1Yr·

Topic: Trading fees and strategy | Bank employees

Dear Getquin community

I hope you are doing well.

My career path has recently taken me to a bank.

This will now have an impact on my investment behavior as it is not allowed for us bank employees to trade through external brokers according to the guidelines.

Until now, I have traded my assets through Degiro and benefited from the favorable trading fees offered by online brokers. :)

My strategy there was to invest 10% of my income in securities (individual stocks, ETFs, REITs) every month, with a long-term investment horizon. Fees were usually not higher than ~CHF 10 per trade.

With my personal custody account at my employer's bank, I now pay per trade - despite staff conditions:

Shares and ETFs traded in Switzerland: CHF 47.50
Shares and ETFs traded on other markets: ~CHF 79

As you can see, this is significantly more expensive than with online brokers.

In this regard, I would like to get different opinions from the community here on how you would adjust your purchase interval in light of this. I was thinking about investing higher amounts at longer intervals instead of monthly, so that the higher transaction fees don't carry so much weight. Perhaps someone can share their own experiences?

I am very much looking forward to your feedback.

Many thanks in advance.

Have a nice day and happy Easter. :)

#bank
#banken
#banker
#aktienhandel
#strategie
#investieren
#gebühren
#investment
#anlagestrategie
#broker
#depot
#handel
#wirtschaft
#aktien
#etf

10 Comments

Enrique@Dividenden_Monteur

1Yr

Is this really legal in Switzerland? 😅

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Salvatore@mrsalva

1Yr

@Der_Dividenden_Monteur Yes, this is common practice at Swiss banks and this directive is in line with the requirements of the market conduct rules of the Financial Market Supervisory Authority. These rules state that financial institutions that are supervised by FINMA must take measures to ensure that employees' transactions are monitored. Keyword: market manipulation, etc.

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Ella Marie Waschbär@DividendenWaschbaer

1Yr

@mrsalva So in Germany you can trade wherever you want, but you have to send every transaction to the compliance department, preferably automatically.
Some brokers also offer this free of charge. Perhaps you should look into this option. I think it's called "Sending duplicates for compliance-relevant employees"

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René@Balatonbob

1Yr

I would run an online broker through my wife and be done with it. I would NEVER pay such fees in my life.

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Staatsmann@Staatsmann

1Yr

@Balatonbob However, it may be that the partner's transactions must then also be disclosed and monitored in accordance with the compliance rules. :)

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René@Balatonbob

1Yr

@Staatsmann 🙄

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Salvatore@mrsalva

1Yr

@Staatsmann That is indeed the case.

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Staatsmann@Staatsmann

1Yr

@mrsalva Yes, I know. :)
My uncle was once in management at a large automotive company in Germany.
All securities transactions by him, his wife, his daughters and their husbands had to be fully disclosed and reported to the compliance department.

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Epi@Epi

1Yr

What about ETF net policies? Are they also monitored?

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Soprano@Soprano

1Yr

At my employer, it's compulsory to wear pyjamas with the CEO's face on them at night.

The question is, how are they going to control that?

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