ADVANTAGES OF DISCOUNT BROKERS AT A GLANCE

Those who do not want to participate in securities trading on a regular basis and also do not want to pay high fees have nevertheless been able to find suitable providers for some years now. So-called discount brokers offer traders attractive conditions and still convince with a large selection and additional software. In the end, the biggest difference is the price and you can actually save money when trading via a discount broker and thus participate lucratively in trading. Many discount brokers offer you extensive advantages and allow professional and success-oriented trading. Nevertheless, you should pay attention to some aspects.

For example, you can save money on the issue surcharges for trading in shares with a discount broker, but the same applies to general trading fees. In many cases, discount brokers do not charge you any fees for account or securities account management. All in all, trading with shares can therefore be very cheap. One possible reason for this: The lack of branches. Discount brokers usually operate exclusively online and do not offer the convenience of branches. In the following you will find more information about discount brokers and the possibilities they offer. The focus is on the advantages for you as a trader and offers you a simple orientation.

What services discount brokers still offer you
Despite the low fees and lower costs, many discount brokers still offer you a lot of comfort and numerous possibilities as well as services. For example, with some discount brokers you can use a demo account and in this way get to know trading with shares easily and without financial risk. You can also get to know the trading platform provided by the broker. Often, these are also professional tools that offer you many possibilities for trading. In this respect, there are no major differences between discount brokers and regular providers.

Various discount brokers also allow you to take part in training courses and even hold seminars directly on site, which can help you with your trading. In this respect, with many discount brokers you still have the opportunity to participate effectively and extensively in trading and to benefit from numerous services. This shows that discount brokers offer you above all many different advantages. Especially for beginners, this offers a successful opportunity to familiarise yourself with trading and to benefit from low fees. You can find more advantages of discount brokers in the following guide.

2 Discount brokers offer you these additional advantages
With many discount brokers, you have the opportunity to participate in trading on various exchanges and trading venues and are not tied to individual trading venues – this is the case with many branch office providers. The costs and fees do not actually need to be mentioned separately at this point, but they are what offer you the greatest advantage with a discount broker. You can participate in trading at low cost and save money when trading shares easily and without any effort on your part.

In addition, the service at the so-called discount brokers is also very good in most cases. Even if there is often no investment advice and you cannot get help in choosing suitable shares, the provider often offers a lot of comfort. This is evident, for example, in the support, which is flexibly available to you and assists you with all kinds of questions and problems. You can also participate in mobile trading via app with the vast majority of discount brokers, so that there are no differences to other brokers in this area that would attract negative attention. Discount brokers are therefore the optimal solution for many traders who are interested in cost-effective yet professional trading.

Additional fees that trading can cause
At first glance, trading with a discount broker is unbeatably cheap. However, as with other providers, there may be additional costs with such brokers, which you should factor in in any case. Some of these costs may not be charged by other brokers. One possibility, for example, is order fees for execution by telephone. While order execution via the internet often only incurs low costs, telephone orders can sometimes incur significantly higher costs. You should therefore compare the conditions of the brokers before opening an account in order to get an overview.

If you also only occasionally participate in trading, you should also pay attention to whether account management is free of charge in any case or whether there may be fees that apply if you do not use the account. Many brokers charge for account management if the account is not used within a set minimum limit. Of course, this can also be the case with discount brokers. In and of themselves, however, discount brokers nevertheless offer the opportunity to participate in trading with shares very cheaply and lucratively and to be flexible in doing so.

3 Discount Brokers: Share trading for every trader types
A discount broker cannot be assigned to a fixed trader type. Normally, such a provider is equally suitable for every trader. So you can trade as an occasional trader equally successfully and cheaply as a trader who wants to invest large sums in shares every day. Discount brokers offer suitable cost models for trading for every type of trader, so that a high degree of flexibility can be found here. Trading with savings plans is also possible in many cases, so that you can also find and take advantage of flexible investment opportunities.

Discount brokers have long been established on the market and offer little difference to other providers. Above all, many branch providers suffer from this and lose customers who instead want to participate in online-based and significantly cheaper trading. You can save money in any case, and trading is identical. There are therefore several reasons for switching custody accounts, and for you, trading with a discount broker naturally offers many advantages. In trading itself, in the fees and also in many cases in the services offered, which you can take advantage of with a discount broker.

Flexible and extensive trading with a discount broker
With many discount brokers, you also benefit from a very extensive trading offer and the option to invest flexibly in different markets. Since this is usually also possible at very attractive conditions, trading with shares at a discount broker really is a good idea. Ultimately, however, you as a trader decide which comfort and service you want to make use of. Whether this includes on-site advice in the branch or whether you want investment advice depends entirely on you and should be taken into account when choosing a broker.

These discount brokers convince with favourable trading conditions
The market is now littered with numerous discount brokers and it can be difficult to keep an overview here. For this reason, you can get to know three providers in the following, which belong to the genre of discount brokers. The broker flatex is undoubtedly one of them and offers you a high standard. There are webinars and participation in share trading is possible for as little as 5.90 euros. The provider has also received several awards and has official regulation, so you can assume a high level of security.

You will find a free account for trading and professional trading software at Consorsbank. You can trade on more than 30 stock exchanges around the world with this provider and thus experience a great deal of flexibility and variety. In addition, real-time prices are available here and you have the option of using watchlists. With DAB Bank’s Discount Brokerage, you can benefit from a clearing account with interest on credit balances and thus enjoy an advantage even without active trading participation. From 4.95 euros, you can also trade in shares and also benefit from various trading options. Overall, the broker thus allows a lot of variety and offers you a lot of potential.