Brokerage Account 2026: Which Broker to Choose for Investing
Do you know how many Italians still have their savings sitting in a current account earning 0.1% gross? According to Bank of Italy data, at the end of 2025 Italian households held over 1,800 billion euros in bank deposits. An enormous sum. Money that loses purchasing power every single day, eroded by inflation.
Yet opening a brokerage account and starting to invest — even just in simple ETFs — has never been more accessible. In 2026, there are brokers that let you buy your first ETF for 1 euro. One. You don't need massive capital, you don't need an economics degree. What you do need is to know what to do and, most importantly, how to avoid the most expensive traps.
In this article I'll walk you through step by step how to open a brokerage account, which broker to choose based on your profile, what commissions really cost, and what to look at before signing any contract. Everything you can start doing tomorrow morning.
What Is a Brokerage Account and Why Open One in 2026
Let's start with the basics, without any pretense. A brokerage account (or securities deposit) is the container where your financial instruments are held: stocks, ETFs, bonds, funds. It's separate from your current account, though often linked to one. It's not a product "for the rich." It's a normal tool, used by anyone who wants to put their savings to work.
CONSOB, the authority that oversees Italian financial markets, has published data showing that the percentage of active retail investors is growing, with significant acceleration among those aged 25 to 45 — the so-called generation of "late savers" who discovered ETFs on social media and now seek concrete tools. You can check periodic publications on the CONSOB website to get an updated picture of the Italian market.
Why open one right now? European interest rates, after the aggressive hikes of 2022-2023, have stabilized at more moderate levels. Savings accounts no longer deliver what they did a year ago. Anyone wanting real returns above inflation needs to look elsewhere — and ETFs on global indices remain one of the most effective, economical, and transparent tools available to a non-professional investor.
Main Brokers in 2026: Real Numbers Comparison
Let's not dance around it: choosing your broker is the most important decision you'll make before even buying your first security. Commissions, platforms, taxation, customer support — all of this affects your final returns.
Here's a practical comparison of the broker types most used in Italy in 2026:
| Broker | Commission per trade | Annual fee | ETFs in catalog | Best for | |---|---|---|---|---| | Italian online brokers (e.g., Fineco, Directa) | 3–8€ per trade | 0–50€/year | 500–1,500 | Those who want everything in Italian, with banking support | | Neo-brokers (e.g., Trade Republic, Scalable) | 0–1€ per trade | 0–2.99€/month | 2,000–8,000 | Beginners and passive ETF investors | | International brokers (e.g., IBKR) | 1–2€ per trade min. | Variable | 10,000+ | Advanced investors, large portfolios | | Traditional banks | 10–20€ per trade | 30–80€/year | 200–500 | Those already banking there wanting simplicity |
Some concrete numbers to understand real impact. If you invest 500€ monthly in an ETF through a savings plan, that's 6,000€ invested over 12 months. With a broker charging 5€ per trade, you pay 60€ in annual commissions — 1% of invested capital. With a neo-broker at 1€ per trade, you pay 12€. The difference seems small, but over 10 years, thanks to compound interest, those "saved" commissions could have generated additional returns.
What to check before signing up
- CONSOB authorization: every broker operating in Italy must be authorized or passported to operate in the European Union. Always verify on the official CONSOB website.
- Tax regime: Italian brokers (or those with permanent establishment in Italy) apply a 26% withholding tax on capital gains — you don't need to do anything. Foreign brokers "without substitute payer" leave the tax filing burden on you. It's not impossible, but requires attention.
- Capital protection: your securities are yours, separate from the broker's assets. But always verify which protection scheme they adhere to.
- Range of instruments: do you only need ETFs on global indices? 10 tools are enough for you. Want to trade individual stocks? You'll need a broader catalog.
How to Open the Account: 5 Concrete Steps to Take Right Now
Alright. You've chosen your broker. Here's what to do without getting lost in bureaucratic details.
1. Choose your broker based on your profile (not marketing) Don't choose a broker because it has a cute Instagram ad. Ask yourself: do I invest regularly in small amounts or make occasional trades? If you're accumulating monthly, a neo-broker with low or zero commissions is almost always the best choice. If you already have significant assets to manage and also want American and Asian markets, look at more established brokers.
2. Gather necessary documents Valid ID, tax ID number, IBAN of your backup current account. In some cases you'll be asked for a selfie with your ID. Everything is digital, no branch visits needed.
3. Complete the MiFID questionnaire It's mandatory by law. It will ask about your financial experience, risk tolerance, and investment goals. Answer honestly — don't try to "game" the answers to access complex instruments: if you don't understand derivatives, you don't need them.
4. Make your first deposit Almost all brokers accept SEPA transfers (1-2 business days) or direct debit. Some also accept credit cards. There's no mandatory minimum deposit on many modern brokers — but starting with at least 100-200€ makes sense to cover any minimum commissions.
5. Set up an automatic savings plan If your goal is long-term savings, immediately activate a savings plan on a low-cost ETF. Even 50€ per month. Automation is your ally: it removes the decision from the emotional sphere.
My Take
Let's be clear: the broker market in 2026 has become so competitive that commissions are almost no longer the main problem. The problem is people who open three different accounts because "this one has a January promo" and then don't know what they have where. In my experience, speaking with dozens of readers who write to me every week, the most common mistake isn't choosing the wrong broker — it's not starting, or starting and then abandoning everything at the first market dip.
In my opinion, for someone starting in 2026 with a time horizon of at least 10 years, a European neo-broker with low commissions paired with 2-3 ETFs on global indices (an MSCI World, a bond fund, maybe an MSCI Emerging Markets for those with the stomach for it) is the most effective combination. That's it. You don't need more.
A traditional bank brokerage account? I actively advise against it for anyone wanting to optimize returns: high commissions silently but steadily erode your gains. I understand why someone might choose it for convenience, but you need to know what that convenience costs.
Mistakes I've Seen Made (and One Particularly Painful)
Let me tell you Marco's story, 38 years old, office worker in Turin. He emailed me about it six months ago. Marco had accumulated 22,000€ in his current account — four years of savings — and in 2024 decided to invest it through his traditional bank. The advisor suggested an actively managed fund with a management fee of 2.1% and an entry commission of 1.5%.
Let's do the math: on 22,000€, 1.5% entry fee is 330€ paid immediately. Then 2.1% annually on capital that — with average 6% returns — would have grown. After 10 years, comparing that solution to an equivalent ETF at 0.2% annual commission, Marco would have left about 7,000-8,000€ on the table in commissions and missed compound returns. His money, gone quietly.
Today Marco has opened a brokerage account with a digital broker, has a 300€ monthly savings plan on two ETFs, and sleeps better. Not because the market doesn't fall — it does, plenty — but because he understands what he's doing and knows exactly what he's paying.
Most common mistakes to avoid
- Not checking the broker's tax regime: with foreign brokers without substitute payer, forget to report your RW section on your tax return and risk penalties.
- Opening the account and not using it: a dormant brokerage account doesn't help you. If you get stuck, go back to step 5 of the previous section.
- Chasing past returns: an ETF that returned 30% last year isn't necessarily best for next year.
- Over-diversifying: having 15 different ETFs with 100€ each isn't diversification, it's confusion. An MSCI World already includes thousands of companies.
- Ignoring the Total Expense Ratio (TER): it's the annual commission of the fund or ETF, expressed as a percentage. Below 0.30% is excellent. Above 0.80% starts to be heavy.
Frequently Asked Questions
Q: Which is the best broker in Italy in 2026? A: There's no "best" in absolute terms — it depends on your profile. For those starting out wanting to invest in ETFs with low costs, neo-brokers like Trade Republic or Scalable Capital are excellent. Those wanting Italian support and banking integration prefer Fineco or Directa. Always compare commissions based on the type of trade you'll do most often.
Q: Do I have to pay taxes on investments? A: Yes. Investment gains (capital gains and dividends) are taxed at 26% in Italy. If you use an Italian broker with substitute payer, they handle it automatically. With foreign brokers, you must declare it yourself on your tax return. Also consider the annual 0.20% stamp duty on account value.
Q: Can I invest with little money? A: Absolutely. Many brokers allow ETF purchases starting from 1€ through fractional shares. A 50€ monthly savings plan is already a solid start over a 10-15 year horizon. The important thing is to begin, not wait until you have "enough."
Q: Are ETFs safe? A: No investment is risk-free. ETFs on stock indices can lose value in the short term — even significantly. Over long horizons (10+ years), historically major global indices have always recovered and exceeded previous highs. The main risk for a long-term investor isn't volatility, it's selling at the wrong time.
Q: What does "brokerage account" mean for a complete beginner? A: It's simply the digital "drawer" where your investments are kept — stocks, ETFs, bonds. It works alongside a current account: money leaves the current account to buy, and securities arrive in the brokerage account. It's not complicated: many compare it to a shopping cart for financial instruments.
Conclusion
Three things to take away from this article. First: opening a brokerage account in 2026 is simple, fast, and often free — there's no valid excuse left to delay. Second: commissions make a difference over time, much more than we think — a low-cost ETF almost always beats an actively managed fund over 10+ years. Third: the perfect broker doesn't exist, the right one for you does — evaluate the tax regime, commissions on the trades you'll execute, and the range of available instruments.
What can you do tomorrow morning? Go to the CONSOB website and verify that your chosen broker is properly authorized. Then open the account. Then set up a savings plan, even a small one. Returns don't come from perfect decisions — they come from time and consistency.