BUX Zero Review

Introduction to the BUX Zero Review

BUX Zero started its app in 2019 and positioned itself as an affordable way for Europeans to increase their savings. It offers a simple and well-structured way to begin investing.

The COVID-19 pandemic brought many young investors to the stock market that do not want clutter and confusion. Bux Zero saw the opportunity to increase its client base accordingly.

Currently, the firm remains a mobile-only app which means that everything from account opening to your investment activity is done entirely through your mobile device.

Bux Zero might be a good option for individuals looking for a variety of financial products with minimalistic app features.

Pros and cons

Bux Zero provides the investment service of reception and transmission of Client Orders.  The broker thus only acts as a middleman between you and the party that you are buying or selling the financial instruments from (stocks and ETFs).

By using the BUX app, you give consent to lend the financial instruments held in your account.

Lending your shares allows Bux Zero to minimize costs substantially and have a low commission structure.  We encourage investors to read the “Client Agreement” document as it implies an additional minor (yet existent) risk for investors.

Please note that the amount of at least the value of the financial instruments that are lent will be held as collateral.

 

  • Commission-free stock and ETF trading
  • Modern and easy-to-use mobile app
  • No inactivity, custody, deposit or withdraw fee
  • No minimum required deposit
  • No investment advice
  • No demo account
  • Limited financial products
  • Only available in 5 countires

Main features 

Country of regulation

Netherlands, France, Germany, Belgium, Austria

Trading cost class

Average

Products offered

Stock, ETF, Forex, Fund, Bond, Options, Futures, CFD, Crypto, SaxoSelect

Minimum deposit

None

Deposit with bank card

Available

Depositing with electronic wallet

Unavailable

Time to open an account

3 days

Number of base currencies supported

26

Demo account provided

Yes

Fees

Fees are very transparent, and no commission for Zero Orders applies (stocks or ETFs).  €1 for EU stocks and ETFs are charged on limit orders, but no commissions for US Stocks.

Zero orders allow Bux Zero to collect all of the users’ orders for the day and send them to the stock market at the end of the trading day, between 4:00 and 5:00 pm (CET). However, the price executed might not be the one that was expected.

For this reason, safety measures were implemented to avoid overpaying or underselling.  Bux Zero will automatically cancel a buy order if the difference between the market price at the end of the day is 4 percent higher than when the order was placed.  The difference in pricing may not be higher than 5 percent for a sell order.

The Bux trading app earns money via FX markup when buying US stocks. For this service, a fee of 0.25% applies to the EUR/USD FX spot rate.

A spread cost is charged that is indirectly implicit in the price you buy/sell any security.

  • No Commission fees for Zero orders
  • Costs for bonds, options, and futures are pricey
  • Inactivity costs
CFD:  Stocks (Excl. Italian Stocks)
Minimum Fee €0.30
Total Trade Size Trade fee
€0 – 500 0.20%
€500 – 1,000 0.18%
€1,000 – 5,000 0.16%
More than € 5,000* 0.12%
*For CFD Stocks there is currently a maximum trade size of €10,000
CFD:  Indices (excl. China A50 & Singapore)
Minimum Fee €0.30
Total Trade Size Trade fee
€0 – 5,000 0.065%
€5,000 – 25,000 0.055%
€25,000 – 75,000 0.045%
€75,000+ 0.035%
CFD:  US Volatily Index
Minimum Fee €0.30
Total Trade Size Trade fee
€0 – 50,000 0.6%
*For this product there is currently a maximum Trade Size of €50,000
CFD:  Oil (US Oil & Brent Crude Oil)
Minimum Fee €0.30
Total Trade Size Trade fee
€0 – 50,000 0.25%
*For this product there is currently a maximum Trade Size of €50,000
CFD:  Italian Stocks
Minimum Fee €0.80
Total Trade Size Trade fee
€0 – 2,500 0.22%
€2,500 – 5,000 0.20%
More than € 5,000* 0.18%
*For CFD Stocks there is currently a maximum trade size of €10,000
CFD:  Indices China A50 & Singapore
Minimum Fee €0.30
Total Trade Size Trade fee
€0 – 5,000 0.12%
€5,000+ 0.10%
CFD:  Currencies
Minimum Fee €0.30
Total Trade Size Trade fee
€0 – 5,000 0.06%
€5,000 – 25,000 0.05%
€25,000 – 75,000 0.04%
€75,000+ 0.03%
CFD:  Commodities (excl. Oil)
Minimum Fee €0.30
Total Trade Size Trade fee
€0 – 2,500 0.12%
€2,500 – 5,000 0.11%
More than €5,000 0.08%

Account Opening 

At the moment, BUX Zero remains only as a mobile app which means that everything from account opening to your investment activity is made 100% through your mobile device.

Signing up only takes 10-15 minutes.  However, the account authorization process is a little sluggish as it may take up to 3 (three) business days.

  • Fully online
  • Easy-to-use
  • Available only on Mobile
  • Available only in 5 countries

How to access your account

Online application

Approval process 

Funding

Markets and Products 

Markets

Instruments

Jurisdictions

In the BUX Zero Review we discovered that the terms of the variety of products and markets to choose from, the investment options available are still limited. Currently, it just offers US stocks and EU stocks (Dutch, German, Belgian, French, and Austrian stocks) and only 25+ ETFs to trade.

Research

Trading ideas

You can swap trading ideas and discover what drives the company’s community on all Bux platforms where traders of all levels and countries meet and connect.

Fundamental Data

Bux does not publicly distribute any company financial data on stocks.

News Feed

Educational videos and news articles are available where you will learn from leading experts in the industry to help you get started with investing. 

It covers a wide variety of topics including, analyst ratings, sustainable investing, and how diversification works. 

Other research tools

A community forum is available to all users and ambassadors to discuss investing, trading, product improvements, and Company developments.

The forum can be a resourceful tool to learn and become better at trading or investing. 

Safety

BUX B.V. is authorized and regulated by the Dutch Authority for Financial Markets (Autoriteit Financiële Markten – AFM).

Clients benefit from the Deposit Guarantee Scheme (DGS) that insure their monies up to €100,000 in the event of the bankruptcy of ABN AMRO Clearing Bank N.V.

The Investor Compensation Scheme (ICS) compensates your investments (assets) of up to €20,000 if BUX B.V. goes bust. 

This regulation only serves as a necessity as your cash (temporary money for settlement purposes) and assets are held in a “Stitching” (a foundation under Dutch law) called BUX Custody with the sole purpose of holding Financial Instruments and money for Clients.

To clarify:
  • The money that appears in your account balance is in ABN Clearing Bank
  • The assets are held in BUX Custody

 

Bottom line

BUX Zero offers a competitive stock trading and investment service for less-experienced traders, with zero-commission trading on EU and US stocks and ETFs. The trading platform is simple and easy to use, though this comes at the cost of analysis tools and more advanced features.

Currently, BUX Zero is only licensed to offer trading services to clients in the Netherlands, France, Germany, Austria and Belgium, limiting their client base.