Mexem vs. DEGIRO: A Comparison of Two European Brokerage Platforms

When choosing between Mexem and DEGIRO, investors are presented with two brokerage platforms that cater to different types of traders. Both platforms are popular in Europe, but they offer contrasting experiences in terms of fees, trading platforms, asset selection, and customer service. This comparison will help you decide which broker suits your trading needs best.

Mexem Overview

Mexem is an introducing broker for Interactive Brokers (IBKR), providing access to IBKR’s advanced trading platform and vast selection of global assets. By partnering with IBKR, Mexem allows users to benefit from a more sophisticated trading experience, including lower commissions for European clients compared to Interactive Brokers itself.

Mexem’s main strength lies in its access to the Trader Workstation (TWS), one of the most powerful and feature-rich trading platforms available. This makes Mexem ideal for experienced traders seeking advanced tools like algorithmic trading, real-time market data, and extensive charting options. Additionally, Mexem does not charge inactivity fees, making it appealing for long-term and occasional investors.

DEGIRO Overview

DEGIRO is known for its low-cost, user-friendly platform that appeals to retail investors, particularly beginners. Its ultra-low-fee model includes commission-free trading on certain ETFs (once per month) and low-cost access to a broad range of assets, including stocks and bonds.

DEGIRO’s platform is web-based and much simpler than Mexem’s TWS, making it a great option for investors who prefer a straightforward interface. While DEGIRO offers a more limited selection of assets, its simplicity and low fees make it a popular choice for cost-conscious investors.

Fees Comparison

Mexem often undercuts IBKR’s pricing, offering competitive commissions, particularly in the stock and ETF markets. However, while Mexem’s fees are lower than IBKR’s, they are generally higher than DEGIRO’s. Mexem does not charge inactivity fees, which is an advantage for investors who trade less frequently.

DEGIRO excels in its pricing structure, offering some of the lowest fees on the market. It provides commission-free ETF trading (once a month) and charges low rates for other assets. However, DEGIRO does charge additional fees, such as connectivity fees for accessing certain exchanges, which may add up for more active traders.

Trading Platforms

Mexem users benefit from access to the Trader Workstation (TWS), a platform renowned for its advanced trading features, real-time data, and charting tools. TWS is ideal for professional traders who need in-depth analysis, algorithmic trading capabilities, and access to a broad range of global markets.

DEGIRO, on the other hand, offers a simpler web-based platform and mobile app designed for ease of use. While it lacks the advanced features of TWS, DEGIRO’s platform is intuitive and caters to beginner investors or those seeking a more basic trading experience. DEGIRO’s platform offers limited research tools and customization options compared to Mexem’s TWS.

Asset Selection

Mexem provides a broader selection of assets thanks to its integration with Interactive Brokers. Users can trade a wide variety of products, including stocks, ETFs, options, futures, bonds, forex, and even more specialized assets like hedge funds and commodities.

DEGIRO also offers a good range of assets, including stocks, ETFs, bonds, and options. However, it lacks access to forex trading, cryptocurrencies, and certain advanced derivatives, making its asset selection more limited compared to Mexem.

Customer Service

Mexem offers personalized customer support tailored to European clients, providing responsive, multi-lingual service. This localized support gives Mexem an edge in customer service quality.

DEGIRO, while offering good customer service, has been criticized for slower response times during periods of high demand. Its customer support is more limited compared to Mexem, particularly in terms of accessibility and personalization.

Conclusion

The choice between Mexem and DEGIRO depends largely on your trading experience and needs. Mexem is ideal for more advanced traders seeking a sophisticated trading platform with a wide range of global markets and assets. Its access to Interactive Brokers’ TWS makes it a strong option for professional traders.

DEGIRO, on the other hand, is better suited for cost-conscious retail investors looking for a user-friendly platform with low fees. Its simplicity and cost-effectiveness make it an attractive choice for beginners or those seeking a no-frills trading experience.