Starting portfolio for someone with 0 experience


#44

The currency exchange is 0.1 not 0.5%. The Poor Swiss has made a nice article about the IB/Degiro comparison (https://thepoorswiss.com/comparison-brokers-interactive-brokers-tiered/) and also a spreadsheet to show how the fees change with different investments: https://docs.google.com/spreadsheets/d/15wCKnAF17WJdO8Aap8qzdBJPc83PLCSqxGn1cz3QUgA/edit#gid=0

Even when buying the non-free ETFs there is still a decent difference.


#45

I would think that even if you pay the full 10chf per month it is worth it being able to buy what you want and not be treated like a child by your broker


#46

I didn’t know this.
Probably because IB is an USA broker, so I didn’t checked it back then.
Also, I personally have no experience with an US broker, I don’t know what differencies it entails for me. Even knowing it cost so less I would have not gone the way of IB because it was already enough new stuff for me to figure out without adding having an US broker :slight_smile:

edit: and I just saw now that OP already started with IB. By all means, stay with it. Once you pull the trigger there is no reason to change to something where you pay more fees :wink:

edit2: just read IB has a yearly fee of 120 CHF if you’re under 100k. From this: https://docs.google.com/spreadsheets/d/15wCKnAF17WJdO8Aap8qzdBJPc83PLCSqxGn1cz3QUgA/edit#gid=0 it seems still less expensive than TW, but I guess it truly depends from everyone’s invested amount and number of ETFs bought and with which frequency.


#47

Maybe you should concentrate on fixing that problem. Or use a reseller like captrader or lynx or something, fee-free from 10k i think, all dealing and money should still go directly through IB

Don’t get so excited about it. First it doesn’t exactly cost a fortune to trade on US markets, 100k trade should cost a few dollars tops and second I’d be willing to bet IB’s order execution is superior to degiro (i.e. lower bid/ask spread, rebates from exchanges) so it might not be that free to you after all

No, they also operate from UK, and as a european customer you will be serviced by UK subsidiary and have no say in this matter


#48

You can then consider using Degiro up to 100k and then move to IB. Or just start with IB and focus on improving your income/savings rate.


#49

Yes, I agree, indeed that was my point and I’m trying to “fix” that problem but since I don’t make money appear out of thin air, and since at the moment it is objectively cheaper to invest in european funds on degiro rather than paying 120CHF per year on IB (although I guess that means being treated like a child) I was just asking advice on european funds to invest in the meantime, in particular for a good global ex-US ETFs. It’s ok anyway, I’ll keep searching.


#50

So as I said, captrader and lynx and some others resell IB’s services and don’t have maintenance fee from 10k balance or so. The catch is AFAIK transactions are a bit more expensive than through IB directly.