STEP 7 - FINDING A BROKER (one broker wins in 2022)
STEP 7 HOW TO FIND A BROKER
Brokers are tricky, and not finding the right one can lead to unnecessary hustle down the road. No broker is perfect but there are a few things to think about before selecting one:
- Fees of course (but today we are in a low cost or no cost fee world which is just beneficial to us.
- Street's name or own name? The risks in the street's name seem equal to those in own name, so...
- How sophisticated are you now and how will you be? Options, Margin etc.
- Are you going international?
- Taxes - for this one, you have to contact your broker options and see.
I've made a video about this, BROKERS VIDEO, and the conclusion is simple, for me, but also coming from your comments - most users use INTERACTIVE BROKERS as it gives the most options for investing. It is a bit complex, but we will explain that in 2022. It allows for margin, options and covers the largest amount of exchanges with low currency fees - INTERACTIVE BROKERS (affiliate link so if you just click on that, I get a small fee - thanks). I have been using Saxo bank lately but the fees are outrageous, both the custody fee and the currency exchange fee :-(
A bit les powerful, but still ok for Europeans, especially thanks to the automated tax for many, and I use it for the Large portfolio, that makes many transactions, I use DEGIRO (affiliate link - I get a small fee if you open an account). That is actually my mother's Dutch account and the benefit is that all the accounting and tax related things are done automatically by DEGIRO.
Always keep in mind: “Investing involves risk of loss”
Enjoy the content,