How to Choose a Brokerage Account — Complete Guide 2026

What to pay attention to when choosing a brokerage account?

Choosing the right brokerage account is one of the most important investment decisions. Cost differences between brokers can amount to PLN 500-2000 annually for an active investor.

Key selection criteria:

1. Commission structure and costs

Transaction commissions

Polish stocks:

• Minimum — from PLN 3 (mBank, BM mBanku)
• Average — PLN 5-10 (XTB, eToro)
• High — PLN 15-25 (BM PKO, Millennium DM)

Foreign stocks:

• Lowest — from 0.08% (Interactive Brokers)
• Average — 0.25-0.39% (XTB, Plus500)
• High — 0.5-1% (Polish banks)

ETFs:

• Free — 0% commission ETF list (XTB, Trading 212)
• Paid — standard rates like stocks

Fixed fees

2. Available markets and instruments

Stocks and ETFs

Must-have for every investor:

• GPW — Polish stocks and bonds
• NYSE + NASDAQ — American blue chips
• LSE — European UCITS ETFs
• XETRA — German stocks and ETFs

Nice-to-have:

• Asian markets (Japan, Hong Kong)
• Emerging markets
• Cryptocurrencies

Derivative instruments

For beginners — NO:

• CFD (contract for difference)
• Options and warrants
• High leverage Forex

For experienced:

• Leveraged and short ETFs
• Stock options (hedging)

3. Trading platform quality

Basic functions

Mandatory:

• Fast order placement (< 2 seconds)
• Real-time quotes (or max 15 min delay)
• Candlestick charts with basic indicators
• Transaction history and portfolio

Useful:

• Mobile application
• Watchlist and price alerts
• Stock and ETF screening
• Automation (DCA, stop-loss)

User experience

What to test before opening an account:

• Demo — does the broker offer a test account?
• Speed — does the platform freeze?
• Intuitiveness — is it easy to place an order?

4. Security and regulations

Licenses and supervision

Polish brokers:

• KNF (Polish Financial Supervision Authority) — highest protection
• Guarantee Fund — up to EUR 3000 protection

Foreign brokers:

• CySEC (Cyprus) — basic EU protection
• FCA (UK) — high protection (up to GBP 85,000)
• SEC (USA) — highest protection (up to USD 500,000)

Fund segregation

What it means: Your money is separated from the broker's funds. Even in case of company bankruptcy, your assets are safe.

Check:

• Where the broker stores client funds
• If it has insurance policy
• Company history (how many years in the market)

5. Education and support

Educational materials

For beginners:

• Investment Academy — stock market basics
• Webinars — live with experts
• Simulators — practice without risk

Customer support

Test before opening an account:

• Response time — max 24h for email
• Service language — Polish vs English
• Contact channels — phone, chat, email

How to choose a brokerage account — step by step

Step 1: Define your investor profile

Beginner passive (ETFs):

• Priority: low ETF costs
• Recommendation: XTB, Trading 212, mBank

Beginner active (Polish stocks):

• Priority: education + low commissions
• Recommendation: mBank, BM mBanku, XTB

Advanced (global stocks):

• Priority: market access + tools
• Recommendation: Interactive Brokers, Saxo Bank

Step 2: Calculate annual costs

Example for ETF investor (PLN 24,000 annually):

Step 3: Test the platform

Checklist:

• Register demo account
• Test order placement
• Check mobile application
• Contact customer service

Step 4: Check hidden costs

Often overlooked fees:

• Currency conversion (spread 0.2-2%)
• Dividend payments (PLN 0-25 per transaction)
• Tax reports (PLN 0-200 annually)
• Market data (PLN 0-100 monthly)

Most common mistakes when choosing a broker

1. Focusing only on commission

Low commissions aren't everything. A poor platform can cost more than savings on fees.

2. Ignoring security

Don't open an account with the "cheapest" unlicensed broker. The risk of losing all savings is real.

3. Not testing the platform

Many people open accounts without testing the platform. Then regret it during the first system failure.

4. Not reading terms and conditions

Hidden fees are in the fine print. Always read the fee and commission table.

When to change brokers?

Signs it's time to change:

• High costs compared to competition
• Frequent failures of the platform
• Poor customer service
• Lack of development — broker doesn't add new features

How to transfer portfolio:

1. Open account with new broker
2. Securities transfer order (usually free)
3. Close old account after transfer

Recommendations for different profiles

For long-term savers

XTB — free ETFs + good education

• ETF commission: 0%
• Minimum: PLN 0
• Regulation: KNF (Poland)

For active investors

Interactive Brokers — lowest costs + best tools

• US stocks commission: from USD 0.35
• Minimum: USD 10,000
• Regulation: SEC (USA)

For beginners

mBank — Polish bank + reasonable costs

• Polish stocks commission: from PLN 3
• Minimum: PLN 0
• Regulation: KNF (Poland)

Summary

Choosing a brokerage account is a decision for years. Don't rush — test several brokers, compare total costs and only then make a decision.

Remember: The best broker is one that fits your investment style and allows you to achieve long-term financial goals with the lowest costs.

Use the Freenance app to track all your investments in one place — regardless of which broker you have accounts with.