Using DeGiro

jams100

Shedite27 wrote: »

Jim, you've posted this stuff a few times that modern brokers don't get the same prices but have never explained it further than "do your own research". Anything I've seen on discount brokers (TD Ameritrade, Degiro, Schwab, E*trade), basically says it comes down to volume. In the past lower trading volume, meant they had to charge €20 a pop to stay in business. Now with retail investors buying shares every day, they can make the same revenue charging 50c a trade. So can you please let us know what you mean or stop your tin-hat scaremongering

I've heard that trading 212 make most of their money of cfds, not sure about the other ones, but in America cfds aren't allowed, one thing is for sure they are making money somewhere along the line. That's one of the main reasons I'm happier with Degiro, I dont mind paying a small commission if things are being done right. Then again who knows maybe degiro dont give you the best price either, its quite hard to find information on this with most companies. To coin a cliché, if its sounds too good to be true it probably is.

Taylor365

jams100 wrote: »

I've heard that trading 212 make most of their money of cfds, not sure about the other ones, but in America cfds aren't allowed, one thing is for sure they are making money somewhere along the line. That's one of the main reasons I'm happier with Degiro, I dont mind paying a small commission if things are being done right. Then again who knows maybe degiro dont give you the best price either, its quite hard to find information on this with most companies. To coin a cliché, if its sounds too good to be true it probably is.

Well, after researching about, the basic account which most are signed up to on Degiro, lends out up to "30% of your shares". The recipient must be able to cover the amount + extra to take said shares.


IF for what ever reason, the lender can't pay the shares back, and Degiro "can't" compensate you, you are out of pocket.


All this happen without your knowledge day-to-day. I guarantee all the other low cost brokers are up to the same stuff.

Bob24

Taylor365 wrote: »

Well, after researching about, the basic account which most are signed up to on Degiro, lends out up to "30% of your shares". The recipient must be able to cover the amount + extra to take said shares.


IF for what ever reason, the lender can't pay the shares back, and Degiro "can't" compensate you, you are out of pocket.


All this happen without your knowledge day-to-day. I guarantee all the other low cost brokers are up to the same stuff.

You can choose a “custody” profile on DEGIRO and there won’t be an lending of your securities.

Also for your reference even when security lending occurs, your counter party is DEGIRO and not the borrower, so both the borrower and DEGIRO would need to become insolvent at the same time for you to be impacted, and even then the collateral which was posted would still belong to you. Also it is important to understand that the collateral posted by the borrower is worth more than 100% of what they are borrowing, and it gets automatically liquidated if markets moves in a way which brings the ratio below 100% (margin call).

Not all brokers are doing this, and those who do should signal it clearly. For exemple Interactive Brokers offers to do it as an option and pays the customer some money in exchange for lending their securities. To my knowledge Trading 212 are using Interactive Brokers as a custodian without securities lending.

Bluebb993

Have a question regarding using degiro, have tried to search elsewhere but hasn't really been cleared up.

How do transactions from bank accounts to degiro accounts look in terms of banks looking at statements for mortgage applications? If tax is paid on any declared income will they be Any questions, and if not would they ever look for degiro statements, & would their opinion differ from say stocks & cyrpto. Thanks

Shedite27

Bluebb993 wrote: »

Have a question regarding using degiro, have tried to search elsewhere but hasn't really been cleared up.

How do transactions from bank accounts to degiro accounts look in terms of banks looking at statements for mortgage applications? If tax is paid on any declared income will they be Any questions, and if not would they ever look for degiro statements, & would their opinion differ from say stocks & cyrpto. Thanks

Hard to know for sure, I'm guessing once you're not losing money then it shouldn't be a problem.

Bob24

Bluebb993 wrote: »

Have a question regarding using degiro, have tried to search elsewhere but hasn't really been cleared up.

How do transactions from bank accounts to degiro accounts look in terms of banks looking at statements for mortgage applications? If tax is paid on any declared income will they be Any questions, and if not would they ever look for degiro statements, & would their opinion differ from say stocks & cyrpto. Thanks

If they see transactions to/from a stock broker or a cryptocurrency service, they are likely to ask for your statements from the broker / crypto service.

As long as you aren’t investing *and losing* large amounts on a regular basis, it shouldn’t be an issue though. Their main purpose to make sure that any large amount going in and out of your current account is coming from or going to another account you control (or if you don’t control it they will ask why you are gifting/receiving large amounts of money).

I think most banks have now accepted that trading crypto is no less legit that trading stocks and it shouldn’t make a difference (of course assuming their isn’t anything suspicious from a legal perspective or excessively risks/losses related to what you are doing).

lamaq

On closed positions in Degiro, does the Total P/L include fees or is that kept separate?

UsBus

Hi folks,

I'm having awful hassle with the new Flatex setup. Could someone advise what I am doing wrong..? I've sent a bank transfer to the new Flatex IBAN twice but it keeps getting sent back.

My bank account is linked/verified with Degiro. Do I need to link my account to the flatex account or what are they looking for. The support email from Denmark just keeps sending out the same reply without explaining what to do.

Bob24

UsBus wrote: »

Hi folks,

I'm having awful hassle with the new Flatex setup. Could someone advise what I am doing wrong..? I've sent a bank transfer to the new Flatex IBAN twice but it keeps getting sent back.

My bank account is linked/verified with Degiro. Do I need to link my account to the flatex account or what are they looking for. The support email from Denmark just keeps sending out the same reply without explaining what to do.

It shouldn’t be any different from what you were doing before (except of course changing to the new Flatex IBAN, which it sounds like you did).

To my knowledge, the only restriction is that (as before) the transfer can only come from the current account which you have registered with DEGIRO, otherwise they’ll send back your money. But it seems you are doing that as well (maybe double-check that the right account still is registered if you haven’t already done so).

If those 2 conditions are met, I don’t think there is anything else you could be doing wrong. Unfortunately you’ll probably have to insist with the support team so that the dig deeper into the issue.

kaymin

Mightily p*ssed off with degiro - Hammerson offered a scrip dividend alternative which is worth 10+ times the value of the cash dividend. Degiro never notified me of the option (I discovered it by chance) and the deadline for submitting the preference is today but their internal deadline is 2 days ago so I'm too late.

Foregoing the scrip dividend alternative will cost me €1500+. They notified me by email of the rights issue a few months back yet don't notify me of the scrip dividend alternative. :mad:

Rant over

Jim2007

kaymin wrote: »

Mightily p*ssed off with degiro - Hammerson offered a scrip dividend alternative which is worth 10+ times the value of the cash dividend. Degiro never notified me of the option (I discovered it by chance) and the deadline for submitting the preference is today but their internal deadline is 2 days ago so I'm too late.

Foregoing the scrip dividend alternative will cost me €1500+. They notified me by email of the rights issue a few months back yet don't notify me of the scrip dividend alternative. :mad:

Rant over

Well if Degiro have a policy of notifying you by email of corporate actions and they failed to do so, then stop ranting and go file a complaint requiring them to correct the situation. I don’t see the need to rant when you have a solution to hand.

kaymin

Jim2007 wrote: »

Well if Degiro have a policy of notifying you by email of corporate actions and they failed to do so, then stop ranting and go file a complaint requiring them to correct the situation. I don’t see the need to rant when you have a solution to hand.

Yes I've made a complaint already and I believe I've got a good case but their T&Cs also place a onus on clients to keep track of corporate actions. My crappy experience may be of benefit to others that use degiro to not rely on DEGIRO's 'best endeavours' commitment to notify clients of corporate actions they are notified of.

ganmo

They also state that they're default is to opt for non script dividends.

Jim2007

kaymin wrote: »

Yes I've made a complaint already and I believe I've got a good case but their T&Cs also place a onus on clients to keep track of corporate actions. My crappy experience may be of benefit to others that use degiro to not rely on DEGIRO's 'best endeavours' commitment to notify clients of corporate actions they are notified of.

Not a chance then. I half expected it. I have never received an email from a broker. If you don't keep on top of your investments, you loose. Screwed up corporate actions is a regular problem.

kaymin

Jim2007 wrote: »

Not a chance then. I half expected it. I have never received an email from a broker. If you don't keep on top of your investments, you loose. Screwed up corporate actions is a regular problem.

I don't agree that there's not a chance. The following extracts from their T&C are in my favour. My issue is that they fell down on each one of these. They had a deadline to select your preference yet don't communicate that deadline - seems shoddy. Also the cash dividend was worth 1/10th of the scrip dividend yet they deem the cash dividend to be in my best interests :rolleyes:

1. DEGIRO endeavours to collect as much as possible relevant corporate action information from its network and data vendors so as to be able to inform its clients as complete and timely as possible'.
2. 'For corporate actions that require a choice from you, we will on a best effort basis endeavour to timely send you an email in which we invite you to provide us with your Instruction.'
3. 'Any corporate action Instruction must be received by DEGIRO before the deadline. The deadline is the date and time specified as such by DEGIRO.'
4. 'If timely Instructions of Client in case of for instance takeover purchases, optional dividend, claims and other rights that have a time limit, are not given, DEGIRO can do what deems to DEGIRO to be in the best interest of its customers.'

Also I have always received an email from DEGIRO when there was a decision to be made regarding a corporate action, the most recent being the Hammerson rights issue only a couple of months ago.

doctorg

One More Toy wrote: »

Should be in the annual report you get each year with totals

Any idea when the annual report is due to be in ?

Taylor365

doctorg wrote: »

Any idea when the annual report is due to be in ?

16th December

Joke, they should be visible now.

pluto_322

2020 Annual Report has now been issued.

Shedite27

pluto_322 wrote: »

2020 Annual Report has now been issued.

Apart from not including the 30 day rule, it's a very handy report

Browney7

pluto_322 wrote: »

2020 Annual Report has now been issued.

Does anyone hold Apple? For the share split in Q3, degiro sold and rebought in order to process the split which is showing as a realised gain in my report which I didn't initiate. Anyone else seeing this and are you going to factor this into your 2020 CGT return?

Nemeses2050

Browney7 wrote:

Does anyone hold Apple? For the share split in Q3, degiro sold and rebought in order to process the split which is showing as a realised gain in my report which I didn't initiate. Anyone else seeing this and are you going to factor this into your 2020 CGT return?

In splits and mergers, they buy and sell at the same price...if you check other gains and losses you should have two figures.

Browney7

Nemeses2050 wrote: »

In splits and mergers, they buy and sell at the same price...if you check other gains and losses you should have two figures.

The Apple "gains" were realised and included in the gains from sale of shares category. Ie they "sold" at the price pre split and rebought at the price post split so my holding value didn't change but they are showing that I realised a gain when I didn't action any sale request

Amouar

This is common from Degiro. They did the same for me when a company changed ISIN: Sold the shares and realized gain before buying the same amount of shares under the new ISIN.

One More Toy

Browney7 wrote: »

Does anyone hold Apple? For the share split in Q3, degiro sold and rebought in order to process the split which is showing as a realised gain in my report which I didn't initiate. Anyone else seeing this and are you going to factor this into your 2020 CGT return?

No way am I factoring this in my return, if ever queried I can provide evidence of a split

jhegarty

I see the report doesn't include "Currency fees". I presume those can be used against CGT ?

I so is there a way to tell what there were before the end of year ?

Amouar

One More Toy wrote: »

No way am I factoring this in my return, if ever queried I can provide evidence of a split

Just don't forget to capture the previous gains when you sell the new shares

One More Toy

Amouar wrote: »

Just don't forget to capture the previous gains when you sell the new shares

But of course

doctorg

Has anyone verified the realised gains/loss shown in the report vs the realised gains/loss shown in the app for closed positions.

There seem to be discrepancies. I would assume, I can use add and minus the realised gains/loss to come to a final number on which I can calculate CGT

jams100

doctorg wrote: »

Has anyone verified the realised gains/loss shown in the report vs the realised gains/loss shown in the app for closed positions.

There seem to be discrepancies. I would assume, I can use add and minus the realised gains/loss to come to a final number on which I can calculate CGT

Generally speaking they seem close enough. Some of them are a couple of euro out for me

Taylor365

I suspect something is funky with degiro's DB and the currency of realized positions fluctuating every day.