The Best ETF Brokers in Europe

Exchange-traded fund (ETF) investing is more attractive than direct investments in one asset. This is due to factors such as lower volatility and diversification. Brokers offer ETFs on their platforms, just like stocks or Forex.

It can be difficult to find the best ETF brokers in Europe due to each broker’s many different services. You must, for example, consider how many ETFs will be available to you, what fees you will incur, which trading platform you will use, and the regulatory authority that supervises your broker.

1. Best for Social Trading and Commission-Free Investing
2. Best for the largest ETF offerings
3. The best ETFs to invest in certain European countries without commissions are XTB.

eToro

eToro is a leading global online broker and one of Europe’s most popular ETF brokers. The social trading platform allows you to copy successful traders’ trades. eToro is a community with over 30,000,000 investors and access to 3,000 products, including 260+ exchange-traded funds.

You can fund your account using various methods, including credit cards or debit, PayPal, Skrill, bank transfers, etc. The minimum Deposit at eToro is $10, but it varies by country. we do not charge a deposit fee; certain ETFs are available without commission.

• Available Products- Indices, Commodities, and Forex CFDs.
• Minimum Deposit- $50 (it varies between countries)
• Regulators- FCA, CySEC, ASIC
• ETF fees- $/EUR0 (not all ETFs are commission-free)
• Number of ETFs- 260+

Interactive Brokers

Interactive Brokers offers a wide range of ETFs. You can trade virtually any financial instrument, including stocks, Forex, commodities, futures, Forex, and bonds. The company was established in 1978 and is regulated under many high-level regulators, such as SEC and FCA.

Interactive Brokers is a good option for investors of all types. The web-based Client Portal GlobalTrader Mobile App and the professional Trader Workstation Platform (TWS) are all very easy to use and designed. However, a novice may feel overwhelmed by the sheer number of options.

Accounts may be opened with no deposit minimum. Deposits are made via bank wire transfer. ETF trading fees are tier-based and depend on your exchange and the amount of trades you make. The fees for most EU-listed exchange-traded funds are 0.5% of the trade value, with a fee minimum of EUR1.25 up to a maximum of EUR29.00.

• Available Products: Stocks, Options and Futures, Commodities and Bonds, Forex and Futures, Commodities and Futures.
• Minimum Deposit- EUR/$/PS0
• Regulators- FINRA, SIPC, SEC, CFTC, IIROC, FCA, CBI, AFSL, SFC, SEBI, MAS, MNB
• The ETF fee varies by exchange and is based on a tiered pricing system. Minimum: EUR1.25; maximum: EUR29.00
• Number of ETFs- 13,000+

XTB

XTB comes last on our list of the best ETF brokers in Europe. It was established in 2002 and is listed on the Warsaw Stock Exchange. Over 400,000 customers can trade stocks, CFDs, and ETFs in indices, commodities, Forex, and cryptocurrency. Its excellent reputation is mainly because of its low pricing, which varies according to your account type and customer service quality.

XTB’s regulation is overseen by several regulators of the highest level, including FCA, KNF CySEC, CNVM, and IFSC. Fees depend on your account type (standard, pro, or premium) and country. Spreads are competitive and generally low. Recently, XTB began offering ETFs and stocks (without commission) in the following European Countries.

After opening an account with xStation, you can access two different trading platforms. The xStation 5 is the most customizable but a little complicated for beginners.

• Available Products- Indices, Commodities, and Forex. Stocks, ETFs. CFDs.
• Minimum Deposit- EUR/$/PS1
• Regulators- CySEC, FCA, KNF, CNVM, and IFSC
• Fees for ETF-$/EUR/PS0 only applicable to certain European countries
• Number of ETFs- 100+

What Is ETF Trading?

Exchange-traded funds (ETFs) are securities that track a basket market assets. You can purchase or sell them through your broker. ETFs track an index such as S&P 500 or Dow Jones Industrial Average. traded on exchanges like shares, with ticker symbols showing intraday prices. Trading ETFs can give you exposure to almost any industry or market. we can also be a great tool for diversification.

Who Should Invest in ETFs?

If you want to diversify your portfolio, ETFs are a good option. Trading fees for ETFs are typically lower than those of mutual funds. ETFs are also more tax-efficient than actively managed mutual funds. Investors can buy and sell ETFs at normal trading hours because ETFs are traded like stocks.

ETFs may be worth your consideration if you’re looking for this benefit and want a passive investment without constant upkeep. All investors can benefit from ETFs. Experienced investors can use ETFs as an alternative to specific asset classes and markets when establishing trades that involve multiple assets or needs.

What Should You Consider Before Choosing an ETF Broker

Look for similar features when choosing an ETF brokerage:

• A strong reputation in the industry.
• Compliance with current security standards.
• Good customer service.
• Affordable costs.
• Powerful trading tools.
• Educational material.
• The ability to access the markets you wish to trade.

It would help if you also chose a brokerage that offers a powerful ETF screener and ETF research. This will help you to find the right investment. It would help if you also read the ETF prospectus to find out more information about the ETF, such as who is managing the ETF, its historical performance, what it holds, etc.

Why Invest in ETFs?

Young investors, recent graduates, and other newbies will love ETFs as are an inexpensive way to diversify their portfolios. an excellent choice compared with mutual funds because of their lower expense ratios and greater tax efficiency. You can also trade them anytime, even during the market hours.

Trading ETFs is easy since transactions are made on exchanges that follow a regulated system. ETFs are available for margin trading, do not have restrictions on short selling, offer intraday opportunities, and provide plenty of liquidity. Many ETFs can be traded on margin, and traders can use derivatives to reduce portfolio risk.

Who Should Invest in ETFs?

If you want to diversify your portfolio, ETFs are a good option. Trading fees for ETFs are typically lower than those of mutual funds. ETFs are also more tax-efficient than actively managed mutual funds. Investors can buy and sell ETFs at normal trading hours because ETFs are traded like stocks.

ETFs may be worth your consideration if you’re looking for this benefit and want a passive investment without constant upkeep. All investors can benefit from ETFs. Experienced investors can use ETFs as an alternative to specific asset classes and markets when establishing trades involving multiple assets or markets.

ETF Trading Fees at the Best ETF Brokers

The cost of an EFT transaction is often the deciding factor when choosing a broker. Trading fees are difficult to compare for ETFs. BrokerChooser compares brokers by computing all fees for an average trade: buying ETF shares at $2,000 and holding them for one week before selling. The table below shows the results of the top ETF brokerages.

What Makes a Good ETF Broker?

Top financial institutions have regulated the best ETF brokers. The Deposit and withdrawal of money should be possible using traditional methods like bank transfers, credit cards, debit cards, and other simple and quick methods.

Many brokers provide commission-free ETF trades. However, other fees like inactivity, Deposit, or withdrawal fees are also low. A good broker will offer customers a demo trading account, the most effective way to try out the broker’s platforms.

Conclusion

Finding the best ETF Broker in Europe can take time due to the many available brokers. Each broker offers different features and pricing. This list was compiled after we compared the features and pricing of major European brokers.

The list contains brokers offering many global ETFs that differ from other brokers. Visit our broker’s reviews page for an in-depth and unbiased review of the services provided by various brokers. You can also use our dynamic comparison tool to compare top brokers within your country.

FAQ’s

How are ETFs taxed in Europe?

The tax treatment for ETFs in Europe varies from country to country. ETFs can be taxed on capital gains or dividends.

Exist tax-efficient ETFs?

Some ETFs have been designed to minimize the impact of taxes on investment returns.

Is there a tax withheld on ETFs traded internationally?

Many countries do impose a withholding tax for international dividends received from ETFs. Tax treaties among countries may affect the rate of withholding tax.

Are ETFs suitable for beginner investors?

ETFs are a good choice for new investors due to their accessibility, simplicity, and diversification.

How much capital do I need to invest in an ETF?

No, ETFs allow you to invest with a relatively small amount of capital, making them accessible to investors with different budgets.

How often can I trade ETFs?

Like stocks, ETFs are traded continuously throughout the day. Investors can react to changes in the market quickly and with greater flexibility.

Can ETFs provide consistent income?

Certain ETFs, such as bonds and dividends, can generate a consistent income stream through dividends or interest payments.