Why „€0 fees“ are not free - and what costs newcomers really need to know

Viele Broker werben mit „0 € pro Trade“. Viele Einsteiger glauben deshalb, Aktienhandel sei kostenlos.

The truth is that there are visible and invisible Costs - and the invisible ones are often the most expensive.

This deep dive explains all costs clearly, simply and without marketing fog.

1. 🧾 Visible costs

These are the costs that the broker openly displays.

1. order fees

Classic direct banks:

• 4-10 € per order

Neobroker:

• 0-1 €

👉 For DAUs: Order fees are rarely a problem these days.

2. stock exchange fees

Some exchanges charge small additional fees (e.g. Xetra).

• 0.50-2.00 € per trade
• often generalised with neobrokers

👉 Small, but real.

3. external cost flat rates

Sometimes referred to as „third-party charges“ or „third-party costs“.

• 0,50-1,50 €
• depending on the exchange

👉 Also small - but available.

2. 🧊 Invisible costs (that really hurt)

These costs are seen not - but they are often much larger than the visible ones.

1. spread (bid/ask difference)

The spread is the difference between the buy and sell price.

Example:

• Purchase price (Ask): € 100.10
• Selling price (Bid): 99,90 €
• Spread: 0,20 €

This means: You lose 0.20 € per share, as soon as you buy.

Why is this important?

• For second-line stocks, the spread can be 1-3 %
• Often larger on Tradegate than on Xetra
• Particularly expensive for market orders

👉 The spread is the Biggest cost trap for beginners.

2. poorer design (slippage)

If you use a market order, the price may be worse than expected.

Example: You want to buy at €100 → Execution at €100.50.

Why?

• Order book is thin
• Your order meets higher prices
• Rapid market movement

👉 Slippage is invisible - but expensive.

3. currency translation costs

For US equities or other foreign currencies:

• 0.25-1.00 % per purchase
• 0.25-1.00 % per sale

👉 Many DAUs don't realise that they are Pay 2× (in + out).

4. choice of trading centre

Some neobrokers prefer to route orders to certain trading centres.

Consequence:

• wider spreads
• worse courses
• Less liquidity

👉 „0 € fees“ often means: You pay over the price.

3. 📅 Ongoing costs (not at the time of purchase, but in the long term)

1. custody account fees

Rare today - but some banks require it:

• 1-3 € per month
• or percentage custody fees

2. negative interest / custody fee

It is becoming rarer, but still exists at some banks.

3. costs for savings plans

Many brokers: 0 € Some: 1-2 € per execution

👉 Very relevant for small savings instalments.

4. 🧭 Which costs are really important

1. spread

The largest, invisible cost factor.

2. currency translation

Especially for US equities.

3. slippage

Market orders can be expensive.

4. choice of trading centre

Tradegate vs Xetra often makes 0.1-0.5 % difference.

👉 For DAUs: Price quality > Fee level.

5. ⚠️ Typical beginner's mistakes

❌ „I use the broker with €0 fees“

→ and pay 0.5-1 % over the spread.

❌ Market order for second-line stocks

→ Catastrophic design possible.

❌ US equities without currency fees to consider

→ 2× conversion = 2× costs.

❌ Savings plans with high fees

→ Extremely expensive with a €25 savings instalment.

❌ Wrong trading centre

→ Poorer prices, wider spreads.

6. 🧠 What beginners should learn from this

• Costs are more than fees.
• Spreads are real costs - often the biggest.
• Market orders are expensive, limit orders are safe.
• Currency conversion can eat into returns.
• The best broker is the one with the best execution, not the lowest price.

📝 Conclusion

Share trading costs consist of much more than just order fees. Spreads, slippage, currency conversion and choice of trading centre are the real cost traps - and they affect beginners in particular.

If you understand these costs, you will save a lot of money in the long term and make better decisions.