DEGIRO review
8
(our review)
DEGIRO is an online broker with low transaction fees and a wide range of investment options. In our review DEGIRO scores a 8 out of 10, and for the staff of Investment Platforms.EU it is the preferred platform. For this review, two new accounts were created, and investments were made over several months in various stocks, ETFs, and options.
Contents:
Please note: investing money involves risks, and you may lose (a part of) your investment.
What defines DEGIRO?
DEGIRO was established as an online excecution-only stock broker for investors who actively trade in stocks, bonds, ETFs, or options at low fees.
It is an excellent choice for investors who prefer to decide for themselves what to trade. In the Netherlands, DEGIRO is even the market leader.
For us, the editors of Investment Platforms.EU, it is even the preferred platform. We especially value the low spread costs, the wide range of investment options and the good information provided.
However, there are also some disadvantages. DEGIRO does not give interest on uninvested money, does not offer fractional investing and has limited advice and customer service options. If you prefer not to spend too much time researching and mainly want an easy way to build wealth in the long term, other platforms can be easier to start with.
DEGIRO is often compared to Interactive Brokers, Trade Republic and eToro.
User-friendliness of DEGIRO
How easy it is to invest with DEGIRO depends on your knowledge and experience. As active users, we trade on the mobile app of DEGIRO. It provides a professional platform with many trading options, yet all buttons and actions are easy to find and navigate quickly.
However, DEGIRO does not provide personal advice. This means you need to know what to invest in and search for these investments using the search function. For beginner investors who prefer detailed guidance, DEGIRO may not be the best choice.
The website does include explanations of all investment products, such as ETFs, REITs, and options, along with how they work. Still, you will need to determine which ETF or REIT best fits your goals on your own. If you prefer to discuss transactions with a representative or want advice on building a solid portfolio, another platform might be more suitable.
Buying on DEGIRO
Making an investment as a beginner requires some effort. When purchasing an investment product, you will see a menu with options like “Limit Order,” “Market Order,” “Stop Loss,” or “Stop Limit Order.” These terms are not explained in the app itself. While there are videos with explanations available on the website, it is inconvenient that you cannot access these explanations directly in the app.
Customer service limited as well
Users are sometimes critical of the customer service as well, particularly regarding response times and the quality of replies. This is often voiced by beginners, who expect a more warm welcome on the platform. The staff of Investmentplatforms.eu contacted them with questions, and received helpful assistance.
In the Netherlands, where we tested the platform, the service is available by phone in Dutch until 5:30 PM. After that, support may be provided in English. Waiting times on the phone can occur, which is why we found email support more convenient.
The customer service was adequate but not outstanding. DEGIRO is especially recommended for those who already have a clear idea of what they want to invest in and are looking for a fast mobile app or online platform that quickly provides the right options. Experienced investors often find the process intuitive and are typically very positive about the platform’s ease of use.
Investment options
When it comes to investment options, DEGIRO is a really strong platform. It offers a wide range of investment products. You can trade on 50 stock exchanges, including Euronext, Xetra, Nasdaq, and NYSE, across 30 countries. For Euronext, it provides free real-time prices.
Additionally, DEGIRO offers extensive financial data, ratios, and charts when you explore investment pages. If you are primarily looking for accurate information on stocks, ETFs, bonds, or options, DEGIRO is highly recommended. In terms of investment products, it is one of the better brokers in Europe.
However, the platform is somewhat traditional. For example, DEGIRO does not offer interest on uninvested balances, fractional investing in stocks or ETFs, or advisory services and recommendations.
Business or joint accounts
DEGIRO is designed for individual investors. In 2018, it tightened its policies in collaboration with the AFM, the financial regulator in the Netherlands. Currently, it does not allow joint accounts, children’s accounts, or business accounts.
Pricing
DEGIRO uses a tiered pricing structure. Especially if you invest larger amounts, the low spreads and fixed transaction fees are a big advantage. At first, DEGIRO’s transaction costs may seem higher, but once your investment grows, the fixed fees can be a big benefit. For active investors, this is an important reason to choose the platform.
Be careful: DEGIRO often shows only the transaction fees. This can make options like the core selection look free. But because of administration fees, you still pay one euro per transaction. Besides transaction costs, there are a few extra charges, although these are usually low. For example, you pay up to 2.50 euros per year for each exchange you invest in. On our Dutch account, there are no costs for Euronext Amsterdam (AEX) or Brussels.
There are also fees for special services, such as phone orders, joining shareholder meetings, or moving your account. But for most investors, the main costs are transaction fees and administration fees. Fees also vary depending on the location of your account.
Fees for our Dutch account (including administration costs):
- Stocks
- Netherlands, Belgium: 3 euros
- USA, Canada: 2 euros
- Europe: 4,90 euros
- Other countries: 6 euros
- Trackers (ETFs, ETNs, ETCs):
- DEGIRO ETF Core Selection: 1 euro
- Worldwide: 3 euros
- Bonds:
- Selected countries (including Netherlands, Belgium): 3 euros
- Mutual funds:
- Core selection: One euro plus a 0.20 percent service fee for certain funds
- Other funds: Costs vary
- Options:
- Fees vary, typically 75 cents per contract.
Reliability and risks
New users must complete a series of tests before gaining full access to the platform’s functionality. Riskier products, such as options, are not immediately available. This approach helps protect inexperienced investors from major risks.
You can also choose between using a cash account or a more high-risk margin account, depending on your investment strategy.
DEGIRO’s growth and vision
In 2019, DEGIRO was acquired by Flatex but continues to operate independently. Over recent years, DEGIRO has been the market leader in the Netherlands and is one of the larger brokers in Europe, with ambitious growth plans.
FlatexDEGIRO is growing by approximately fifty percent annually and aims to serve over three million customers by the end of 2024. The company has even bigger goals for the future: “The group’s vision for 2026 is to serve more than seven million European customers and process over 250 million transactions per year,” according to its own statements.
DEGIRO is considered a robust and secure platform. Your investment account is opened with Flatex, a German bank listed on the SDAX. This means your account is covered by the deposit guarantee scheme. In the Netherlands, DEGIRO is regulated by the Authority for the Financial Markets (AFM).
Review score: 8
In our latest review, we rated DEGIRO 8 out of 10. It is the preferred platform for the staff of Investmentplatforms.eu, as it is an excellent choice for more traditional traders. Users who take the time to explore DEGIRO will find it to be a fast, user-friendly, and comprehensive platform for trading stocks and other investments. The mobile app is also very complete.
Limitations and alternatives
For us, DEGIRO is our preffered platform. However, in our review we noticed DEGIRO has some drawbacks for new or passive traders. For instance, it does not offer interest on available cash balances and does not yet support direct cryptocurrency investments like eToro does. However, DEGIRO plans to introduce cryptocurrency trading in 2025.
Fractional investing is also not available on DEGIRO. If you prefer passive investing with fixed monthly amounts in ETFs, Trade Republic could be a good alternative.
DEGIRO is best suited for active investors who prefer to manage their trades independently. While it provides extensive market information, it does not offer personalized advice or recommendations. The customer service focuses solely on questions about the platform itself.
