To help you to find the best discount brokers in 2021 for citizens in Germany, we went ahead and did the research for you. So what did we focus on? Fees, fees, and fees. We don't like them and surely you don't either. Checking carefully, we uncovered all the hidden fees. After testing 97 brokers for fees and checking what markets and products they offer, 5 made it to the top. And now, without further ado...
The top 5 picks for the best discount brokers for German citizens in 2021:
- DEGIRO is the best discount broker in Germany in 2021. Low trading and non-trading fees, one free ETF trading per month.
- Interactive Brokers takes second place. Low trading fees, average non-trading fee, free stock and ETF trading for US customers.
- TradeStation Global rounds out the top three. Low trading and average non-trading fees.
- Zacks Trade, numero quattro. Low trading and non-trading fees, high fund fees.
- Firstrade just made it to the list at number five. Low trading and non-trading fees, free stock, ETF, fund and options trading.
| Broker | Info | Fees score | |
|---|---|---|---|
| #1 | DEGIRO | German-Dutch discount broker | 4.6 stars |
| #2 | Interactive Brokers | International broker providing all asset classes | 4.5 stars |
| #3 | TradeStation Global | UK-based global stockbroker | 3.9 stars |
| #4 | Zacks Trade | US discount broker | 4.2 stars |
| #5 | Firstrade | US discount broker | 4.6 stars |
What makes a good discount broker? Well, did we mention low fees? This holds for commissions, financing rates, and, let's not forget, non-trading fees like inactivity or withdrawal fees. The table above gives you a good hint; the scores include all fees, with 5.0 being the best. Besides low fees, a good discount broker should also offer access to a lot of markets and products. All brokers in our list offer real stocks, but we also looked into whether you can trade bonds, currencies and options.
These features may sound obvious and easy to list, but they're hard to figure out. We are testing brokers based on more than 300 criteria with real accounts and real money. We know what's up.
For a tailored recommendation, check out our broker finder tool. Just enter your country, and it will show you only the relevant brokers. Want more details? Compare brokers with this detailed comparison table.
And now, let's see the best discount brokers for German citizens in 2021 one by one, starting with the winner, DEGIRO.
#1 Best discount broker
DEGIRO
DEGIRO review summary
DEGIRO is a German-Dutch online discount broker. It was established in 2008 by former employees of another brokerage company in the Netherlands. DEGIRO merged with flatexDEGIRO Bank AG in early 2021, creating the biggest online execution-only broker in Europe with its own banking license.
DEGIRO is regulated by top-tier financial authorities such as the Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht, or BaFin) in Germany.
Disclaimer: Investing involves risk of loss.
Disclaimer for UK clients: Deemed authorised and regulated by the Financial Conduct Authority (FCA). The nature and extent of consumer protections may differ from those applicable to firms based in the UK. Details of the Temporary Permissions Regime, which allows EEA-based firms to operate in the UK for a limited period while seeking full authorisation, are available on the FCA's website.
Our overall DEGIRO rating
Compare this broker to the best DEGIRO alternative here.
Recommended for traders and investors looking for execution only
| Pros | Cons |
|---|---|
| • One of the lowest fees on the market | • Forex not available |
| • Regulated by top-tier authorities | • Limited research tools |
| • Easy-to-use web and mobile platform | • No credit/debit card deposit |
#1 DEGIRO
Fees
DEGIRO has low trading fees for all asset classes, from stocks to options; while US stock trading is free. Non-trading fees are also low, as there are no inactivity or withdrawal fees.
| Pros | Cons |
|---|---|
| • No inactivity fee | • Higher fees for Asian and minor European stock exchanges |
| • Low stock and ETF fees | • €5 monthly fee for trading US options |
| • Free US stock trading |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| US stock | $0.0 | $1.0 | $1.5 | $1.0 | $0.0 |
| UK stock | $2.8 | $4.2 | $2.4 | $16.8 | - |
| EURUSD benchmark fee | - | $10.5 | $10.5 | - | - |
| S&P 500 index CFD fee | - | $2.8 | $3.8 | - | - |
| US Treasury bond | - | $5.0 | $7.5 | $5.5 | $0.0 |
| US stock index options | $5.0 | $6.5 | $15.0 | $7.8 | $0.0 |
| Mutual fund | $11.1 | $15.0 | $25.0 | $27.5 | $0.0 |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Account fee | No | No | No | No | No |
| Inactivity fee | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#1 DEGIRO
Markets and products
At DEGIRO, you can access many markets and trade a lot of different products. CFD and forex are not available, though.
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | Yes | No | No |
| Funds | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | Yes |
| Options | Yes | Yes | Yes | Yes | Yes |
| Futures | Yes | Yes | Yes | No | No |
| CFDs | No | Yes | Yes | No | No |
| Crypto | No | Yes | Yes | No | No |
#1 DEGIRO
Account opening
The account opening process at DEGIRO is fast, fully digital, and no minimum deposit is required.
| Pros | Cons |
|---|---|
| • Fast | None |
| • Fully digital | |
| • No minimum deposit |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $1,000 | $0 | $0 |
| Time to open account | 1 day | 1-3 days | 1 day | >3 days | 1-3 days |
#1 DEGIRO
Deposit and withdrawal
DEGIRO deposits and withdrawals are free of charge via bank transfer. On the other hand, you cannot deposit funds using a credit or debit card.
| Pros | Cons |
|---|---|
| • Free withdrawal | • Credit/Debit card not available |
| • No deposit fee | |
| • Several account base currencies |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Bank transfer | Yes | Yes | Yes | Yes | Yes |
| Credit/debit card | No | No | No | No | No |
| Electronic wallets | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#1 DEGIRO
Verdict
DEGIRO is a good choice if you want a simple platform and don’t want to spend too much on fees.
Transaction costs are generally very low. In addition, the account opening process is fast.
On the other hand, as DEGIRO is an execution-only broker, research tools are limited. We should also mention that there is no forex trading, and most clients can only deposit and withdraw by bank transfer.
All in all, DEGIRO is a great online broker. There is no minimum deposit and no inactivity fee, so feel free to go ahead and give it a try.
| DEGIRO | |
|---|---|
| Summary | DEGIRO is a discount broker that merged with flatexDEGIRO Bank AG and is supervised by the German financial regulator |
| Fees score | 4.6 stars |
| Recommended for | Traders and investors looking for execution only |
#2 Best discount broker
Interactive Brokers
Interactive Brokers review summary
Interactive Brokers, one of the biggest US-based discount brokers, was founded in 1978. The broker is regulated by several financial authorities globally, including top-tier ones like the UK's Financial Conduct Authority (FCA) and the US Securities and Exchange Commission (SEC).
Given that the broker has licenses from multiple top-tier regulators, Interactive Brokers is considered safe. The fact that it has a long track record and publicly disclosed financials while being listed on a stock exchange all point to IB being a safe service provider.
Our overall Interactive Brokers rating
Compare this broker to the best Interactive Brokers alternative here.
Recommended for traders looking for broad market access and a professional trading environment
| Pros | Cons |
|---|---|
| • Low trading fees | • Complicated account opening process |
| • Wide range of products | • Complex desktop trading platform |
| • Many great research tools | • Understaffed customer service |
#2 Interactive Brokers
Fees
Interactive Brokers has low trading fees and the best margin rates in the industry. For US clients, stock and ETF trading is free if they choose the Lite plan.
| Pros | Cons |
|---|---|
| • Low trading fees | None |
| • Free stock and ETF trading for US clients | |
| • Low margin rates |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| US stock | $0.0 | $1.0 | $1.5 | $1.0 | $0.0 |
| UK stock | $2.8 | $4.2 | $2.4 | $16.8 | - |
| EURUSD benchmark fee | - | $10.5 | $10.5 | - | - |
| S&P 500 index CFD fee | - | $2.8 | $3.8 | - | - |
| US Treasury bond | - | $5.0 | $7.5 | $5.5 | $0.0 |
| US stock index options | $5.0 | $6.5 | $15.0 | $7.8 | $0.0 |
| Mutual fund | $11.1 | $15.0 | $25.0 | $27.5 | $0.0 |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Account fee | No | No | No | No | No |
| Inactivity fee | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#2 Interactive Brokers
Markets and products
At Interactive Brokers, you have access to an extremely wide range of markets and all product types are available.
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | Yes | No | No |
| Funds | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | Yes |
| Options | Yes | Yes | Yes | Yes | Yes |
| Futures | Yes | Yes | Yes | No | No |
| CFDs | No | Yes | Yes | No | No |
| Crypto | No | Yes | Yes | No | No |
#2 Interactive Brokers
Account opening
IB's account opening process is fully digital and the required minimum deposit is low. On the negative side, the process is complicated and account verification takes relatively long.
| Pros | Cons |
|---|---|
| • Fully digital | • Not user-friendly |
| • No minimum deposit for most account types |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $1,000 | $0 | $0 |
| Time to open account | 1 day | 1-3 days | 1 day | >3 days | 1-3 days |
#2 Interactive Brokers
Deposit and withdrawal
Interactive Brokers offers several account base currencies and one free withdrawal per month. The main drawback is that you can only use bank transfer.
| Pros | Cons |
|---|---|
| • No deposit fee | • Credit/Debit card not available |
| • Several account base currencies | |
| • First withdrawal free each month |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Bank transfer | Yes | Yes | Yes | Yes | Yes |
| Credit/debit card | No | No | No | No | No |
| Electronic wallets | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#2 Interactive Brokers
Verdict
Interactive Brokers is one of the biggest US-based discount brokers, regulated by several top-tier regulators globally. We recommend this broker both for advanced traders and for everyday investors who want to have access to many stock markets.
On the plus side, IB offers very low fees, a vast range of markets and products, and diverse research tools.
There are some drawbacks, though. We weren't satisfied with the quaity of the customer service and the account opening process is complicated. Unlike the web and mobile platforms, the desktop platform is complex and hard to get a handle on, especially for beginners.
If you have experience navigating complex platforms and enjoy transparent, low-cost trading, Interactive Brokers is a great fit for you.
| Interactive Brokers | |
|---|---|
| Summary | Interactive Brokers is a US discount broker. It is listed on a stock exchange and regulated by several authorities, including top-tier ones like the FCA and the SEC. |
| Fees score | 4.5 stars |
| Recommended for | Traders looking for broad market access and a professional trading environment |
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#3 Best discount broker
TradeStation Global
TradeStation Global is a brand of TradeStation International Ltd, which is based in the UK and is regulated by the top-tier Financial Conduct Authority (FCA).
TradeStation Global is a combined product offered by Interactive Brokers (IB) and TradeStation for clients outside the EU/EEA. Here are its most important elements:
- The account opening, deposit/withdrawal options, and available products are the same as at Interactive Brokers.
- You can use both Interactive Brokers's and TradeStation's own desktop platform.
- TradeStation Global charges its own fees, and offers its own customer support and educational tools.
Both Interactive Brokers and TradeStation are reputable brokers, regulated by top-tier financial authorities. While Interactive Brokers is listed on the NASDAQ, TradeStation itself is not: only TradeStation's parent company Monex is listed, on the Tokyo Stock Exchange.
Recommended for traders and investors looking for low fees and a wide selection of products
| Pros | Cons |
|---|---|
| • Low stock and ETF fees | • Only bank transfer allowed for deposit and withdrawal |
| • Wide range of products | • Complicated account opening |
| • Fast customer service | • Limited education materials |
#3 TradeStation Global
Fees
TradeStation Global has low trading fees, especially for stocks and ETFs. There's no inactivity fee and the first withdrawal each month is free. However, mutual fund fees are high.
| Pros | Cons |
|---|---|
| • Low trading fees | • High fund fees |
| • Low non-trading fees |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| US stock | $0.0 | $1.0 | $1.5 | $1.0 | $0.0 |
| UK stock | $2.8 | $4.2 | $2.4 | $16.8 | - |
| EURUSD benchmark fee | - | $10.5 | $10.5 | - | - |
| S&P 500 index CFD fee | - | $2.8 | $3.8 | - | - |
| US Treasury bond | - | $5.0 | $7.5 | $5.5 | $0.0 |
| US stock index options | $5.0 | $6.5 | $15.0 | $7.8 | $0.0 |
| Mutual fund | $11.1 | $15.0 | $25.0 | $27.5 | $0.0 |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Account fee | No | No | No | No | No |
| Inactivity fee | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#3 TradeStation Global
Markets and products
With TradeStation Global, you can access the same range of product types and exchanges as at Interactive Brokers. This selection is one of the widest among online brokers.
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | Yes | No | No |
| Funds | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | Yes |
| Options | Yes | Yes | Yes | Yes | Yes |
| Futures | Yes | Yes | Yes | No | No |
| CFDs | No | Yes | Yes | No | No |
| Crypto | No | Yes | Yes | No | No |
#3 TradeStation Global
Account opening
TradeStation Global's account opening is fully digital and fast, but the process is complicated, and there's a high $1,000 minimum deposit required in order to use TSG's own desktop platform.
| Pros | Cons |
|---|---|
| • Fast | • $1,000 minimum deposit required for desktop platform |
| • Fully digital | • Not user-friendly |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $1,000 | $0 | $0 |
| Time to open account | 1 day | 1-3 days | 1 day | >3 days | 1-3 days |
#3 TradeStation Global
Deposit and withdrawal
TradeStation Global offers many account base currency options and one free withdrawal per month. The main drawback is that you can only use bank transfer.
| Pros | Cons |
|---|---|
| • No deposit fee | • Credit/Debit card not available |
| • Several account base currencies | |
| • No charge for the first withdrawal each month. |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Bank transfer | Yes | Yes | Yes | Yes | Yes |
| Credit/debit card | No | No | No | No | No |
| Electronic wallets | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#3 TradeStation Global
Verdict
TradeStation Global has low stock/ETF fees, provides access to a lot of products and markets and has great customer support. The TradeStation Global desktop platform has great charting tools, plenty of indicators, highly customizable watchlists (Radar Screen) and a great programming tool (EasyLanguage).
On the other hand, the deposit and withdrawal process is not user-friendly and you can use only bank transfer. The account opening is complicated, and for full account verification to use the TSG desktop trading platform, a minimum deposit of $1,000 is required.
If you want access to IB's product range and an account with a slightly different fee structure, feel free to try TradeStation Global.
| TradeStation Global | |
|---|---|
| Summary | TradeStation Global is an introducing broker of Interactive Brokers. This practically means that assets and cash are held with Interactive Brokers, but services like fees and customer support are provided by TradeStation Global. TradeStation Global is regulated by the top-tier UK FCA. |
| Fees score | 3.9 stars |
| Recommended for | Traders and investors looking for low fees and a wide selection of products |
#4 Best discount broker
Zacks Trade
Zacks Trade is a US-based discount broker and a division of LBMZ Securities. LBMZ Securities was founded in 1978 and is regulated by the top-tier US financial authorities SEC and FINRA.
LBMZ Securities's clearing and execution services are provided through Interactive Brokers, a global stockbroker regulated by many top-tier financial authorities globally.
If you're familiar with the services of Interactive Brokers, you might notice that many of Zacks Trade's services are the same. To sum up:
- Zacks Trade has its own, different fee structure, product selection, educational tools and customer support. Unlike at Interactive Brokers, trading forex, CFDs and futures is not supported.
- The account opening and deposit/withdrawal processes, trading platforms and research tools are the same as at Interactive Brokers.
Zacks Trade is considered safe because it has a long track record and is overseen by top-tier regulators.
Since Zacks is more expensive than IB, why would anyone favor Zacks over Interactive Brokers? We found two possible reasons:
- Zacks falls under SEC regulation and users have SIPC protection, no matter where they live
- Zacks provides free broker-assisted trading
Recommended for traders and investors looking for comprehensive research tools, a wide product selection and low fees
| Pros | Cons |
|---|---|
| • Low fees | • Complex desktop platform and research tools |
| • Extensive stock and ETF selection | • Slow and complicated account opening |
| • Great customer service | • No futures and forex |
#4 Zacks Trade
Fees
Zacks Trade has low trading and non-trading fees. Its stock, ETF and bond trading fees are especially low, while mutual fund fees are quite high.
| Pros | Cons |
|---|---|
| • Low stock and ETF fees / Free stock trading | • High fund fees |
| • No withdrawal fee | |
| • No inactivity fee |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| US stock | $0.0 | $1.0 | $1.5 | $1.0 | $0.0 |
| UK stock | $2.8 | $4.2 | $2.4 | $16.8 | - |
| EURUSD benchmark fee | - | $10.5 | $10.5 | - | - |
| S&P 500 index CFD fee | - | $2.8 | $3.8 | - | - |
| US Treasury bond | - | $5.0 | $7.5 | $5.5 | $0.0 |
| US stock index options | $5.0 | $6.5 | $15.0 | $7.8 | $0.0 |
| Mutual fund | $11.1 | $15.0 | $25.0 | $27.5 | $0.0 |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Account fee | No | No | No | No | No |
| Inactivity fee | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#4 Zacks Trade
Markets and products
Zacks Trade offers international stocks, ETFs and bonds, which is fairly unique for a US broker, as well as US funds and options. However, you cannot trade futures or forex.
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | Yes | No | No |
| Funds | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | Yes |
| Options | Yes | Yes | Yes | Yes | Yes |
| Futures | Yes | Yes | Yes | No | No |
| CFDs | No | Yes | Yes | No | No |
| Crypto | No | Yes | Yes | No | No |
#4 Zacks Trade
Account opening
Zacks Trade has a fully digital account opening for clients all over the world, and there is no minimum deposit. On the negative side, we found the process slow and hard to navigate.
| Pros | Cons |
|---|---|
| • Fully digital | • Slow |
| • No minimum deposit | • Not user-friendly |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $1,000 | $0 | $0 |
| Time to open account | 1 day | 1-3 days | 1 day | >3 days | 1-3 days |
#4 Zacks Trade
Deposit and withdrawal
Zacks Trade offers one free withdrawal per month for nearly all base currencies. However, you cannot use credit/debit cards or electronic wallets to deposit or withdraw funds.
| Pros | Cons |
|---|---|
| • Free withdrawal | • Credit/Debit card not available |
| • No deposit fee | |
| • Several account base currencies |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Bank transfer | Yes | Yes | Yes | Yes | Yes |
| Credit/debit card | No | No | No | No | No |
| Electronic wallets | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#4 Zacks Trade
Verdict
Zacks Trade is a great US discount broker. It is a division of LBMZ Securities, which is regulated by the SEC and FINRA.
On the plus side, Zacks Trade has low fees, outstanding stock and ETF selections and great customer service.
There are some drawbacks though, as its desktop trading platform and research tools are quite complex. The account opening is complicated and slow. Unlike Interactive Brokers, Zacks doesn't support trading CFDs, futures and cryptos.
As Zacks Trade provides a demo account and doesn't require any minimum deposit, feel free to try it.
| Zacks Trade | |
|---|---|
| Summary | Zacks Trade is a US discount broker that also allows international clients to open an account. Zacks Trade is a division of LBMZ Securities, which is regulated by SEC and FINRA. Customers are protected by the SIPC scheme, up to $500,000 (including a $250,000 limit for cash). |
| Fees score | 4.2 stars |
| Recommended for | Traders and investors looking for comprehensive research tools, a wide product selection and low fees |
#5 Best discount broker
Firstrade
Firstrade is a US discount stockbroker regulated by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). The company was founded in 1985 under the name First Flushing Securities.
Firstrade is considered safe because it has a long track record and is overseen by top-tier regulators.
Recommended for beginners and investors looking for zero-commission trading, focusing on the us market
| Pros | Cons |
|---|---|
| • Free stock, ETF, fund and options trading | • No credit/debit cards and electronic wallets for money transfer |
| • Solid research tools | • You can trade only on US markets |
| • Quality educational tools | • No live chat or 24/7 availability |
#5 Firstrade
Fees
Firstrade has low fees. It offers free stock, ETF, funds, and options trading with low non-trading fees. However, margin rates are high.
| Pros | Cons |
|---|---|
| • Low trading fees | • High margin rates |
| • Low non-trading fees | |
| • Free stock, ETF, fund and options trading |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| US stock | $0.0 | $1.0 | $1.5 | $1.0 | $0.0 |
| UK stock | $2.8 | $4.2 | $2.4 | $16.8 | - |
| EURUSD benchmark fee | - | $10.5 | $10.5 | - | - |
| S&P 500 index CFD fee | - | $2.8 | $3.8 | - | - |
| US Treasury bond | - | $5.0 | $7.5 | $5.5 | $0.0 |
| US stock index options | $5.0 | $6.5 | $15.0 | $7.8 | $0.0 |
| Mutual fund | $11.1 | $15.0 | $25.0 | $27.5 | $0.0 |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Account fee | No | No | No | No | No |
| Inactivity fee | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#5 Firstrade
Markets and products
Firstrade offers a good variety of asset classes, from stocks to options. However, the products cover only the US market and you cannot trade futures or forex.
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | Yes | No | No |
| Funds | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | Yes |
| Options | Yes | Yes | Yes | Yes | Yes |
| Futures | Yes | Yes | Yes | No | No |
| CFDs | No | Yes | Yes | No | No |
| Crypto | No | Yes | Yes | No | No |
#5 Firstrade
Account opening
Account opening is fully digital and user-friendly, and is open to some international customers as well. On the flip side, the process was slow for us, taking almost 3 business days.
| Pros | Cons |
|---|---|
| • Fully digital | • Slow account verification |
| • No minimum deposit | |
| • Low minimum deposit |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $1,000 | $0 | $0 |
| Time to open account | 1 day | 1-3 days | 1 day | >3 days | 1-3 days |
#5 Firstrade
Deposit and withdrawal
We liked Firstrade's user-friendly deposit and withdrawal process. There is no deposit fee and transferring money is easy. At the same time, there is still room for improvement: you can use only bank transfers and a high fee is charged for wire transfer withdrawals.
| Pros | Cons |
|---|---|
| • No deposit fee | • Credit/Debit card not available |
| • User-friendly | • Only one account base currency |
| • High outgoing wire transfer fee |
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Bank transfer | Yes | Yes | Yes | Yes | Yes |
| Credit/debit card | No | No | No | No | No |
| Electronic wallets | No | No | No | No | No |
| Withdrawal fee | $0 | $0 | $0 | $0 | $0 |
#5 Firstrade
Verdict
Firstrade is one of the biggest discount US stockbrokers and is regulated by top-tier regulators.
Firstrade offers free stock, ETF, mutual funds and options trading. It doesn't charge inactivity and account fees, and there are lots of quality research and educational tools you can use.
Their services have some drawbacks, though. Firstrade doesn't accept credit/debit cards and electronic wallets for money transfer. The product portfolio covers only the US market. Customer service is only available 24/5 and you can't contact them via live chat.
As it has low fees and no inactivity fee is charged, feel free to try Firstrade.
| Firstrade | |
|---|---|
| Summary | Firstrade is a US discount broker regulated by the top-tier SEC and FINRA. |
| Fees score | 4.6 stars |
| Recommended for | Beginners and investors looking for zero-commission trading, focusing on the US market |
Best discount brokers
What makes a good discount broker?
You are probably curious how we came up with this list. To get a better understanding, let's discuss the following three points:
- What is a discount brokerage?
- Why do we think these brokers are safe?
- What were the most important factors when we picked the best discount brokers?
What is a discount broker?
A discount broker is a brokerage company that executes your buy and sell orders at a low trading fee. Discount brokers can afford to charge lower fees, since, unlike full-service brokers, they usually don't provide extra services like research, personal investment advice, tax planning or robo-advisory.
Discount brokers first appeared along with the rise of online broker services. Many brokerage companies started to provide their service online and fully automated via online trading platforms. An online trading platform is basically a website where you can insert your own orders, and while you get customer support, the broker offers no investment advice.
The difference between full-service brokers and discount brokers has blurred somewhat in recent years. Discount brokers started to offer extra services as well, like research; while full-service brokers started to lower their fees. The traditional brokerage and wealth management industry is under fee pressure from increasingly cost-effective online broker companies.
Many US brokers have slashed their fees to zero and now promote commission-free trading , following in the footsteps of brokers such as Robinhood. Drawbacks for some of these commission-free brokers include the limited number of assets you can trade (for example, bonds are less likely to be offered), so some investors and traders still prefer traditional discount brokers, where order execution also tends to be better compared with zero-commission brokers.
Are these brokers safe?
These brokers are all considered safe.. They are regulated by at least one top-tier authority. We at BrokerChooser distinguish between mid-tier and top-tier regulators, based on various factors with the most important being the investor protection amount. It is very unlikely that you will run into severe problems, and even if you do, you are protected by a top-tier regulator.
How did BrokerChooser pick the best discount brokers?
We tested brokers based on more than 300 criteria, with a real account and real money. When we selected the best discount brokers, the primary selection criteria were fees. Importantly, we only included brokers where you can trade real stocks. This means that we excluded brokers where stocks were only offered through CFDs.
We calculated the rankings based on trading fees for all asset classes, such as stock fees; as well as fees not related to trading, such as withdrawal fees. We also assigned a higher score to brokers that offer a wide range of asset classes, because providing low fees in more than one asset class is not an easy job. Note that our maxium score is 5.0 and the minimum is 1.0.
Lastly, we incorporated additional criteria to measure the overall quality of the broker: if the account opening process, customer service and other aspects of the broker are high quality, they all boosted the overall score.
Best discount brokers
Bottom line
You saw the details, now let's zoom out. Here are the best discount brokers in 2021 for citizens in Germany:
| DEGIRO | Interactive Brokers | TradeStation Global | Zacks Trade | Firstrade | |
|---|---|---|---|---|---|
| Fees score | 4.6 stars | 4.5 stars | 3.9 stars | 4.2 stars | 4.6 stars |
| Stock and ETF fee scores | 4.9 stars | 4.8 stars | 4.7 stars | 4.5 stars | 5.0 stars |
| Markets and products score | 3.6 stars | 5.0 stars | 4.9 stars | 3.5 stars | 2.8 stars |
| Account opening score | 5.0 stars | 3.2 stars | 2.5 stars | 2.5 stars | 4.4 stars |
| Deposit and withdrawal score | 3.3 stars | 3.0 stars | 3.5 stars | 3.5 stars | 2.0 stars |
| Visit broker | Visit broker | Visit broker | Visit broker | Visit broker |
DEGIRO is our winner, the best discount broker in Germany in 2021. Low trading and non-trading fees, one free ETF trading per month.
All of these brokers are considered a great choice. Pick the winner or any runner-up, and save a lot of money on fees. Let us know what you think in the comment section.
Still unsure? Check out our broker finder tool and find the best broker for you, or learn more about how to invest your money.
