This is how you save your savings when the economic context benefits your savings accounts and not other life insurance funds in euros ? Demographics, negative interest rates and inflation will have had the last laugh. The Compensation for our savings as we knew it is no longer really relevant.
Fortunately, some have felt it for a long time. Commercial republic, founded in 2015, took four years to develop his idea and was perfectly fine with a license Deutsche Maklerbank (investment firm as defined by French regulations), and develop an optimal technical infrastructure. As a result, the start in Germany in 2019 was a success.
The app is known as an online brokerage service. Trade Republic prefers to speak of an asset management platform or a savings platform. Because it is his vision Increase savings – and not to use the stock exchange as a game of chance.
Customers can buy stocks there in a unique way or choose from investment plans. All with a regular long-term perspective, “A fund that has accumulated over time”Christian Hecker, CEO and co-founder, presented it in an interview. “Many people in Europe are looking for an alternative way to save”, he added.
According to the Autorité des Marchés Financiers (AMF), there were 150,000 new investors in France between February 24 and April 3, 2020. What testifies to the attractiveness and the need to find an alternative to invest. The same number as given by the trade republic after only one year of activity. In France, the broker application has been available since January 26th.
Invest smartly to increase your savings
The platform is fun and perfectly transparent to quickly explain the price of its use to the customer. To buy stocks, ETFs or other transactions, you only have to pay € 1 per order – in total and for all. There is no billing for exchange rates, inactivity fees or other commissions. € 1 per purchase transaction regardless of the size of the order or the traded share or the traded ETF, and the trade republic stops there. Purchases through programmed investment plans continue without brokerage fees (the € 1 amount is not withdrawn).
To be able to invest intelligently and for the long term, a consistent selection of measures (7,500) is available on American, European, and Asian stock exchanges. Thanks to the different time slots on the world markets, this provides coverage for operations between 7:30 a.m. and 11:00 p.m. from France. You also have access to 1150 ETF (Exchange Traded Funds) such as those from Lyxor, BlackRock (iShares), XTraxkers or Amundi.
The aim is not to force users to take risks by acting in the short term when smart knowledge is required, but to invest gradually and over the long term. “We don’t want to act more than five or ten times a month. We prefer our clients to only do two or maybe three over the next 20 years. ” said its co-founder.
Trade Republic even set up for this own investment plans. Instead of investing a large part of our savings and risking a lot, the application offers to select stocks and ETFs in a programmed plan to invest according to a certain configured frequency (15, 30 or 90 days), a fixed amount and an execution date.
Because stocks and ETFs do not follow the same short-term trends as long-term and very short-term orders, it is necessary to have an in-depth knowledge of them. This plan allows for only what we are willing to invest each month, possibly in fractions of stocks (possible with Trade Republic) and in multiple stocks to diversify the investment.
On the other hand, Trade Republic’s investment plan also exempts you from operating costs of 1 euro. Every operation is completely free. Even if there are two purchases per month (with the plan being based on a 15-day investment frequency), customers will not be charged any Trade Republic fees or commissions. Simple and transparent at the same time.
Most of all, simplicity
The trade republic is therefore a very serious alternative and is at the service of its customers. The account is opened in less than 8 minutesThe deposited amounts are safe (up to € 100,000) and it is very easy to make transfers and withdrawals at any time.
Be okay for tax purposesThe Commercial Republic is also a rare use case where its users are offered to download an entire file (the only tax form) at the end of the year about its various operations and about the procedures for simply declaring their profits and their securities account against taxes.
Customer service is the focus of the offer, and “There are currently 90 people working there in France and we are in the process of increasing the workforce dramatically.” said Christian Hecker worried about the customers “Can get an answer to your question through our platform in less than 24 hours.”, he added.
Open an account in less than 8 minutes and invest in Trade Republic: