DEGIRO Tutorial & Review 2023: The best online broker to buy and trade stocks?

What is DEGIRO?

Founded in 2008 in the Netherlands, DEGIRO is a very popular online broker in Europe and offers services tailored to every type of investor. At the start, only professional investors could use the services provided on DEGIRO. However, in September 2013, the platform was opened to the public at large.

In 2014 DEGIRO was launched in France as well as eight other European countries. The platform is now available in 19 different European countries.

DEGIRO is ranked among the best brokers in Europe; it records more than a million users and approximately 25 million transactions. The trading interface available on the platform allows traders to invest and place their orders very quickly and easily. Moreover, this broker obtained more than 80 international awards, such as the “best broker” and “best mobile application” awards granted by the “Financial Times & Investors Chronicle” in 2018.

DEGIRO: key elements

• Website: degiro.co.uk/
• Fees and commissions : low
• Users : 1 million +
• Total number of transactions: 25 million +
• International awards: 80
• Available products: 8 (stocks, futures, investment funds…)
• Stock exchanges: 50

Order fees and pricing (stocks)

DEGIRO is renowned for offering low prices to its customers, among the lowest on the market as it stands.

For stocks that are listed in Euronext Paris, as well as in American stock markets (NASDAQ, NYSE…), DEGIRO does not apply any order fees. However, there is a €3.90 fee for other European stock exchanges (Germany, Switzerland, Poland, Belgium…), and a €5 fee for exchanges located in Australia, Hong Kong, Japan, and others like Singapore.

In addition to this, DEGIRO offers its users the possibility to invest in more than 200 (preselected) ETFs without incurring any brokerage charges. Certain conditions apply though; click here to read more about this

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Options and Futures (derivatives)

For most stock exchanges, the price on the derivatives market (options and futures) is set at €0.75 per contract.

Price for the connection to stock markets:

DEGIRO applies connection fees for certain stock exchanges, in order to offer more of them to its customers. Indeed, if you own stocks in your account, you will have to pay €2.50 per year and per stock exchange. This means that if you own stocks from two different exchanges:

• London Stock Exchange: €2,50 (transactions)
• NYSE: €2,50 (positions)

Your fees for this year will amount to €5 (2*2.50). These fees will only apply if you make transactions on the relevant stock exchanges or if you have placed positions there.

Note that connection fees are not applicable to the Euronext Paris & Brussels stock exchanges.

Other fees

Contrary to many other brokers, DEGIRO does not apply any deposit, withdrawal, or inactivity fees. In addition to this, you can deposit the amount that you want (no minimum).

Click here to learn more about the fees applied on this platform.

Our assessment of the DEGIRO platform

Pros

• Low fees and commissions, among the lowest on the market
• No deposit or withdrawal fees
• No inactivity fees
• Guides and tutorials available
• Leverage effect available
• Easy to use / intuitive trading interface

Cons

• Yearly connection fees of €2.50
• One single deposit method (bank transfer)
• No Equity Savings Plan wallet
• No forex currency

Mobile application

DEGIRO also put a mobile application in place, available in the App Store and Google Play. This app is adapted for investors and traders who wish to exchange stocks listed in more than 50 stock markets all around the world.

The trading interface is very easy to use and placing orders can be done without any hassle. As mentioned at the start of this article, this mobile application was granted an award by the Financial Times & Investors Chronicle in 2018.

How to sign up for DEGIRO?

First of all, click here to sign up for DEGIRO. Once on the website, you need to click on “Open an account” at the top-right of the screen.

Step 1: To start with select the country in which you live. In our example we chose France.

Step 2: After this, enter your personal information (email, user name, password) in the form that appears on the page. Then, click on “Open an account” in order to go to the next step.

At this point, you will receive a confirmation email. Consult it and log in to the website again in order to continue the sign-up process.

Good job, your account has now been created. Still, to complete your profile, you will need to provide some additional information in order to verify your identity.

Identity verification

Step 3: Make sure that you have your passport / identity card within reach, as well as your IBAN, then click on “Continue”.

Step 4: Once again, you have to enter some personal information such as your first and last name in the form. Then, click on “Continue”. Make sure that this information corresponds to what is indicated on your identity document.

Step 5: Select your country of residence and enter your phone number. After this, you will receive a confirmation code to verify this number.

Enter this code on the website, and click on “Continue”.

Step 6: Enter some additional information about your current place of residence. Once this is done, click on “Continue”.

To go on with the sign-up process, you need to download the DEGIRO app on your phone. It is available in the App Store and Google Play, just type “DEGIRO” in the search bar of your store to find it.

Step 7: Once you are in the application, access your account by clicking on the “Login” button.

Step 8: You now have to set a 5-digit connection code, in order to speed up the connection process on the mobile app.

Step 9: Click on “Continue” to go to the next page, which is about the verification of your identity document.

Step 10: Select the country that issued your identity document.

Step 11: After this, click on the type of document that you wish to use for your identity verification. You can choose between a passport and an identity card (residence permits and driving licenses are not accepted).

Step 12: Pick up your identity document and follow the instructions given by the application. Once the document has been scanned, check that all the information displayed is correct and click on “Continue”.

Step 13: Enter your city and country of birth, and click on “Continue”.

Step 14: If there is an NFC (Near Field Communication) chip on your identity document, scan it and click on “Continue”. Otherwise, you can move on to the next step by clicking on “No NFC available).

Step 15: To confirm your identity, you now need to take a few pictures of your face. To do this, click on “Continue” and follow the instructions.

Step 16: Once the selfie is validated, you need to confirm your position by activating the localization of your device. After this, click on “Continue”.

Step 17: Indicate whether or not you have a double nationality within the European Union. Click on the relevant box and then on “Continue”.

Step 18: DEGIRO will ask you whether you have a connection to the USA, in other words, if you are a “US person”. If it is the case, click “Yes” and if it is not, click “No”. Then, click again on “Continue”.

Step 19: At this point, you need to specify your professional status, the industry in which you currently work, and your current occupation. After this, click on “Continue”.

Step 20: Enter the IBAN corresponding to your bank account (or the sort code and account number for UK accounts), which will be used for your future deposits and withdrawals on the platform. Your account information must be identical to what was entered in DEGIRO.

The redirection to the next page can take a while, as indicated in the application. The loading can take up to a few hours, but if you find this duration abnormal, you can contact the platform’s customer service.

FACTA / CRS form

The sign-up process is not over yet, you still have to fill in a form to complete your profile.

Step 20: On the form page, you first need to select your main tax residence and enter your tax identification number.

If you are a tax resident in one or several other countries, tick the “Yes” box, otherwise tick “No”, and then click on “Confirm”.

Step 21: Tick the box that lets you accept the terms and conditions, and click on “Confirm”.

At this point, you need to choose a type of profile for your DEGIRO account. There are four different types, but at the moment only two are available: “Basic” and “Custody”.

Basic profile

This is the default choice made by most users. This profile grants you access to the vast majority of features available on DEGIRO and you will not have any distribution fees to pay. However, your financial securities may be “loaned” by the platform to investors who sell stocks that they do not yet possess. Although coming with a warranty of 104% of the stocks’ value, this still presents a minimal risk.

Rest assured though, your stocks are not held directly by DEGIRO but by SPV, a distinct legal entity.

Within the Basic account profile, two different sub-types can be chosen, “Active” and “Trader”, which you can then select. These types of accounts will allow you to use leverage effects, derivatives (options, futures), as well as short selling. Note that these services are not directly implemented in your “Basic” profile.

This is without a doubt the most advantageous profile type for a regular trader who has a long-term focus on financial markets.

Custody profile

If you choose the “Custody” profile type, your financial securities will never be loaned by DEGIRO, which makes it the safest option. However, you will also not be able to use leverage effect products, as well as derivatives. In addition to this, you will have to pay dividend distribution fees, as opposed to the Basic profile that is entirely free.

If you plan on using DEGIRO regularly and with a long-term approach in mind, we do not recommend choosing the “Custody” profile. Keep in mind that you will not be able to change this profile type down the line.

Step 22: Select your profile by clicking on the relevant “Continue” button.

You will be redirected to the “Placement services acceptance form”.

Step 23: Read through the license contract and tick the box at the end of the form. Then, click on “Continue”.

Step 24: Once again, tick the boxes at the bottom of the page in order to accept the terms and conditions. After this, click on “Continue”.

Step 25: There is another verification step that you need to go through. Enter the verification code you received on your mobile phone.

On the next page, you can download the signed contracts if you wish to do so.

Good job, your account has now been verified. There is only one thing left to do.

Step 26: You now have to transfer at least €0.01 on your DEGIRO account. To do this, log in to your bank account and add a beneficiary with the relevant information for DEGIRO. This information is available in the application. Note that you cannot use a Revolut, TransferWise, or Monese account to make this transfer.

The transfer can take up to 48h before it shows on the DEGIRO platform. Once the transaction is made, you will receive a confirmation email and your account will automatically be activated.

Knowledge test

There is one last step that is a suitability test. To complete it, you will need to answer a few questions that pertain to your studies and trading experience. Answer correctly and be honest, so that your profile only contains genuine information.

In addition to this, you will be presented with a trading quiz made up of 18 questions. If you pass this test, you will be able to start your adventure on DEGIRO.

How to secure your DEGIRO account?

In order to improve the security of your DEGIRO account, first go to your profile page by clicking on the tab at the bottom-left of the interface.

After this, click on the “Security” tab, and then activate two-factor authentication.

As is the case for most platforms, you will need the “Google Authenticator” mobile application, available on the App Store and Google Play. Next, click on “Enable”.

Lastly, scan the QR code displayed on DEGIRO, and enter the six-digit code that can be found in your mobile application.

Well done, two-factor authentication is now active and your account is protected from any suspicious login attempt. You will receive an email confirming this activation.

How to deposit money on DEGIRO?

There is only one way to make a deposit on DEGIRO, and it is by bank transfer. To deposit money on the platform, you simply need to click on “Deposit / Withdraw” at the top-right of the user interface.

Next, click on “Manual transfer to DEGIRO” in order to have access to the beneficiary’s information. Like you did when making the first transfer during the sign-up process, enter the elements that appear in your bank account.

Important: Make sure that you are using the bank account that is linked to your DEGIRO account and was previously recorded and validated by the platform.

How to buy stocks on DEGIRO?

At the moment, eight products are available on DEGIRO:

• Stocks
• Options
• Futures
• Leverage effect products
• Obligations
• Investment funds
• Trackers (ETFs)
• Warrants

Note that you will not be able to trade forex currencies, since they are not yet available in this online broker.

In our example, we will be buying Air France-KLM stocks.

To do this, go to the “Products” tab, and then to “Shares“, “France“, and click on “SFB 120“.

Once on the desired page, click on the “B” (Buy) that is just next to the stock’s name, to the left. If you want to have more information about the stock in question, simply click on “Air France-KLM”.

After this, enter the desired stock quantity, and click on “Confirm order” to go through with the purchase.

To have a look at all the stocks you possess, simply click on the “Portfolio” tab on the lefthand side of the trading interface.

How to change your profile type?

As explained in detail earlier in this article, there are four prile types on DEGIRO:

• Basic, associated with the “Active” and “Trader” profiles
• Custody

If you selected the “Custody” profile, you do not have access to the Active and Trader profiles. Again, these two profiles give users the opportunity to use more tools and options, such as leverage effects (in addition to services available for Basic users).

However, if you chose the “Basic” profile, you can select another account type if you wish to do so (Active or Trader). To do this, click on your profile, and then on the “Trading settings” tab.

After this, select the account type that suits you best and click on “Select account”.

Activate financial products

By clicking on the gear-shaped icon, and then on “Product settings”, you have access to a long list of tools and options that you can choose to activate.

Most of these tools are not automatically activated, but some of them may interest you. There, you can notably find leverage effect instruments, complex obligations, advanced derivatives, leverage effect ETFs, and more. To activate one of these services, click on the button that currently says “Off” and complete the required test. This test aims to verify your level of knowledge in stock trading.

Free training for customers

DEGIRO users have access to a completely free training scheme, containing lessons / guides pertaining to trading and investments. To start going through this material, click on the “Academy” tab on the homepage of DEGIRO.co.uk.

There, you will find many lessons about financial products, brokers, order types, and investments in general. In addition to this, six tutorial videos are also available in order to help you make investments on the platform.

Conclusion

In our opinion, DEGIRO is one of the best online brokers in Europe, in the current market. It enables all types of investors to trade easily and safely. Moreover, the platform offers very low fees, contrary to many other brokers. It also does not impose any deposit, withdrawal, or inactivity fees.

Introduced in 2008, DEGIRO is in constant evolution year after year, and offers regular updates and very innovative features. Furthermore, DEGIRO has a trading interface that is suitable for beginners as well as experimented traders.

Important: Investing in stock markets presents risks, take the time to establish a trading plan and do your own research on the platform that you wish to use.

Frequently asked questions about the DEGIRO online broker

What is DEGIRO?

DEGIRO is a very popular online broker in Europe, and offers many services such as trading stocks, ETFs, obligations, and leverage effect products.

What are the advantages of DEGIRO?

This broker offers many advantages to its users, such as the very low taxes / order fees it applies, a high number of products available, and an intuitive trading interface that allows customers to place orders easily and quickly.

Is it possible to buy cryptocurrencies on DEGIRO?

No, it is not possible to buy cryptocurrencies on DEGIRO. To do this, we recommend you use world-renowned exchange platforms such as Binance and FTX.

Does DEGIRO apply any inactivity fees?

No, there are no inactivity fees for DEGIRO users.

Is it risky to use DEGIRO to make investments?

DEGIRO is an extremely secure platform in which your data is protected, and hacking risks are absolutely minimal. However, there is no such thing as 0 risk, which is why we advise you to activate two-factor authentication in order to further diminish this risk.

Is an Equity Savings Plan available on DEGIRO?

No, the broker does not yet offer any Equity Savings Plan to its customers.

How to contact DEGIRO’s customer service?

To contact DEGIRO’s customer service, you need to click on the “Contact” button at the bottom of the website, or click on this link.

There is also an FAQ section available, which will probably answer many of your own questions.

Rating: 4.6/5 with more than 345 votes