Looking for the best IPO brokers? Smart move. Stock markets are among the best places to invest money in the long run. And when it comes to investing in stock markets - many investors prefer to buy and sell stocks via online stock brokers. As a result, there is fierce competition among IPO brokers. You will find many brokers offering a range of cutting-edge features and interactive options better than others. However, some brokerages are more suitable for IPO stocks and IPO ETFs than others. So, which IPO broker provides the best service regarding IPO investing?
Let us help you if you're ready to start investing. Based on our research, here are the 8 best IPO brokers.
1. Best IPO Broker: Freedom24
Freedom24 is one of the best IPO brokers on this list because of its impressive ability to accommodate almost all investor needs, including beginners. Freedom24 launched its operations in 2008 in conjunction with Facebook's initial public offering. It is virtually the only European-based stockbroker listed on the Nasdaq. Through its convenient online platform, Freedom24 allows its customers to participate in more than 250 initial public offerings.
It is the best IPO broker at this moment to buy new stocks at IPO price.
With Freedom24, you can buy renowned companies' stocks even before they are listed on the exchange with some of the best terms available. However, a minimum account balance of $2,000 is required to trade an IPO.
Freedom's greatest strength is its ability to minimize fee structures without compromising quality. Also, both the PC and mobile trading platforms of Freedom24 are well-designed and easy to use. And, while you can practice with a demo account, it "pressures" you to open a live account so that you can get 30 days of commission-free trading.
For investors seeking a low-cost trading platform, this IPO broker can be an excellent choice. Although the company's IPO pricing structure makes it expensive to purchase new stocks at IPO price, the expected return per share could be more than worth it. Still, do not expect future returns to be the same as past returns.
Besides new stocks at IPO price, Freedom24 offers many stocks, bonds and ETFs as well. It is one of the biggest brokerages in terms of amount of stocks and ETFs. Hence we rate Freedom24 as one of the best IPO apps at this moment.
2. Best IPO Broker: eToro
Founded in 2007, eToro provides investors with all the benefits they may expect from a full-service IPO brokerage. With over 10 million users worldwide, the platform combines ease of use with a variety of features. eToro presents a modern trading platform with a unique social trading aspect, where users can learn from and replicate the trades of experienced investors in the stocks, crypto, and ETF markets.
eToro is one of the best IPO apps to buy new stocks and ETFs.
eToro's standout feature is CopyTrader, which allows investors to copy popular traders' trades and portfolios. The platform's user-friendly interface enables investors to discover successful traders effortlessly—so that they can follow or execute trades with ease.
eToro operates in over 140 countries, making it a globally accessible option for IPO investments. However, eToro's services are limited in certain states in the US, including Hawaii, New York, Minnesota, and Nevada. For residents of these states, eToro's virtual trading is the only option they have. In addition, eToro only offers brokerage accounts and does not offer margin trading.
3. Best IPO Broker: MEXEM
Online stockbroker based in Europe, Mexem offers access to a range of IPO projects. The broker is connected to Interactive Brokers and therefore offers a vast range of markets and products with low stock and ETF commission fees. This trading platform stands out for its low fees and sophisticated features. However, it is recommended for advanced traders as the desktop trading platform is complex to use, and margin rates are high.
Mexem is regulated by top-tier financial regulators in multiple countries and offers investor protection in selected jurisdictions. The account opening process for Mexem is fully digital and straightforward, with no minimum deposit required. Deposits and withdrawals are quick, but the broker does not accept credit/debit cards or electronic wallets.
The Mexem web trading platform is simple and easy to use, even for beginners, but there are some minor glitches. The mobile trading platform is available on both iOS and Android and boasts a lot of functions and a useful chatbot.
The Mexem mobile trading platform allows you to use several order types and set price alerts using the notification icon. The most innovative feature of the app is the chatbot called IBot, which you can use to execute or close orders and get basic information quickly.
4. Best IPO Broker: DEGIRO
DEGIRO is a reliable platform to consider when choosing a place to buy stocks in Europe. Established in 2008, DEGIRO is an online broker that transformed the investment industry by enabling regular individuals to invest at a low cost. This has drawn in numerous European investors who advocate for a more inclusive financial markets world.
DEGIRO provides a user-friendly yet robust platform for desktop and mobile users, giving access to real-time data, diverse investment products, and multiple worldwide stock exchanges. The platform focuses on providing low fees to its 2 million clients. For instance, DEGIRO can be used to buy US stocks in Germany without trading commission fees, with only a 0.5 EUR external handling charge applied.
DEGIRO also offers a monthly updated selection of commission-free ETFs. In addition to options, the broker offers futures contracts for just 0.75 EUR each. DEGIRO does not have any minimum deposit or withdrawal requirements, making it suitable for budget-conscious individuals. Additionally, the broker does not charge inactivity fees. Unfortunately, DEGIRO's KYC process can take several days, which is its major drawback.
5. Best IPO Broker: BUX Zero
BUX Zero is a commission-free mobile-only trading app for stocks, ETFs, and crypto with over 700k users. Currently, it is only available for investors in Austria, Belgium, France, Germany, Ireland, Italy, Netherlands, and Spain. Launched in 2019, BUX Zero aims to provide an affordable and simple way for Europeans to invest. The app offers a limited range of US and EU stocks, 30+ ETFs, and cryptos. Additionally, BUX Zero offers fractional investing, where investors can buy a portion of a share starting from €10.
In terms of fees, BUX Zero does not charge inactivity, custody, deposit, or withdrawal fees. Stocks and ETFs have fees up to 1.5€ per order, and a currency conversion fee of 0.35% is applied. The minimum deposit required is €0. With its easy-to-use services and low trading costs, BUX Zero is an excellent choice for beginners. However, more advanced investors may find the broker's platform, assets, and analysis tools limited.
6. Best IPO Broker: TradeRepublic
The German-based Trade Republic is a popular online stock broker founded in 2015 that offers a variety of investment options. The brokerage offers commission-free investment and is an exclusively mobile-only platform, available for download on iOS and Android devices.
It offers an easy-to-use interface and good functionality, although there have been reports of slippage and crashes during times of high liquidity. The broker does not provide a web interface app or desktop trading, so clients used to more advanced platforms may need to adjust to the mobile-only option.
Trade Republic has a transparent and competitive fee structure, claiming zero commissions on all assets, although third-party costs are charged at a flat rate of €1. The broker earns its revenue through payments for order flow from trading partners, as opposed to marking up spreads or charging commissions. There are no transaction fees, although some may be incurred for payments from different countries. The broker currently offers a €15 welcome referral bonus for new clients.
7. Best IPO Broker: Easybroker
EasyBroker is a new broker on the Dutch investment market that offers a wide range of investment options to investors. The platform has been in operation for a few years and has only recently started to become more visible in the market. With its access to a wide range of stock exchanges worldwide, EasyBroker can offer a wider range of services than its Dutch competitors.
Basically, this IPO brokerage is an interesting option for investors who want to take advantage of all the possibilities on multiple exchanges and are not intimidated by a large amount of information. Also, EasyBroker has low investment costs. Transacting fees are 0.08% per transaction, making it one of the cheapest brokers. Moreover, it has one of the largest ranges of analytical options.
However, the large range may be overwhelming for beginners. Besides, the platform is not very user-friendly. Investing through EasyBroker can be complicated and time-consuming for those who are new to the market.
When considering EasyBroker as an investment option, it is important to take into account the fact that the platform does not offer a demo account. It can make investing difficult for beginners who need time to familiarize themselves with the platform's features. However, for investors who are willing to invest time and effort in learning about the platform, EasyBroker can be a highly rewarding investment option in the long term.
8. Best IPO Broker: Lynx
Lynx is a well-established Dutch broker that was founded in Amsterdam in 2006. With the Interactive Brokers platform, Lynx provides its clients with access to over 100 exchanges in 31 countries. Also, Lynx offers its users access to MetaTrader and NinjaTrader platforms for trading. That opens up a world of opportunities for both beginner and advanced investors, providing access to a comprehensive platform with multiple options for trading, analysis, and knowledge acquisition.
When it comes to reliability, Lynx operates under the supervision of the Nederlandsche Bank (DNB) and the Autoriteit Financiële Markten (AFM) to ensure the most reliable and transparent platform possible. Furthermore, Lynx accounts are protected under British regulations, and account holders are insured for up to 50,000 British pounds for their money balance and 500,000 US dollars for their securities through the US SIPC.
Lynx offers a wide range of investment options, including stocks, cryptocurrencies, futures, indices, options, investment funds, ETFs, commodities, bonds, turbos, CFDs, forex, and foreign exchanges. Additionally, CFDs can be used to invest in stocks, indices, commodities, and foreign exchanges.
Lynx also provides a variety of analysis options to assist investors in making informed decisions. The use of these options enables you to investigate past performances of potential investments, providing valuable information for determining if it is a good investment. Some of the analysis options offered by Lynx include stock charts, technical indicators, news updates, and market news.
With access to a great range of markets and competitive fees, along with versatile trading platforms and multilingual customer support, Lynx is a great choice for active traders and investors.