These reserves have the potential to save you approximately 800 euros.
Investment accounts for wealth growth? Some Germans swear by them. Those aiming for the highest returns should go for the most advantageous account.
Bank, online bank, or trading platform? Those looking to invest their savings in an investment account have numerous choices. Before opening the first account, a thorough market analysis could be beneficial - as custody fees and transaction fees can differ considerably, impacting returns.
The publication "Finanztest" (issue 11/2024) examined 39 offers - for three model portfolios each worth 12,000, 50,000, and 150,000 euros, containing an appropriate mix of equities and ETFs, as well as a certain amount of buying and selling operations. The outcome: By intelligently selecting or switching their account provider, consumers could save over 800 euros annually.
Costs are not everything
Unsurprisingly, the most affordable providers are the trading platforms. Front-runners include Finanzen.net Zero, Smartbroker+, Tradegate Direct, and Traders Place. With all four providers, no fees are charged for any of the model portfolios. Justtrade, N26, Scalable Free Broker, and Trade Republic also have relatively low fees (maximum 12 euros annually).
Neither traditional banks nor branch banks can compete. The most favorable among the branch banks is Santander's online securities account, with annual fees of up to 119 euros. With other providers, the annual fees can reach over 800 euros, depending on the portfolio value and number of trades.
Yet, investors should not solely focus on costs when selecting their account provider. Considerations such as the variety of trading platforms, tradable securities, client service, and advice are also essential. Particularly for beginners, advice could be beneficial. Those interested in investing in unconventional stocks, ETFs, or bonds might not find a suitable provider with every choice.
Investors should carefully consider the variety of trading platforms and tradable securities when selecting an account provider, as this can significantly impact their investment strategy. Additionally, maintaining a secure and reliable custodian for their securities is crucial for protecting their wealth, ensuring their long-term investment growth.
