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Best ETF Broker – 2024 List
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Best ETF Broker – 2024 List

created Paweł MosionekJuly 1 2023

Long-term investing, passive investing, saving for retirement... There may be many reasons, but the choice usually falls on one - ETFs. ETF Funds have gained enormous popularity in recent years, mainly due to their simplicity, general availability, low transaction costs, as well as great choice and possibilities in creating a complex investment portfolio. If you are looking for an offer to start trading ETFs and are wondering what the best ETF broker is, be sure to check out this article. We have prepared a list of the three most interesting offers on the market.

Investing through ETFs – what do you need to know?

ETF, i.e. Exchange Traded Funds are passive investment funds listed on the stock exchange. ETFs are intended to reflect the movements of a given index, group of shares, industry, raw materials or a given market. Unlike traditional investment funds, they are completely passive, i.e. their managers do not actively change the allocation of funds. The role of an ETF fund is to control the consistency of the ETF price with a given instrument (e.g. index).

Brokers often also offer, in addition to classic ETFs CFDs based on these instruments. This is an interesting alternative for people who would like to focus on trading ETFs, but more in the short term and thus increase the profit potential by using financial leverage (usually 1:5). Additionally, CFDs on ETFs usually also offer the option of short selling (playing on a decline in value), which may be useful during a bear market or when anticipating a downturn in a given industry or market.

What will be important for the investor?

Below we present the most key features when choosing an ETF broker from the perspective of the needs of an average investor.

  • A wide selection of ETF instruments – the more choice, the more possibilities.
  • Broker security – regardless of the investment purpose, ETFs are usually purchased for a long term (from several months to several dozen years). For this reason, the final value of the investment is often significant. Therefore, our priority should be the safety of the investment location, i.e. choosing a financially stable company, regulated by good supervisory institutions and customer service that we can always rely on.
  • Low commissions – investing in ETFs often means regularly purchasing additional shares for years or even decades, so it is worth ensuring that the costs associated with their acquisition are minimized.
  • A simple and friendly platform – unlike active short-term trading, investing in ETFs means peace of mind, stability and occasional visits to the platform, so we do not need a multitude of functions on platforms. A simple and user-friendly platform is a sufficient option.
  • Help in settling your tax – while settlement of Forex transactions with the tax office can be mastered in a very simple and quick way (e.g. through our application Forex Club - Tax), in the case of ETF instruments this process is definitely more complicated. By purchasing an ETF, we usually become shareholders in many different companies, often from all over the world. This means that we are subject to different tax regulations and different rates, and we also have to settle the dividends paid. Settlement reports can be up to several hundred pages long (!). Therefore, it is worth choosing a broker who will prepare a statement for us that will make it easier to settle the ETF tax.

Do other elements, such as the educational base, not matter? In our opinion, in the context of ETFs, no. Practically the 5 factors mentioned above are the key to effective long-term investing in these instruments and if we find an offer that meets all of them, we practically have the perfect choice.

The best ETF broker – small but strong competition

The best ETF broker

For example on XTB Today, we find over 3500 equity instruments and 400 ETFs, incl Saxo Bank over 19 companies and 000 ETF funds, incl Exante as many as 50 shares and 000 ETFs.

Broker xtb 2 saxo bank logo small exante logo male
Country Poland Denmark Cyprus
Number of exchanges on offer 16 exchanges 37 exchanges 50 exchanges
Number of shares in the offer approx. 3500 - shares
circa 2000 - CFDs on shares
19 - shares
8 - CFDs on shares
50 - shares
The amount of ETF on offer approx. 400 - ETF
approx. 170 - CFD on ETF
3000 - ETF
675 - CFD on ETF
10 - ETF
Commission 0% commission up to EUR 100 turnover / month according to the price list according to the price list
Min. Deposit PLN 0
(recommended min. PLN 2000 or USD 500, EUR)
0 PLN / 0 EUR / 0 USD 10 000 EUR
Tool xStation SaxoTrader Pro
Saxo Trader Go
Exante platform
 

 

XTB

XTB is the largest broker in Central and Eastern Europe. The brand has been present on the market since 2005 and has come a long way to become a leader in the region. The xStation platform by XTB is highly rated by traders for its intuitive use, functionality and reliability. This, combined with high-quality free educational materials and a very wide offer (nearly 6000 instruments), attracted a real sea of ​​​​investors. One of the key features of the offer is also the ability to buy shares and ETFs without commission up to a turnover of EUR 100 per month.

Saxo Bank

Saxo Bank is a Danish banking institution that focuses its activities on offering investment intermediation services. The broker impresses with the number of instruments available in its offer, of which there are approximately 50. An additional advantage is a very high level of security due to being subject to banking supervision, and thus covering customer funds with 100% protection of the bank guarantee fund up to the amount of EUR 100.

Exante

Exante is an international intermediary in trading financial instruments in the conflict-free DMA model. The distinguishing factor is primarily the fact that it offers access to as many as 1 instruments on over 000 markets. Customers have access to over 50 shares and 000 ETFs, with the option of adding instruments not available on the platform (just report the desire to trade a given asset to the broker's staff). This makes Exante the perfect choice for trading ETFs.

Passive or active investing?

Buying an ETF is simple and quick. But it's always worth having a plan. However, to have a plan, you must first define your goal. And that's where you have to start. When determining whether you want to multiply your capital through an ETF, save for retirement or your children's future, or protect your funds against inflation, you immediately define the level of acceptable risk. This, however, naturally suggests the proportions in the portfolio, where ETFs based on bonds (low risk), shares (high risk) or raw materials may have different values. Diversification is a desirable element when constructing a portfolio, but remember that excessive diversification makes it difficult for you to monitor every component of your portfolio, which may ultimately translate into worse results.


CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. From 72% to 89% of retail investor accounts record monetary losses as a result of trading CFDs. Think about whether you understand how CFDs work and whether you can afford the high risk of losing your money.

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About the Author
Paweł Mosionek
An active trader on the Forex market since 2006. Editor of the Forex Nawigator portal and editor-in-chief and co-creator of the ForexClub.pl website. Speaker at the "Focus on Forex" conference at the Warsaw School of Economics, "NetVision" at the Gdańsk University of Technology and "Financial Intelligence" at the University of Gdańsk. Twice winner of "Junior Trader" - investment game for students organized by DM XTB. Addicted to travel, motorbikes and parachuting.