Choosing a different broker
You have been investing for a long time and have opened an investment account with your bank/broker, but perhaps there is reason to doubt. Is this really the broker that works best for you? Is it time to switch to another broker? Reasons vary widely, but this could be because…
… the options are currently too limited? (think of tools, tips & tricks, an app and current price information)
…the costs are higher than with another broker?
…the investment options are limited? (do you want to invest in other products?)
What next? Is switching possible and if so, would you want to? Then follow this approach.
1. Check if your wallet can be transferred
If you switch to another broker, it is usually possible to transfer your portfolio . In this case, you do not have to sell everything first, which would oblige you to make new purchases with your new broker. Transferring your portfolio usually only applies if you own physical securities (so no CFD or option on a share, but actually own the share).
Check the terms and conditions for transferring your stock portfolio. In many cases this is possible and you can therefore keep your current positions.
2. The investment offering at your new broker
Certain investments in your portfolio may not be in the new broker’s range. In this case, it is not possible to take your (entire) portfolio with you. Therefore, check the offer to see if this applies to you. The choice is yours, keep the existing account or sell the investment. View here which investment forms there are.
3. Time of payment: before or after moving?
Some brokers charge fees for (partially) transferring your portfolio. You pay these fees to your current bank/broker.
These costs can be divided into 3 types of costs:
- Dutch listed securities
- Foreign listed securities
- Luxembourg Listed Securities
4. Sometimes compensation is possible, ask your new broker about the conditions
Many brokers will help you with the transfer costs, in the form of a discount or later refund. This often makes switching easier for the new customer. There is often a limit to this.
5. Think about selling
If the costs incurred for the move do not match the value of the investment, it is better to sell. At a later date, you can always buy again, without bearing the costs of switching.
6. Submit the request to your new broker
As a client, you are not obliged to inform your current broker of your decision to switch. It is sufficient to indicate your wish to switch to the new broker. They often use a switching service that will arrange the rest for you. You indicate, often by means of a form, to the broker that you want to switch and which investments you want to transfer. The rest will then be arranged. Remember that in the case of a joint account, both parties must sign.
7. Investment options during relocation
After completing the form, the process is initiated. During this period, it is not always possible to continue investing. Therefore, always ask your new broker about this. Dutch listed investments are often transferred within a period of 2 weeks, while this can take longer for investments listed abroad. This mainly depends on your new broker. Therefore, ask the broker about this in good time. This way, you will not be faced with any surprises.
Compare brokers to find a suitable broker
Do you want to switch brokers or open a second account? Then it is important that you make a well-considered choice. With the comparator of Compareallbrokers.com you can easily make a good choice.