Why is it so expensive to trade on European Markets. E-trade, Scottrade, Ameritrade, Firstrade...charge an average of 5-8 dollars per transactions. Traders in Europe charge in the twenties... which ends up being very expensive for a day trader.. Do you know of a broker, local or foreigner that would charge in the same range than US ones???
2006-08-09 17:21:42 · 4 answers · asked by achsev 2 in Business & Finance ➔ Investing
No. The brokers in Europe, especially the smaller bourseres, are run by large banks. They have no interest in "day-trading" their shares. In fact, the floats and daily volume are generally so small that you would be wasting your time trying to day-trade them.
Also, regulatory agencies are not nearly as strict as they are in the States, so they may allow a certain amount of insider trading to occur. Therefore, not only would you be wasting your time, you would be wasting your money.
The best way to play the overseas markets is through a specific ETF or similar equity.
There is no money to be made in day-trading European stocks. They are looking for investors and make it a point to discourage day-trading.
2006-08-09 17:32:36 · answer #1 · answered by Anonymous · 0⤊ 1⤋
I will give you the name and web site of brokers that charge about 0.1% of the trade, minimum EUR 4 max EUR 30 - in most cases. Please check the exact fee schedule yourself. The way they do it - they give you direct access to those markets. They will charge you for quotes data too. I do not need to pay that one if you are happy looking up prices somewhere else and putting limit orders (not that I suggest that, but depending on how big your game is the data charges can make the low commissions pointless)
What I want you to let me know when you assess the best answer is to tell me whether you have seen other brokers charging lower fees for Euro Bourse's than these guys.
www.intereactivebrokers.com
Happy trading!!!
2006-08-10 02:03:27 · answer #2 · answered by investor 2 · 0⤊ 0⤋
Try Interactive Brokers:
http://www.interactivebrokers.com/
2006-08-10 12:15:11 · answer #3 · answered by NC 7 · 0⤊ 0⤋
I would recommend sticking with or using ADR's (american depository receipts) most foreign Co.s worth investing in have them available. Further, these ADR companies must comply with SEC regulations and therefore are much less risky. Plus you can still use it to take advantage of monetary exchange rates.
2006-08-11 17:40:04 · answer #4 · answered by Truyer 5 · 0⤊ 0⤋