In this article, we will explore the largest brokers across major economies worldwide, so you can know where to invest by having in consideration the top biggest brokers for each country.
The global landscape of brokers is highly diverse, with each country presenting its own set of dominant players shaped by local regulations, market dynamics, and investor preferences.
Understanding the biggest brokers in different regions helps investors make informed decisions about where to invest. It’s useful for finding a reputable broker within your own country that provides security and confidence. It’s often beneficial to invest through brokers based in your own country, as not all brokers have a presence in every nation, and each country typically has a unique regulatory and tax framework.
If you are just getting started in this passionate world of investments and don’t know how to select your broker or open a broker account, check our first steps section – where we show you how to start investing in a simple way, accessible to everyone.
Of course, we couldn’t consider every country in the world, so we have made a thoughtful selection by including 14 countries in our analysis as paradigms of the diversity of brokerage offer. These are the top biggest brokers for each country.
USA
JAPAN
UK
GERMANY
INDIA
CHINA
BRAZIL
Vanguard Group
Nomura Securities
Interactive Brokers
Deutsche Bank
Zerodha
Futu Holdings
XP Investi-mentos
Charles Schwab
SBI Securities
Saxo
Flatex DEGIRO
ICICI Direct
Tiger Brokers
BTG Pactual
Fidelity Investments
Rakuten Securities
eToro
OnVista Bank
HDFC Securities
CICC
ModalMais
J.P. Morgan
Monex Group
XTB
DKB
Kotak Securities
GF Securities
Rico Investi-mentos
Merrill Wealth Managmnt.
Mizuho Securities
Plus500
Comdirect
Upstox
Haitong Securities
Clear Corretora
AUSTRALIA
CANADA
MEXICO
SOUTH AFRICA
TURKEY
SPAIN
FRANCE
CommSec
Questrade
GBM
Standard Bank Online Share Trading
Garanti BBVA Yatırım
Renta 4 Banco
Boursorama
IG Group
RBC Direct Investing
Actinver
EasyEquities
İş Yatırım
Bankinter Broker
BNP Paribas Personal Investors
CMC Markets
TD Direct Investing
Monex
PSG Wealth
Ziraat Yatırım
Self Bank by Singular Bank
Crédit Agricole Titres
SelfWealth
Scotia iTRADE
Citibanamex
Nedbank Private Wealth
Halk Yatırım
BBVA Trader
SG Markets
NabTrade
BMO InvestorLine
Banorte
EasyEquities
Yapı Kredi Yatırım
Santander
Fortuneo
As you can see, there is a high-variety of brokers around the five continents. Each with its own particularities in trading preferences, regulatory requirements, and investors behavior.
Each country’s legal and tax frameworks may require specific conditions, so in general, it’s preferable to select a broker with local presence in your country of fiscal residence.
But now, how do we determine the biggest brokers? By having in consideration the following aspects:
Parameters to measure the size of brokers
Assets Under Management (AUM): The total value of assets that the broker manages for its clients. A larger AUM typically indicates more trust from clients and a strong reputation in the market.
Number of Clients/Accounts: The total number of active clients or brokerage accounts provides insight into the firm’s client base size. Larger brokers generally have more accounts, indicating widespread use by investors.
Revenue and Profitability: A broker’s financial performance, including total revenue and profit margins, reflects its operational strength. Revenue comes from various sources such as trading commissions, advisory fees, and interest on margin accounts.
Market Share: The broker’s share of the trading market, both in terms of retail and institutional clients, is another indicator of its dominance. High market share often corresponds with a firm’s size and influence.
Trading Volume: The volume of trades executed by the broker indicates its activity level. Higher trading volume, especially across different asset classes (stocks, bonds, etc.), highlights the broker’s ability to handle a large number of transactions efficiently.
Geographic Reach: A broker’s global footprint, including the number of countries it operates in, also affects its size. Brokers with a presence in multiple regions often have broader access to capital markets and a more diverse client base.
Technology and Platform Infrastructure: In today’s digital world, the technology stack and quality of trading platforms (user experience, speed, accessibility) are increasingly important. Brokers that invest heavily in cutting-edge technology and user-friendly platforms tend to grow faster.
If you are finding this information valuable, check some of our previous articles!
Why is this useful?
You may be wondering how this information can help you make informed investment decisions in a global context.
When considering global investment strategies, understanding the size and impact of brokerage firms in different countries is a key advantage. Knowing the largest brokers by the previously mentioned parameters, can help investors assess credibility, stability, pricing and potential opportunities, not only for portfolio expansion across borders, but also for investing in your own country.
Size matters because larger brokers often offer more resources, tools, and international access to investment markets, providing more diverse and stable platforms for trading.
Evaluating broker size helps in assessing stability, as larger firms generally have more capital reserves and can endure market fluctuations more effectively. In times of financial instability, larger brokers can provide an extra layer of security by being less vulnerable to liquidity risks compared to smaller firms. For global investors, this can be particularly relevant when considering economic downturns or inflation spikes in particular regions. Learn how to beat inflation.
Aside from stability, broker size also influences pricing. Larger brokers often offer more competitive fees and spreads, thanks to their ability to leverage scale and negotiate better prices.
Understanding the biggest brokers in a given market can also be key to accessing new investment opportunities. Large brokers are typically at the forefront of innovation. By identifying the top players in your country, you can align yourself with firms that are leading in terms of technology and product development.
CONCLUSION
In the global context, understanding the top biggest brokers for each country, offers invaluable insight for investors seeking reliable and comprehensive financial services. We hope that knowing the top brokers for each country from the table can help you find a big and reliable broker in your country to invest in a safe and simple manner.
As discussed under the “Parameters to measure the size of brokers,” factors such as assets under management, number of clients, revenue and profitability, market share, trading volume, global reach, and technological capabilities are critical benchmarks to determine the size and reliability of a brokerage firm.
Additionally, this information is highly useful for investors looking to invest in local brokers, or even enter foreign markets and diversify their portfolios. As explored in the section “Why is this useful?” knowing the largest brokers enables investors to identify firms with robust financial stability, a solid reputation, and a wide range of investment products and services.
Ultimately, knowing and having access to these brokers provides investors with greater security, more diversified opportunities, and a pathway to navigate international and national markets with confidence.
We can help you in the process of becoming wealthy. Join us! To learn how and where to invest your money: https://theboringinvest.com/
To invest, it’s necessary to open a broker account where you can make transactions safely and dynamicallyfacilitated by a unified platform. The offer of brokers is increasing with the passing of time and the popularization of investments as a way to become wealthy. Today, we will focus on how to open an account in Interactive Brokers with 6 easy-to-follow steps.
Why Interactive Brokers? We believe it’s a reliable broker where your information and activity will be protected. It’s very intuitive to use and since the beginning of your experience, you’ll realize they take care of their users with the responsibility and seriousness it requires.
If you are just getting started in this passionate world of investments and don’t know how to select your broker or open a broker account, check our first steps section – where we show you how to start to invest in a simple way, accessible to everyone.
STEP 1: Create an account
Here, you just have to create a username and password, and confirm your email address from your email account. After that, you can start completing the application.
APPLICATION
STEP 2: Select an Account Type
In the first section of the application, you have to select the account type that’s more convenient for your needs and goals. The decision will depend on whether you’re applying as an individual making an occasional investment, a professional and frequent trader, or an institutional investor. Let’s suppose you choose the most common individual account, it’s the best suited account for those unexperienced who want to start investing from savings.
Once you’ve selected the account type best suited for you, it’s time to provide your personal information.
STEP 3: About you
In this instance, you have to complete a few steps that contemplate the following information: contact and personal data; identification (ID); employment status and source of wealth; base currency; and three security questions to make your account safer.
By completing your employment status, you’re sharing your occupational situation, it can be employed, self employed, retired, unemployed, etc. Your response might determine your source of wealth selection; if you are employed, the salary option (“income from employment”) will be pre-selected, but you can choose as many as you please as long as they are verifiable sources of wealth for you.
STEP 4: Regulatory
Next, you’ll go through the regulatory section, where you will be required to answer questions related to your investment goals, risk tolerance, and trading experience.
In this step, you configure your trading account by selecting an account type between cash, margin or portfolio margin. If you select margin and portfolio margin there are more requirements that are related to your financial information. So the most simple option is cash – unless you are planning to invest with leverage or other advanced investment strategies.
By providing your income and net worth as well as your investment objectives and intended purpose of trading, Interactive Brokers (IB) make sure you are legally capable to trade the assets of your choice.
You’ll be asked to set your account preferences, indicating your trading experience and permissions (such as access to global markets), so IB can assess your eligibility and tailor the platform to suit your needs, ensuring compliance with regulatory standards.
STEP 5: Account Setup
You’re almost done! The legal aspect is taken care of here: You accept the terms and conditions by reviewing and agreeing to the necessary legal disclosures and documents.
Once you verify your identity and address with a selfie or photo of your id and with your GPS location or another document of your choice, your application will be submitted and approved in a few days.
Finally, when all the steps are completed, IB will review your application. You can monitor your account status directly from your dashboard, where you’ll receive updates on the approval process. And you’ll receive an email notification to confirm that your account is active and ready for use.
Once you have your account approved you’ll be ready to start investing. If you are not sure about how to do it, check our previous article on how to invest in stocks for beginners.
CONCLUSION
In conclusion, opening an Interactive Brokers account is a straightforward process that can be completed in a few steps, from creating an account to receiving the final approval. By carefully selecting your account type, providing accurate personal and financial information, and setting up your preferences, you can tailor the platform to suit your investment needs. Once your account is approved, you gain access to a wide range of global markets and trading tools, making IB a powerful platform for both new and experienced investors.
If you have any doubt about the beginning or the investment process itself, don’t wait any longer and Schedule time with an expert.
We might learn about inflationary periods in books or news, but we definitely experience it at the grocery store. We know inflation is a macroeconomic phenomenon that gradually reduces the value of money, leading to a constant increase in the cost of goods and services, directly impacting saved funds and all sectors of the economy in general.
Today, we’ll focus on how to deal with inflationary periods while investing so we can determine the best investment during inflation.
Investments and Inflation
When prices rise, the purchasing power of our money decreases and our cost of living increases. If you keep your money in your bank account (or in cash), you are losing money.
That’s why it’s necessary to seek assets that can preserve the value of our wealth. Ideally, your investments should have higher returns than the inflationary index. But we know this isn’t always the case, nevertheless, you are still in a more favorable situation than those who don’t invest. You don’t want to see the value of your money decreasing in front of your eyes.
To learn how your money loses value over time due to inflation check our previous article.
There are a lot of sectors where you can invest, we will recommend a few.
The best investments during inflation
Stocks: the best strategy against inflation. Historically, 78% of the time stocks outpaced inflation, more times than a bond portfolio. Even the fall down that stocks may have by product of the increase in interest rates, is followed by a comeback from the loss, eventually surpassing the inflation levels. It’s important to consider companies with growth potential, companies with strong pricing power and companies that can raise their prices in response to inflation, which can lead to higher revenues and profit.
Real estate or REITs: property is a finite resource, and as the cost of goods and services rises, so does the value of land and buildings. You can invest in real estate directly – which requires a higher first investment and higher maintenance costs. Or through a REIT (Real Estate Investment Trust); over the last decade, the MSCI U.S. REIT Index has had an average annual return of more than 10%.
Commodities that work as value reserves: precious metals, like gold and silver, tend to rise in value -because of their durability and rarity- as inflation increases, providing a shield against the erosion of the purchasing power of money. This is why they are good options for keeping value during inflationary periods.
TIPS (Treasury Inflation-Protected Securities): government-issued security bonds designed to adjust with inflation levels. Their unique structure allows them to adjust payments based on the inflation data; if inflation increases the interest rate you earn on these bonds increases as well, ensuring that you maintain your purchasing power even when the general price level is increasing.
The worst investments during inflation
As well as there are the best, there are some assets we wouldn’t recommend you:
Cash or savings: in inflationary periods, the value of cash diminishes as inflation increases and the cost of living augments, resulting in a loss of wealth for those who hold large amounts of cash. If you have your savings in a bank account it’s the same story.
Fixed-rate debt securities: the income they generate remains constant, regardless of changes in inflation, so when inflation increases, the purchasing power of the interest payments diminishes. For example, if you own a bond that pays 3% annually and inflation rises to 6%, the real return on your investment is negative, as the income generated is not enough to keep up with the increased cost of living.
Companies with weak pricing power: companies that cannot pass on their costs to consumers by raising the prices of their goods and services when their costs increase due to inflation. If they do increase their prices, demand for their products decreases because there are multiple substitutes available on the market.
Commodities that don’t work as value reserves: agricultural products like corn or coffee are not a good idea to invest in during periods of inflation because they are perishable, which affects their long-term value. Also, their prices can be highly volatile, influenced by seasonal changes, weather conditions, and short-term supply and demand fluctuations.
Conclusion
Navigating the financial landscape during inflationary periods requires careful consideration of how different assets respond to rising prices. As we’ve discussed, inflation can erode the purchasing power of money, making it essential for you to strategically invest your money to maintain and grow your wealth.
On the one hand, assets like stocks, real estate, commodities, and TIPS consolidate as the best investments during inflation. These tend to either appreciate in value or offer returns that outpace inflation, making them effective tools for preserving wealth.
On the other hand, holding large amounts of cash or investing in fixed-rate debt securities are bad ideas during inflationary periods, as these assets typically lose value in real terms when prices rise. The key is to focus on investments that either directly benefit from inflation or have built-in mechanisms to adjust for it.
In conclusion, stocks consolidate as the best investment during inflation. With the power of compound interest, a diversified portfolio, and the adherence to a long-term investing plan you can not only go through market fluctuations but also win against inflation and preserve or augment your wealth.
If you want to start investing in a friendly platform with the help of professionals and beat inflation, join us.
The investment world is one in which theory and practice go hand in hand, but it is very important to consider also the psychological aspect of value investment, it requires patience and discipline not to get caught up in the trap of instant gratification and to resist the market fluctuations. That’s what we will focus on today, the psychological aspect of value investing: patience and discipline.
Psychological challenges – The impact of fear and greed
Fear and greed are two of the most powerful emotions that can significantly influence investment decisions, often leading investors to buy or sell at the wrong time. Markets can be volatile and unpredictable. Prices can fluctuate wildly in response to various factors, such as economic indicators or geopolitical events. During these turbulent times, it is tempting to react impulsively and make irrational decisions based on short-term market movements.
On the one hand, fear normally appears during market downturns, and it can cause investors to panic and sell off assets at a loss, even when most of the conditions that motivated the investment in the first place remain solid. This irrational behavior is driven by a desire to avoid further losses, but it often results in missing out on potential recoveries. The cyclical nature of markets means that downturns are usually followed by recoveries, and selling in a panic can lock in losses that would otherwise be temporary.
On the other hand, greed can drive investors to take unnecessary risks, especially during bullish markets. The fear of missing out (FOMO) can lead to overconfidence, pushing investors to buy overvalued stocks in the hope of quick profits. This behavior is often seen during market bubbles, where the desire for rapid gains blinds investors to the underlying risks. Greed can also result in holding onto winning positions for too long, ignoring signs that it might be time to sell. This can lead to significant losses when the market eventually corrects.
There are three concepts that can explain this behavior:
Loss aversion. People fear losses more than they appreciate gains. About this, there is a very interesting article that critiques the expected utility theory as a descriptive model of decision making under risk written by nobel prize winners Daniel Kahneman and Amos Tversky in 1979. It’s called “Prospect Theory: An Analysis of Decision under Risk”.
Overconfidence. People tend to believe their abilities and knowledge are better than they actually are, undertaking risky investments, thinking they can outsmart the market.
Anchoring. People rely heavily on an initial piece of information (the “anchor”) to make decisions, ignoring other important factors that can determine the best move.
Be patient.
In the world we live in, where instant gratification seems to be the norm, being patient is a challenge that requires strength, some kind of strength that is trained in a process of introspection and self-discovery that goes hand in hand with practical habits.
We know financial markets are volatile and inherently cyclical, experiencing periods of rapid growth followed by corrections or downturns. Being patient in these moments is crucial. Instead of succumbing to fear and selling off assets during market drops, recognize these corrections as opportunities to purchase undervalued stocks at lower prices. By remaining patient and strategically investing during these downturns, you can acquire high-quality assets at a lower cost, positioning yourself for substantial gains when the market eventually recovers.
Patience equals focus on the long-term perspective. By patiently waiting for the value of an investment to appreciate over time, investors can potentially unlock substantial returns. Don’t forget about the benefits of the compound interest and how it works: by holding investments over an extended period, the returns generated each year are reinvested, leading to exponential growth and substantial wealth over time.
When you focus on the long term, you aren’t perturbed by daily market fluctuations. You don’t anxiously check your portfolio every few minutes, and you don’t lose sleep over a single bad day in the market. Your mental peace isn’t held hostage by the unpredictable movements of the market.
Have discipline.
The same goes with discipline, it’s another cornerstone of successful value investing that requires strength and training. It is easy to get swayed by short-term market fluctuations that can trigger strong emotional responses, leading to rash actions such as panic selling during downturns or overbuying during bullish periods. Such reactions conclude in impulsive investment decisions that often result in financial losses and missed opportunities.
Discipline helps you avoid emotional or impulsive decisions, and keeps your focus on the objective that motivated the whole process in the first time. But it doesn’t only aid in achieving financial objectives, it also builds a mindset of stability and confidence. A mindset that will help you get through market’s (and life’s) ups and downs.
It begins with establishing clear investment criteria and adhering to them consistently, regardless of the market noise. By choosing an investment strategy like dollar cost average you are regularly investing a fixed amount of money into the market, despite its current state.
Keep in mind that discipline is not about suppressing emotions, but about acknowledging them and, at the same time, not allowing them to cloud your judgment.
A clear example of the rewards of discipline and patience in investing is the recovery of the stock market after the 2008 financial crisis. Investors who remained patient and disciplined while continuing to invest during the downturn saw significant returns as the market rebounded in subsequent years.
How to manage this psychological aspect
Managing the psychological aspect of value investing is crucial for maintaining a clear and focused mind. Mindfulness and stress management play a significant role in this process.
Mindfulness involves being present in the moment and aware of one’s thoughts, emotions, and surroundings – without judgment. In inversions, this means staying conscious of market movements and your own reactions to these changes without immediately reacting.
Stress management techniques are equally important to deal with the volatility and uncertainty of the stock market. Regular practices such as meditation, deep breathing exercises, and physical activity can help reduce stress levels and improve overall mental health. These activities help to calm the mind and body, allowing you to approach your decisions with a clearer perspective and reduced emotional interference.
By managing stress effectively and by practicing mindfulness, you can gain better control over your impulses, making it easier to have the patience to stick to the long-term investment strategy and have the discipline to avoid impulsive decisions driven by fear or greed.
Remember that incorporating these practices into an investing routine not only enhances decision-making but also contributes to a healthier and more balanced life. If you regularly practice these techniques, you will be better equipped to handle the emotional ups and downs of the market.
How TBI can help you
At TBI we truly believe in the importance of dealing with the psychological aspects of value investing: patience and discipline; as mentioned. And that’s why our service is articulated to help you. From reminders and alerts that we send you to keep track of your investment plan and to help you make decisions without being influenced by psychological factors, to our robust algorithm that allows you to gain confidence in the process to keep moving forward, and much more. We aim to make this apparently difficult process as friendly as possible. Don’t wait any longer and join us: https://theboringinvest.com/#/investment-board
Conclusion
On the surface, investing appears to be all about numbers, data and cold hard facts. However, those who explore its depths realize that investing is both a psychological journey and a financial one. It’s a perpetual dance between fear and greed, between the desire for immediate gratification and the discipline of patience.
Both fear and greed undermine the core principles of value investing, which emphasize patience and discipline. To be successful in this amazing practice of value investing, advocate for a long-term perspective and focus on the intrinsic value of investments rather than short-term market fluctuations or the momentary stock prices.
Overcoming these emotional challenges that surround inversions requires discipline, implying setting clear investment criteria and adhering to them regardless of the stock market conditions. That’s how you make rational decisions that align you with your long-term financial goals.
We hope to have made clear the importance of the psychological aspect of value investing: patience and discipline give you the fortitude to withstand short-term losses for long-term gains. Remember that “investing is a marathon, not a sprint”.
There are several approaches when it comes to portfolio adjustment or asset allocation determination. The best one may depend on specific financial circumstances, risk tolerance, financial objectives, and investment time horizon. Today, we bring you Benjamin Graham’s formula (100 minus age) so you can decide the number of stocks most convenient for you to own according to your age. Let’s learn how you can adjust your portfolio with Graham’s formula and how many stocks you should have according to your age.
Graham’s formula
First of all, let’s make clear what asset allocation means: it’s how investors divide their portfolios among various asset classes such as stocks, bonds, cash, commodities, real estate, etc.
Now, Benjamin Graham is a well-known figure in the investments realm because of his contributions to the community; among his books, we remark The Intelligent Investor, in which he proposes his famous formula “100 minus age”. It consists of subtracting the number of your age in years to 100 and using the result as the percentage of stocks you should invest in.
If you are 30 years old, the formula comes to 100 – 30 = 70 so the 70% of your investment portfolio should be in stocks, the other 30% could be in bonds or other assets. This approach suggests a major exposure to stocks in the youth, when more risk can be tolerated, and a major security in bonds (or other more stable assets) as the investor ages. By the way, this doesn’t mean that stocks can’t be safe, as we explained in a previous article.
Age-Based Investment Strategy
In your 20s and 30s, you have a longer time horizon for your investments to grow, allowing you to take on more risk with a higher proportion of stocks. Stocks typically offer higher returns compared to bonds, making them ideal for younger investors aiming for aggressive growth. At this stage, it’s crucial to diversify your stock investments to maximize potential gains while mitigating risks. Although bonds might play a minor role in your portfolio, their inclusion can still provide a safety net against market volatility.
As you approach your 40s and 50s, your investment strategy should begin to shift towards a more balanced approach, gradually increasing your allocation to bonds. This transition helps to protect the wealth you’ve accumulated while still allowing for growth through stock investments.
In your 60s and beyond, the primary focus of your investment strategy should be on preserving capital and ensuring a steady income stream. This means significantly increasing the allocation to bonds, which offer lower risk and more predictable returns compared to stocks. The emphasis should be on low-risk investments that safeguard your retirement funds.
Advantages and Disadvantages
On the one hand, one of the evident advantages of this formula is the simplified investment decision-making, as it provides a clear and easy-to-follow guide for investors seeking proper asset diversification. It notably helps balance risk and increase financial security; by reducing the number of stocks over time, it decreases volatility and protects accumulated capital.
On the other hand, one of the main disadvantages is that it does not take into account the individual circumstances of the investor, such as their specific financial goals, personal risk tolerance, and economic situation, nor does it consider market dynamics and changes in the economy. We know that these factors can profoundly affect the performance of our investments.
Conclusion
As we saw, it’s very simple how you can adjust your portfolio with Graham’s formula and how it works to determine how many stocks you should have according to your age; it just comes down to subtracting the investor’s age from 100 to determine what percentage of your portfolio should be invested in stocks. It’s a simple and accessible approach for investors seeking to balance risk and security in their portfolios throughout their lives.
It can be very useful as a starting point or as a general rule (rather than a golden rule) to apply in moments of confusion. However, it is important to understand its limitations. Ultimately, the key to a successful investment strategy lies in balance and continuous adaptation to individual needs and market dynamics.
