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When comparing online brokers in Germany, the most visible marketing claim is always free or low-cost trading. But savings plan execution, custody fees, and monthly account maintenance charges often go unmentioned in promotional materials—yet they meaningfully affect long-term returns.
MiFID II requires investment firms to disclose all costs and charges to clients, but that transparency obligation doesn't always translate into prominent advertising. MiFID requires brokers to disclose all associated trading costs, terms, and potential conflicts of interest, yet many investors never see these details until they've already opened an account.
Beyond per-trade commissions, look for:
Custody Fees (Depotgebühren). Traditional banks often charge a monthly or annual fee just to hold your securities account, even if you never trade. Newer online brokers may not charge this, but it's not always zero—check the fine print.
Savings Plan Execution Costs. Many brokers offer free savings plans, but some charge per execution. Over a year of monthly or bi-weekly contributions, this adds up.
Embedded Costs and Spreads. When a broker acts as principal (rather than routing to an external venue), any mark-up embedded in the price is a cost you pay, even if it doesn't appear as a line item.
Inactivity or Account Minimum Fees. Some platforms charge fees if your account balance falls below a threshold or if you don't trade within a set period.
MiFID II requires investment firms to provide disclosure of costs and charges to enable clients to make more informed decisions, but the framework is complex. Firms must provide both ex-ante (estimated) and ex-post (actual) cost data, often in technical formats that aren't easy to compare across brokers.
As of 2026, a significant structural change is underway: the revised MiFIR introduces an EU-wide ban on payment for order flow, effective from 2026, under which brokers route client orders to specific market makers in exchange for payments—a practice that creates a conflict between the broker's financial incentive and the client's right to best execution. This means some brokers will need to restructure their revenue models, potentially shifting costs or changing execution quality.
Instead of relying on marketing claims, use official sources:
1. Check BaFin's public Unternehmensdatenbank (company database) to confirm the broker's authorization and scope of activities. A firm authorized for "investment services" may operate under different cost structures than one licensed only for execution.
2. Request the MiFID II costs document directly. Brokers are required to provide a standardized "costs and charges" disclosure; if it's hard to find on their website, ask for it. It will itemize transaction costs, platform fees, and ongoing charges.
3. Compare costs across account types. Different account tiers (basic, premium, professional classification) often have vastly different cost structures.
4. Verify suitability and segregation. Verify your broker's status on BaFin's public register to ensure your deposits are protected under German deposit insurance schemes and that your securities are held as Sondervermögen (special assets), ring-fenced from the broker's own assets in the event of insolvency. Custody structure can affect whether certain fees apply.
A broker advertising "free trading" at €0 per trade but charging €10/month in custody fees is materially different from one with a small per-trade fee but no monthly charge. Over 10 years, the total cost profile can shift returns by 1–2% annually—meaningful for passive investors especially.
2026 changes to the cost structure of the brokerage industry (driven by the PFOF ban and ongoing MiFID II enforcement) mean cost transparency is moving from a regulatory compliance checkbox to a genuine competitive differentiator. Brokers that price transparently and explicitly will attract cost-conscious investors; those that obscure costs will increasingly lose market share to transparent competitors.
Analysis, not investment advice.
