What Are Brokerage Fees?
In general, brokerage fees are fees the broker charges you to hold and manage your investments. These fees might include annual fees, fees for researching investment data, and inactivity fees if you aren’t trading regularly. It’s important you are aware of the different types of brokerage fees, as well as the types of brokers available to manage your investments. Be aware of hidden fees these will cost you a fortune (bid-spread widening, holding fees, option execution fees, etc), we will disscuss them in a seperate blog post.
Full-Service Broker
Full-service brokers are paid commissions based on transactions. The average fee per transaction at a full-service broker is $150. This is much lower than in the past but still much higher than discount brokers where on average a transaction costs approximately $10.
At a full-service broker, you are paying a premium for research, education, and advice. But it’s important to remember that full-service brokers are also salespeople.
There are also full-service brokers that charge an annual fee between 1% and 1.5% of total assets managed for a client, so will eschew per-trade charges. If you don’t feel comfortable researching and making your own trades, this is a good option to consider. These brokers will also have an incentive to perform well because if your portfolio performs assets under management increase, meaning they make more for managing them. If you’re interested in the full-service broker, please contact clientservices@rwibrokers.com
Discount brokers generally do not offer investment advice. Trading fees for online discount brokers range anywhere from $7.5 to $20, but most are between $10 and $15. These rates are subject to change.
Most investors don’t bother reading Securities and Exchange Commission (SEC) filings, but SEC filings are available to the public and the information within them is like taking an open book test. The answers are provided for you. Unlike press releases, a public company must state the facts in its SEC filings. This makes it relatively easy to research stocks.
Also, pay close attention to industry trends. If fast-casual food chains that offer natural and organic food are in, go with the trend, not against it. Do your research to determine the best of the breed. And you don’t even need to dive that deep. As a general rule, if the broader market is hot, revenue growth will be the key factor driving stock price appreciation. Investors and traders love revenue growth in bull market environments. If the broader market is cold, net income growth and a strong balance sheet will be the keys to success. Investors and traders like to run to safety for dividends and share buybacks in these environments.
The Bottom Line
If you’re impulsive and/or not willing to do your homework, then you should consider a full-service broker. Otherwise, a discount broker, which allows you to execute trades but does not offer investment advice, is a better option.
Fees RWIBrokers.com
Stocks
| Currency/Exchange | Min | Max* | % of trade value | Exchange, Regulatory & Clearing Fees |
|---|---|---|---|---|
| AUD (%) | 20 | - | 0.3 | x |
| CAD (shares) | 10 | 1.5% | 0.02 dollar/share | - |
| CHF (%) | 30 | - | 0.3 | x |
| CNH (%) | 100 | - | 0.3 | x |
| EUR (%) | 2.25 | - | 0.08 | - |
| GBP (%) | 10 | - | 0.2 | x |
| HKD (%) | 50 | - | 0.3 | x |
| HUF (%) | 3000 | - | 0.3 | x |
| JPY (%) | 1000 | - | 0.3 | x |
| MXN (%) | 160 | - | 0.6 | x |
| NOK (%) | 100 | - | 0.3 | x |
| PLN (%) | 45 | - | 0.3 | x |
| SEK (%) | 80 | - | 0.3 | x |
| SGD (%) | 20 | - | 0.3 | x |
| USD (shares) | 7.50 | 1.5% | 0.015 dollar/share | - |
CFD on Stocks
| Currency/Exchange | Min | Max* | % of trade value | Exchange, Regulatory & Clearing Fees |
|---|---|---|---|---|
| AUD (%) | 20 | - | 0.15 | x |
| BRL (%) | 120 | - | 0.3 | x |
| CHF (%) | 30 | - | 0.15 | x |
| CZK (%) | 250 | - | 0.3 | x |
| DKK (%) | 80 | - | 0.15 | x |
| EUR (%) | 10 | 60 | 0.1 | - |
| GBP (%) | 10 | - | 0.1 | x |
| HKD (%) | 50 | - | 0.15 | x |
| JPY (%) | 1000 | - | 0.1 | x |
| NOK (%) | 100 | - | 0.15 | x |
| SEK (%) | 80 | - | 0.15 | x |
| USD (shares) | 7.50 | 1% | 0.015 dollar/share | - |
| ZAR (%) | 150 | - | 0.3 | x |
Options
| Currency/Exchange | Min | per option | Exchange, Regulatory & Clearing Fees |
|---|---|---|---|
| AUD (Contracts) | 10 | 10 | x |
| CAD (Contracts) | 5 | 5 | - |
| CHF (Contracts) | 10 | 10 | x |
| EUR (Contracts) | 3.5 | 3.5 | - |
| GBP (Contracts) | 7 | 7 | x |
| HKD (Contracts) | 120 | 120 | x |
| JPY (Contracts) | 2500 | 3000 | x |
| KRW (%) | 4000 | 0.05 | x |
| NOK (Contracts) | 40 | 40 | x |
| SEK (%) | 80 | 0.05 | x |
| USD (Contracts) | 3.5 | 3.5 | - |
Futures
| Currency/Exchange | Min | per future | Exchange, Regulatory & Clearing Fees |
|---|---|---|---|
| AUD (Contracts) | 10 | 10 | x |
| CAD (Contracts) | 8 | 8 | - |
| CHF (Contracts) | 10 | 10 | x |
| EUR (Contracts) | 6 | 6 | - |
| GBP (Contracts) | 7 | 7 | x |
| HKD (Contracts) | 120 | 120 | x |
| JPY (Contracts) | 2500 | 2500 | x |
| KRW (Contracts) | 10000 | 10000 | x |
| MXN (Contracts) | 140 | 140 | x |
| NOK (Contracts) | 50 | 50 | x |
| SEK (Contracts) | 100 | 100 | x |
| SGD (Contracts) | 8 | 8 | x |
| USD (Contracts) | 6 | 6 | - |
Forex
| Currency/Exchange | Min | % of trade value |
|---|---|---|
| AUD (%) | 10 | 0.006 |
| CAD (%) | 10 | 0.006 |
| CHF (%) | 10 | 0.006 |
| CNH (%) | 50 | 0.006 |
| CZK (%) | 150 | 0.006 |
| DKK (%) | 40 | 0.006 |
| EUR (%) | 5 | 0.006 |
| GBP (%) | 5 | 0.006 |
| HKD (%) | 50 | 0.006 |
| HUF (%) | 2000 | 0.006 |
| ILS (%) | 25 | 0.006 |
| JPY (%) | 750 | 0.006 |
| MXN (%) | 120 | 0.006 |
| NOK (%) | 50 | 0.006 |
| NZD (%) | 10 | 0.006 |
| PLN (%) | 25 | 0.006 |
| RUB (%) | 400 | 0.006 |
| SEK (%) | 100 | 0.006 |
| SGD (%) | 10 | 0.006 |
| USD (%) | 6 | 0.006 |
| ZAR (%) | 100 | 0.006 |
CFD on Forex
| Currency/Exchange | Min in USD | % of trade value in USD |
|---|---|---|
| AUD (%) | 3 | 0.005 |
| CAD (%) | 3 | 0.005 |
| CHF (%) | 3 | 0.005 |
| CNH (%) | 3 | 0.005 |
| CZK (%) | 3 | 0.005 |
| DKK (%) | 3 | 0.005 |
| EUR (%) | 3 | 0.005 |
| GBP (%) | 3 | 0.005 |
| HKD (%) | 3 | 0.005 |
| HUF (%) | 3 | 0.005 |
| ILS (%) | 3 | 0.005 |
| JPY (%) | 3 | 0.005 |
| MXN (%) | 3 | 0.005 |
| NOK (%) | 3 | 0.005 |
| NZD (%) | 3 | 0.005 |
| PLN (%) | 3 | 0.005 |
| RUB (%) | 3 | 0.005 |
| SEK (%) | 3 | 0.005 |
| SGD (%) | 3 | 0.005 |
| USD (%) | 3 | 0.005 |
| ZAR (%) | 3 | 0.005 |
Warrants
| Currency/Exchange | Min | Max* | % of trade value | Exchange, Regulatory & Clearing Fees |
|---|---|---|---|---|
| AUD (%) | 20 | - | 0.3 | x |
| EUR (%) | 10 | 60 | 0.2 | - |
| HKD (%) | 50 | - | 0.3 | x |
| IBFP | ||||
| EUR (%) | 10 | 60 | 0.2 | - |
| USD (%) | 10 | - | 0.2 | - |
Metals
| Currency/Exchange | Min | % of trade value | Exchange, Regulatory & Clearing Fees |
|---|---|---|---|
| USD (%) | 10 | 0.15 | x |
Mutual Funds
| Currency/Exchange | Ticket Charge | Min | Absolute Markup | % of trade value | Exchange, Regulatory & Clearing Fees |
|---|---|---|---|---|---|
| EUR (%) | - | 10 | - | 0.15 | - |
| Global (Transaction) | 15 | - | 0 | - | - |
| USD (Transaction) | 10 | - | 0 | - | - |
Bonds
| Currency/Exchange | Min | Max | % of trade value | Exchange, Regulatory & Clearing Fees |
|---|---|---|---|---|
| EUR (%) | 10 | 60 | 0.1 | - |
| HKD (%) | 100 | - | 0.2 | x |
| USD (% of Face Value) | 10 | - | 0.015 | - |
Other fees
Withdrawals to your bankaccount
The first chargeback in a calendar month is free. For each subsequent reversal the rates apply in the following table:
| Currency | Methode | Tarief |
|---|---|---|
| EUR | SEPA | EUR 1,00 per withdrawal |
| EUR | WIRE | EUR 8,00 per withdrawal |
| USD | WIRE | USD 10,00 per withdrawal |
The above costs do not relate to any costs charged by third parties. The account holder is solely responsible for any additional costs charged by the beneficiary or corresponding bank. In addition, processing costs charged by your bank or its corresponding bank, which are not included in RWIBrokers.com's chargeback costs, can be deducted from the refundable amount.
For more information about the chargeback costs of the other currencies, please send an e-mail to clientservices@rwibrokers.com
Cancel / Adjust costs
| Type cost | Costs per order | Execution credit |
|---|---|---|
| Cancel/Adjust optionorder US | USD 0,01 | USD 0,005 per contract (max. USD 0,01 of USD 0,035 per order) |
| Cancel/Adjust option- or futureorder on Eurex | EUR 0,50 | EUR 2,50 per execution same product same dag |
| Cancel/Adjust Direct Routed Order naar TGATE | EUR 0,50 | EUR 2,50 per execution same product same day |
| Cancel/Adjust orders other exchanges | Free | No fees |
Partial Executions
If an order concerns partial execution over several trading days, a commission will be charged for each trading day. This is also the case if after a partial execution, the remaining order is adjusted. This is seen as a new order whereby transaction costs are again charged.
Inactivity Fees
If the value of your trading account is less than USD 1,000 (or equivalent in another currency) and you have paid commission less than USD 1 (or equivalent in another currency) in a given calendar month, inactivity costs will be charged. . The amount of this inactivity costs is calculated as follows: Inactivity costs = USD 1 - commission paid in calendar month
Exposure Fee
RWIBrokers.com charges a daily exposure fee for a small minority of accounts that have a very high worst-case loss risk. This is to protect RWIBrokers.com and its clients against accounts that hold high-risk positions that currently meet the margin requirements of the stock exchange, but can nonetheless still achieve excessive losses in the event of a significant market movement.
Implicit Transaction Costs
In addition to explicit transaction costs which EasyBroker charges, there are also implicit transaction costs. These costs are based on the bid / offer spread. At the moment you send an order to the stock exchange, there is a so-called price of arrival, the mid-price. If your order is executed for a higher or lower price than the mid-price, then the implicit costs are the difference between the mid-price and the execution price. These costs are implicit because they are not visible on the order confirmation and are not charged by RWIBrokers.com itself. The bid and offer prices are realized by buyers and bidders on the market and are beyond the control of EasyBroker.
Exchange, Regulatory & Clearing Fees
Where in the rate overviews is ticked by means of a cross that there is Exchange, Regulatory & Clearing Fees, RWIBrokers.com charges these costs to its customers in addition to the transaction costs of RWIBrokers.com. An overview of these costs can be found here.