Hello,
I'm researching different brokers and have a couple of questions about what some of the charges they mention means and also if the conclusions I’m drawing are correct.
Background : NON-US citizen looking to passively invest in US, EU, Global ETF's.
I've looked in some detail at DBS, TD Direct, Saxo and IB.
DBS
+ no annual fee
+ good commission costs (16EUR) for under < 32,000EUR
- Dividend collection quarterly of 1%
- No online access to EUR markets
qu : They list a clearing fee of 0.0325%. What is this?
Conclusion : Access to German market is a deal breaker. The rest looks good
TD Direct
- Account Fee - EUR 45 (if no trades in a qtr)
- - qu : Is this every Qtr?
+ Good Commission costs US/Canada/UK - EUR 14.95, EU - EUR 29.95
+ Access to international markets
- Additional Maintenance Fee - EUR 25
- Add Exchange Fees - UK - 0.5%
- Transfer of securities to another institution - EUR 25 per position – Qu : what does it mean ‘per position’?
Conclusion : Too many fixed fees
Saxo
- High account minimums $10,000
- not easy to see charges/fees on the site. Could not find info on annual fee
+ Access to international markets
+ Commissions look ok
- $100 inactivity fee every 6 months
- Transfer out fee max 160 EUR (did not find this at 1st glance on the other companies but I assume they have them)
Conclusion : High barrier for entry and not transparent enough for my liking
IB
- High account minimums ($10,000 )
- Maintenance fee for inactivity ($10/month)
+ Commissions look ok (US minimum fund is $3000)
- $20 monthly cost (therefore $240 annual cost)
Conclusions : Regular fees look expensive for passive trading (monthly : $20 + $10)
I'm researching different brokers and have a couple of questions about what some of the charges they mention means and also if the conclusions I’m drawing are correct.
Background : NON-US citizen looking to passively invest in US, EU, Global ETF's.
I've looked in some detail at DBS, TD Direct, Saxo and IB.
DBS
+ no annual fee
+ good commission costs (16EUR) for under < 32,000EUR
- Dividend collection quarterly of 1%
- No online access to EUR markets
qu : They list a clearing fee of 0.0325%. What is this?
Conclusion : Access to German market is a deal breaker. The rest looks good
TD Direct
- Account Fee - EUR 45 (if no trades in a qtr)
- - qu : Is this every Qtr?
+ Good Commission costs US/Canada/UK - EUR 14.95, EU - EUR 29.95
+ Access to international markets
- Additional Maintenance Fee - EUR 25
- Add Exchange Fees - UK - 0.5%
- Transfer of securities to another institution - EUR 25 per position – Qu : what does it mean ‘per position’?
Conclusion : Too many fixed fees
Saxo
- High account minimums $10,000
- not easy to see charges/fees on the site. Could not find info on annual fee
+ Access to international markets
+ Commissions look ok
- $100 inactivity fee every 6 months
- Transfer out fee max 160 EUR (did not find this at 1st glance on the other companies but I assume they have them)
Conclusion : High barrier for entry and not transparent enough for my liking
IB
- High account minimums ($10,000 )
- Maintenance fee for inactivity ($10/month)
+ Commissions look ok (US minimum fund is $3000)
- $20 monthly cost (therefore $240 annual cost)
Conclusions : Regular fees look expensive for passive trading (monthly : $20 + $10)