Anyone with a large portfolio on Degiro?

Kilkenny93

Was wondering if anyone here has a large sum with Degiro (say 10k+) and how safe you feel your money is?

I'm thinking about depositing a relatively large sum into my account.

gawker

There is a Dutch government guarantee of 20k with them if that helps.

kenyard

they charge a commission. take interest off any margin where its not requested. I think they will be fine to be honest...
They're fast becoming the EU's main provider for the average person i think considering the charges.
I have more than 10k and dont have any worries currently. I'm sure they have a few kk worth of investments and if they did have to shut majority would surely be recoverable..

Robinhood is operating without any commission in the US and doing ok (working on investments and loans i think currently tho).

if they got more options i think they would become more widely used than by the average joe soap..but because they are operating on a software base rather than having a lot of personnel to keep costs low; I think they will only expand it in future.

Dardania

kenyard wrote: »

they charge a commission. take interest off any margin where its not requested. I think they will be fine to be honest...
They're fast becoming the EU's main provider for the average person i think considering the charges.
I have more than 10k and dont have any worries currently. I'm sure they have a few kk worth of investments and if they did have to shut majority would surely be recoverable..

Robinhood is operating without any commission in the US and doing ok (working on investments and loans i think currently tho).

if they got more options i think they would become more widely used than by the average joe soap..but because they are operating on a software base rather than having a lot of personnel to keep costs low; I think they will only expand it in future.

Very unfortunate name, in the context of someone concerned about a relatively large sum not being stolen!

cherrytaz

Interesting thread. As per above poster I have more than the Dutch Government guarantee of 20k invested with Degiro. Had obviously started off much lower but will dollar cost averaging every month this has steadily grown.

Would you consider this high risk i.e. worst case scenario I get 20k back from my much larger than 20k portfolio? What are the alternatives, a more secure broker with higher fees??

Dardania

cherrytaz wrote: »

Interesting thread. As per above poster I have more than the Dutch Government guarantee of 20k invested with Degiro. Had obviously started off much lower but will dollar cost averaging every month this has steadily grown.

Would you consider this high risk i.e. worst case scenario I get 20k back from my much larger than 20k portfolio? What are the alternatives, a more secure broker with higher fees??

Isn't this where CREST is meant to help

kenyard

Seems they have an answer to this when i did a quick google...

https://www.degiro.co.uk/about-degiro/safe-and-reliable.html

In the unlikely event something happens to DEGIRO, client assets will be returned to the clients rather than being treated as recoverable assets. The money is ring-fenced, safely held in the capital of the custodian and not mixed with DEGIRO assets.

so you are safe on shares as they are returned to you... because they are not owned by degiro the 20k covering doesnt apply.

i dont know if you had something on margin how this would work however... is it owned by you or by them or by a bank?
I also dont know if you had cash with them how it would work since that is a different asset class and they definitely have stuff about being able to do stuff with your cash when you have it sitting there... I assume if you have cash up to 20k this is covered by the dutch govt guarantee... although degiro isnt really a bank so...

Kilkenny93

Interesting.

Just to be clear I'm looking to deposit the cash into the account and leave it sit there until I want to buy something that I like.

Would 10k be safe just sitting in cash on Degiro?

cherrytaz

kenyard wrote: »

Seems they have an answer to this when i did a quick google...

https://www.degiro.co.uk/about-degiro/safe-and-reliable.html

In the unlikely event something happens to DEGIRO, client assets will be returned to the clients rather than being treated as recoverable assets. The money is ring-fenced, safely held in the capital of the custodian and not mixed with DEGIRO assets.

so you are safe on shares as they are returned to you... because they are not owned by degiro the 20k covering doesnt apply.

i dont know if you had something on margin how this would work however... is it owned by you or by them or by a bank?
I also dont know if you had cash with them how it would work since that is a different asset class and they definitely have stuff about being able to do stuff with your cash when you have it sitting there... I assume if you have cash up to 20k this is covered by the dutch govt guarantee... although degiro isnt really a bank so...

I got a similar response from Degiro as below:

Any cash you deposit is kept and managed in professional cash funds, again off the balance sheet of degiro.

This means that we can not use any cash you deposit with us as assets in the case of financial trouble.