The Swissquote broker is a subsidiary of Swissquote Group Holding SA. It is a global financial organization based in Switzerland. The Swissquote broker was a reputable business in 1996. At the time of writing, they had 722 workers.
Although the company provides services in several nations, this study will concentrate on Switzerland. The Swiss Financial Market Supervisory Authority is policing this service (FINMA).
Swissquote is a publicly traded company with a banking license. Since they are required to provide comprehensive financial records, this listing makes Swissquote particularly transparent.
Swissquote has more than 400 000 users as of this writing. Access to equities, bonds, funds, Contracts For Differences (CFDs), and more are provided. 60 stock exchanges throughout the globe are accessible to them. They offer many more features than you could need if you’re a primary passive investor like me.
Along with stock market services, they also provide cryptocurrency services. But in general review, it is better to omit to talk about this section. I’d instead concentrate on their trading features. The two aspects are divided in their tools as well.
So let’s explore more what Swissquote provides as a broker.
Account Types for Swissquote
Swissquote offers four distinct account types:
- Trading. We are most interested in this account since it allows us to access stock market trading for our study.
- Forex. is an account for merchants of currencies.
- Robo-Advisory. Swissquote may be used as a Robo-Advisor as well.
- Crypto-Assets. is a unique account that allows you to trade many coins.
This evaluation is just concerned with trading accounts. If you are a passive stock market investor, you can also have experience with forex demo account in case if you need.
Swissquote Charges
You need to lower your fees over the long run. Prices for investing are pretty significant. As a result, we need to examine the Swissquote Trading Account costs.
Custody costs for the account will cost you 0.025%. The minimum charge for this fee is 15 CHF, assessed every quarter. Thankfully, there is a cap of 50 CHF per quarter. Your annual fee cap will thus be 200 CHF.
It is an acceptable charge in the context of Swiss brokers. But even so, this is still significant. The only cost you will pay for other trading fees is this custody fee. Both additional account maintenance fees and inactivity fees are nonexistent.
The finest tool for passive investors in Switzerland is an Exchange-Traded Fund (ETF), so let’s start there. ETFs are traded similarly to stocks. Thus most brokers charge the exact trading costs for both.
There is a little difference with Swissquote, however. On the Swiss Stock Exchange, certain ETFs—referred to as ETF Leaders—have a fixed trading charge of 9 CHF. You will pay 9 USD if the ETF is listed in that currency (and the same logic for GBP and EUR).
The ETF leaders may find Many Excellent Etfs from Vanguard, iShares, UBS, and other top providers. Therefore, you should be OK with the flat cost if you purchase your ETF on the Swiss Stock Exchange. The fees will be the same for equities and ETFs traded on other stock exchanges.
You then pay a charge depending on the transaction value for each stock exchange. For both purchase and sell activities, the fees are the same. The costs for the Swiss Stock Exchange (SWX), for instance, are as follows:
- 0 – 500: 9 CHF
- 500.01 – 2000: 20 CHF
- 2000.01 – 10’000: 30 CHF
- 10’000.01 – 15’000: 55 CHF
- 15’000.01 – 25’000: 80 CHF
- 25’000.01 – 50’000: 135 CHF
- From 50’000.01: 190 CHF
The costs for trading on the NYSE or Nasdaq in the United States are as follows:
- 0 – 500: 9 USD
- 500.01 – 2000: 25 USD
- 2000.01 – 10’000: 30 USD
- 10’000.01 – 15’000: 55 USD
- 15’000.01 – 25’000: 80 USD
- 25’000.01 – 50’000: 135 USD
- From 50’000.01: 190 USD
Particularly for small transactions, these fees are not low. For instance, a 2% fee will be charged if you purchase 1000 CHF shares. It would be best to exercise caution since 2% is a high cost. However, if you spend 10,000 CHF, you will have to pay 0.3% in fees. While still a sizable price, 0.3% is acceptable.
Additionally, these costs are relatively modest compared to Swiss brokers like Swissquote.
