Interactive Brokers ETF Purchase Fee

First Time Investing 🎓
1

Dear BrokerChooser,

I’m a bit confused about how much it actually costs to buy ETFs on Interactive Brokers. Between all the pricing tiers and potential extra fees, I’m not sure what I’ll end up paying. Can you please explain how it works? What is the minimum fee of buying 1 ETF? I would like to buy European ETFs, domiciled in Ireland and Luxemburg.

Thanks,
T

2

Hi T,

Interactive Brokers is a fantastic choice for trading ETFs. They offer very low fees compared to the industry, which is great for keeping costs down.

For European ETFs, under IBKR Pro Fixed Pricing, here’s how it works:

  • Commission: 0.05% of the trade value.
  • Minimum Fee: €1.25 per trade.

For example, if you buy an ETF worth €1,000, the commission would be €0.50 (0.05%), but since the minimum fee is €1.25, that’s what you’d pay. Larger trades benefit more from the percentage-based commission. Note that IBKR Lite offers commission-free trading on U.S.-listed ETFs but is generally not available to European clients.

For detailed information, you can refer to Interactive Brokers’ official European Stock Commissions page.

You’ll also want to factor in any currency conversion fees if your account currency differs from the ETF.

Let me know if you have more questions—happy to help!

Kind regards,
Samuel