SEPA account, starting from 25 euros, individual deposits from 250 euros
Trading venues Xetra, Gettex
platform iOS, Android and desktop
Savings plan Basic version free of charge, all other 0.99 euros per version
Deposit insurance Up to 100,000 euros per investor

Smart Broker

Relatively young, Smartbroker relies on a large selection of trading venues and a free savings plan. There is deposit protection, and DAB Bank acts as a license partner.

Origin Germany
founding year 2019
target group Small investors who expect a particularly wide range
Banking license DAB bank
costs Four euros for orders under 500 euros, free of charge from 500 euros
requirements  Legitimization through PostIdent procedure
Trading venues German stock exchanges, Lang & Schwarz, Tradegate, Quotrix and Xetra
platform No app, but trading through a smartphone is possible
Savings plan No fees, from 25 euros per execution, execution monthly, bi-monthly, quarterly or semi-annually possible, over 280 ETFs eligible for savings plan
Deposit insurance Up to 90 million euros per investor

Trade Republic

The Berliners try to lure customers with favorable conditions. There are free savings plans, no order commissions and several trading venues. Trade Republic has its own banking license.

origin Germany
founding year 2015
target group Young retail investors
Banking license Own license, supervised by the Bundesbank and Bafin
costs No order commission, but a flat rate of one euro for third-party costs
requirements Customers need a smartphone with iOS or Android, must be of legal age, need a SEPA bank account
Trading venues LS Exchange, reference market XETRA, HSBC for derivatives
platform  iOS, Android
Savings plan Free of charge, savings rate from 10 euros
Deposit insurance Up to 100,000 euros per investor

Justtrade

Justtrade does not offer any savings plans and can currently only be used in Germany. Founded in 2019, Sutor Bank acts as a partner for the license.

origin Germany
founding year 2019
target group Self-decision makers who do not want advice
Banking license Sutor Bank
costs No order fee, but a minimum order volume of 500 euros
requirements Tax domicile in Germany, German citizenship
Trading center LS Exchange and Quotrix
platform iOS, Android, browser
Savings plan No
Deposit insurance Up to 1.3 million euros per investor

Nextmarkets

Information about the fees is quite vague, but Nextmarkets itself makes a fair offer.

origin Germany
founding year 2014
target group Private investors
Banking license own license
costs no fees
requirements Video legitimation, valid ID
Trading center Gettex
platform iOS, Android, browser
Savings plan not yet
Deposit insurance Up to 20,000 euros per investor

Gratisbroker

The name does not necessarily create trust, but Gratisbroker  is one of the serious offers on the market. A savings plan is said to be in the planning stage, but it does not exist as yet. There is currently only one trading venue, and the fees are moderate – if the order volume is right. Savings plans should be in the works.

Origin Germany
founding year 2018
target group Retail investors
Banking license Baader Bank
costs No fees, but a minimum order volume of 500 euros
requirements Video legitimation, valid ID
Trading center Gettex
platform No app, but can be used via smartphone
Savings plan Not yet, but is being planned for the future
Deposit insurance Up to 100,000 euros per investor

Flatex.at

The Austrian version is to be the “Volksbroker”. This designation is probably a little unfortunate, but the offer fits. Savings plans are also available, and there are also sufficient trading venues.

origin Austria
founding year 2006
target group Want to have as broad an audience as possible, according to CEO Frank Niehage, Flatex should become a “people’s broker”
Banking license Own license, Flatex Bank
costs No account and custody fees, but from 5.90 euros per order
requirements Video legitimation
Trading venues Gettex, Xetra, Vienna, Stuttgart Euwax, Frankfurt Certificates AG, Tradegate Exchange
platform Desktop, smartphone, “ CFD2GO” app for iOS and Android
Savings plan From a minimum amount of 50 euros
Deposit insurance Up to 100,000 euros per investor

BUX

BUX comes from the Netherlands and is the fastest growing neobroker in Europe. Its so-called “zero orders” are free of charge, as are deposits and withdrawals. There are no administration fees either. Only “market orders” and “limit orders” cost one euro.

origin Netherlands
founding year 2014
target group “New generation” of investors
Banking license DNB
costs Commission-free
requirements SEPA account, open banking
Trading venues
platform iOS, Android and desktop
Savings plan No
Deposit insurance Up to 100,000 euros per investor

Robinhood

The US broker is known worldwide, but can currently only be used in the USA. It is still unclear whether and when Robinhood will come to Europe.

origin United States
founding year 2013
target group Young retail investors
Banking license No
costs No
requirements US citizenship and US residency
Trading center L&S Exchange
platform Desktop, iOS, Android
Savings plan No
Deposit insurance Up to $ 1.25 million per investor

Legal Notice:

The material contained in this post is for informational purposes only. Trending Topics does not recommend any action based on this information. The material is not to be construed as an offer or recommendation to buy or sell any security, or as investment advice. Furthermore, this information does not represent a guarantee that the systems described here are suitable or useful for an individual. Past performance is not an indicator of future price developments.

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