Best Online Broker in Germany [2021 English Guide]

Germany is not known to be a country in which many people invest in stocks; so you might wonder which the best online broker in Germany is. However, things change, more importantly, economies change. In times of extremely low interest rates, and the increasing popularity of neo-brokers in Germany, the traditional beloved savings account is no longer enough to grow your money and savings. 

Investing in stocks, options, and ETFs has become easier than ever, and more and more Germans, especially the younger generation, are entering the stock markets. To allow you an educated decision on which online broker service to use to build your portfolio, we have reviewed the best online brokers in Germany for you. 

Quick Comparison Of The Best Online Brokers In Germany

If you are short on time, and just want an answer. Here are the best online brokers in Germany:

  1. Trade Republic – free securities account and savings plans, mobile-only app in English, great for beginners.
  2. Scalable Capital – free securities account and 1 free savings plan, flat-rate plans for active traders, desktop, and app (only app in English).
  3. flatex – for advanced traders, domestic and international exchanges, German only, free savings plans.
  4. DKB – direct bank with checking & securities account, moderate savings plan pricing, not good for active traders, German only.
 Trade RepublicScalable CapitalflatexDKB
English Website or App pro checkpro checkx iconx icon
Free Securities Accountpro checkpro checkyes, for ETFs and funds, otherwise 0,1% per yearpro check
Cost per Savings Plansfree1 free
each extra costs €0,99
free€1,50
Cost per Order€1€0,99 or flat ratefree to €15,90€10 to €35
Number of Stocks & ETFs9.00011.5001 million1.5 million
Crypto Possiblepro checkyes, but only as ETPx iconx icon

Which Financial Products Can You Trade With An Online Broker in Germany?

Not all online brokers in Germany are built the same. Some are more streamlined and only offer orders at one or two exchanges, which allows them to offer very competitive prices. Others are much more complex and offer domestic and international trading with all possible investment types, at usually higher fees. The most common investment types with online brokers are:

  • Stocks
  • ETFs
  • Options
  • Derivatives
  • CFDs
  • Forex currencies
  • Cryptocurrencies

We only look at stocks, ETFs, and crypto investment possibilities for the scope of this guide.

What Are The Possible Fees Of An Online Broker in Germany?

Investing money usually costs money. I used to have my securities account with Commerzbank, which my dad opened when I was still a teenager. Since then, the online broker market has changed tremendously, and only a few years back did I realize that I paid several hundred euros per year in upkeep fees, which was totally unnecessary. This is when I started my research into online brokers and discovered multiple different options and fee schedules. The most common fees when it comes to online brokers are the following: 

Securities account fees

To invest in or trade with stocks in Germany, you need to have a specific securities account (Wertpapierkonto), also called a Depot. Similar to a regular bank account, you can find free and paid versions. This is usually a per month or per year cost; however, we will give you multiple online brokers that offer a free securities account.

Order placement costs

Most orders of stocks, ETFs, and other investment options carry an order fee, meaning the more active you are, the higher amount of fees you will pay. Unless you choose a broker, which offers trading flat rates, like Scalable Capital, ETF savings plans are usually cheaper (if not free!) than one-time orders. 

Which Is The Best Online Broker In Germany?

Here are our top picks for the best online brokers in Germany this year.

1. Trade Republic

Trade Republic was founded in 2015 and is a German securities trading bank with its own BaFin (German Federal Financial Supervisory Authority) license. Trade Republic was the first company to launch a mobile-only trading app in 2019, allowing trading on the go. The website and app are available in English. Next to the app, they are also revolutionizing the trading industry by offering commission-free trading. 

This means that their securities account and fixed monthly payments into savings plans in ETFs or stocks are entirely free of charge. You can choose from over 1.500 ETFs, 7.000 stocks and only need a minimum monthly savings amount of 10 euros to begin. That makes it a great platform for long-term investments and beginners. But also, more experienced day-traders can benefit from low fees per trade of only 1 euro and a selection of over 8.500 stocks and ETFs.

Since May 2021, Trade Republic also offers the purchase and selling of cryptocurrencies. Currently, their crypto portfolio includes the coins of Bitcoin, Ethereum, Litecoin, and Bitcoin Cash. Similar to stocks, the orders are commission-free, with only 1 euro of external fees. Your crypto gets stored in an external cold wallet by Trade Republic. However, it is important to note that you cannot payout your crypto coins with Trade Republic, meaning you can’t use your crypto to buy things.

You can deposit money into your account via bank transfer or via credit/debit card and Apple or Google pay, which is an instant transfer. 

Trade Republic Benefits:

✅ Website, app & customer service in English
✅ Easy & fast online account opening
✅ Free savings plans for 1.500 ETFs & 2.500 stocks
✅ Big trading portfolio of 7.500 stocks & 1.500 ETFs
✅ 4 cryptocurrencies available for trading
✅ Only 1 euro trading fee per trade 
✅ Transparent & cheap pricing
✅ No minimum initial deposit necessary
✅ No account management, withdrawal, or inactivity fees
✅ Customer support via chat, phone, and email
✅ Money deposits via bank transfer, credit/debit card & Apple/Google pay possible

Trade Republic Drawbacks:

⛔️ Purchases and trading only possible via mobile app and not on desktop 
⛔️ Support section is only available in German
⛔️ No chat or phone support – only contact form 

2. Scalable Capital

Scalable Capital was founded in 2014 in Munich and offers two different products: their robo-advisor (automated trading) and online brokerage (manual trading). During the scope of this guide, we will only focus on the online brokerage. Scalable Capital also operates under their own BaFin license as a trading bank and can be used on desktop and via their mobile app alike, making it a full-scale trading platform. However, the registration on the website is only available in German. For English usage, you need to use the app. 

Scalable Capital offers three different plans for their broker service. The Free Broker, which is great for beginners or long-term ETF investors, as it comes without a monthly fee. And the Prime Broker and Prime Broker Flex for 2,99 or 4,99 euros a month, which is a great option for active day-traders. We will focus on the Free Broker in this comparison.

Scalable Capital also offers crypto investment (Bitcoin, Ethereum, Litecoin, and Bitcoin Cash) only via ETPs (Exchange-Traded-Products) and not into the coins themselves. ETPs are securities that get traded at the stock exchange and which form the value development of cryptocurrencies. 

To transfer money into your trading account, you can set up a direct debit from your checking bank account or do a wire transfer. Credit/debit cards or Apple and Google pay are not possible.

Scalable Capital Benefits:

✅ App & customer service in English
✅ Easy & fast online account opening
✅ 1 free ETF or stock savings plan from 25 euros per month 
✅ Every extra savings plan for 0,99 euros per month
✅ Big trading portfolio of 10.000 stocks & ETFs and 1.500 ETFs for savings plans
✅ Only 0,99 euros trading fee per trade 
✅ No trading fee on PRIME ETFs from 250 euros
✅ Flatrate pricing for active traders
✅ Only 1 euro minimum initial deposit necessary
✅ No account management, withdrawal, or inactivity fees
✅ Blog, seminars & webinars to educate about finances and trading

Scalable Capital Drawbacks:

⛔️ Registration on website only available in German
⛔️ No direct investment into crypto possible 
⛔️ No money deposit via credit/debit card & Apple/Google pay possible

3. flatex

flatex homepage
Source: flatex translated by Google

flatex is the brand of the Flatexdegiro Bank AG, a more experienced online broker founded in 2006. They target active and well-informed traders who act independently and are confident in German, as there is no English website or app. The trading offer extends to all types of securities with trading opportunities on all German and many international stock exchanges and direct over-the-counter trading. 

flatex also offers over 3.000 free ETF and funds savings plans; however, because of the size of their portfolio, flatex is not the best option for beginners. However, it is a great option for advanced traders who would like to have access to a bigger trading portfolio than what Trade Republic and Scalable Capital offer. The pricing model is complex, depending on the exchange you are trading in.

The only possible payment option flatex offers is the traditional wire transfer to your cash trading account. 

flatex Benefits:

✅ Easy & fast online account opening
✅ Over 3.000 free ETF or funds savings plan 
✅ Massive trading portfolio of 1 million funds, stocks, ETFs, certificates, and more
✅ Blog, seminars & webinars to educate about finances and trading
✅ Customer service available via email and phone in German

flatex Drawbacks:

⛔️ Website and app only available in German
⛔️ No investment into crypto possible 
⛔️ No transparent pricing, as prices depend on the chosen exchange platform
⛔️ Securities account fees of 0,1% per year (except for ETFs and funds)
⛔️ No money deposit via credit/debit card & Apple/Google pay possible

4. DKB Broker

Screenshot of DKB Broker
Source: DKB translated by Google

DKB is a German direct bank that offers a free checking account and a free credit card. It also offers a free securities account with competitive pricing compared to traditional banks like Commerzbank, yet higher fees than the neo-brokers like Trade Republic and Scalable Capital. 

DKB offers banking and trading on desktop and via an app, however only in German. If you are already a DKB banking customer and would like to invest in an ETF savings plan, the DKB broker is a great option. Each ETF savings plan costs 1,50 euro flat per month, regardless of how high the amount, so it is especially attractive for higher saving amounts. 

The order price for stocks or ETFs outside of a savings plan ranges from 10 to 35 euros, depending on the amount and the chosen exchange. Due to these comparatively higher prices, DKB is not a good option for active day-traders.

The linked DKB checking account functions as a cash account, and any order amount will be pulled from that account. To access the DKB broker, you need to sign up for a DKB cash account first.

DKB Broker Benefits:

✅ Easy & fast online account opening
✅ Massive trading portfolio of 1.5 million tradable securities
✅ Free securities account
✅ ETF savings plan for only 1,50 euros per month
✅ Customer service available via email and phone in German

DKB Broker Drawbacks:

⛔️ Website and app only available in German
⛔️ No investment into crypto possible 
⛔️  Pricing per order varies between 10 and 35 euros
⛔️ No money deposit via credit/debit card & Apple/Google pay possible

How Do You Start Online Trading In Germany?

You can start online trading in Germany with 5 steps.

1. Compare online brokers and choose one

In this guide, we have already compared the four best online brokers in Germany for you, which should help you make a decision.

2. Open a securities account 

Once you decide on the online broker you want to use, you need to open the securities account (Depot). For the DKB broker, you first need to open a regular checking account. For example, for Trade Republic, you need to be older than 18 years and a tax-paying resident of Germany. You also need to have a European mobile phone number and a SEPA bank account.

You need to provide a reference account during the account opening, also called a cash or clearing account. This can be your regular checking bank account. This is the account you should use to wire money to the securities account and where any capital gains from selling securities will be transferred to. 

Additionally, you may be asked to answer questions for a self-assessment about your stock-market knowledge and experience. If you have no experience or won’t fill out the questionnaire, the online broker can exclude you from riskier trading products.

3. Get legitimized 

After completing the securities account application, you need to legitimize your identity. Usually, this happens digitally via Video-Ident with your desktop or your smartphone. Scalable Capital shares a list of all supported IDs for Video-Ident. If your passport is not supported, you can legitimize yourself at the nearest post office. Here you can find a list of all accepted passports for the physical Post-Ident. 

4. Transfer money into your securities account

You don’t need a big amount of money to start online trading. The smallest possible amount with Trade Republic is 10 euros per transaction. If you are looking for a long-term investment in an ETF savings plan, you can benefit from the compound interest. Already 25 euros per month can generate a comfortable amount of money over a span of 20-30 years.

5. Set up order or savings plan

This is the final step for you to start investing money online. Choose the ETF savings plan, stock, or fund you would like to invest in and set up the order within your online broker interface.

Conclusion

Entering the stock market in Germany has become easier and cheaper than ever before. Whether you are looking to invest long-term to complement your retirement or you want to actively day-trade for short-term wins (or losses), you can select the right online broker in Germany for your purpose. If you don’t have any experience yet, we suggest that you start small and continue educating your financial knowledge.

Trade Republic – best for beginners.
Scalable Capital – best for active traders.
flatex – best for advanced traders.
DKB – best for convenience for ETF saving plans, when also using the DKB checking account.

Disclaimer: Simple Germany or myself as an author do not provide investment advice or financial services. Please be aware that this article is intended to provide you a brief overview of investing in Germany via online brokers. It does not substitute any professional investment advice. You are responsible for your own risk if you decide to participate in any form of investment. Please note that no investment can guarantee a profit. Every investment is associated with risks and can lead to a complete loss of your invested money.