{"id":14130,"date":"2026-10-27T10:03:48","date_gmt":"2026-10-27T10:03:48","guid":{"rendered":"https:\/\/www.exporis.ch\/when-every-broker-is-affordable-what-makes-traders-stay\/"},"modified":"2026-10-27T16:38:24","modified_gmt":"2026-10-27T16:38:24","slug":"when-every-broker-is-affordable-what-makes-traders-stay","status":"publish","type":"post","link":"https:\/\/www.exporis.ch\/de\/when-every-broker-is-affordable-what-makes-traders-stay\/","title":{"rendered":"When Every Broker Is Affordable, What Makes Traders Stay?"},"content":{"rendered":"

Low trading fees helped online brokers attract millions of European investors. Keeping those customers now depends on execution quality, reliable technology and the range of financial services available through their accounts.<\/p>\n

Online brokers have spent years reducing the cost of investing. Low commissions, mobile trading and straightforward account opening have drawn customers away from traditional financial institutions, while recurring investment plans have made regular purchases of shares and funds easier.<\/p>\n

Competition has narrowed the differences between providers. Several platforms now offer inexpensive transactions, savings products and access to international markets, leaving brokers with fewer opportunities to compete through price alone.<\/p>\n

Their financial results reveal another difficulty. Acquiring accounts requires marketing expenditure, while revenue depends on how customers fund and use them. The cost of maintaining technology, compliance and customer support continues even when trading activity declines.<\/p>\n

The Cost of Winning Customers<\/h2>\n

Swissquote reported 1.22 million client accounts at the end of June 2026, adding 64’011 during the first half of the year. Client assets reached CHF 96.3 billion, supported by CHF 5.1 billion in net new money.<\/p>\n

Its mobile finance business had accumulated 423’409 accounts and CHF 4 billion in client assets. Marketing expenditure represented more than half of its incremental net revenues during the period, and the business reported a pre-tax loss of CHF 1 million. Swissquote expected it to break even over the full year.<\/p>\n

The figures show how much investment can precede profitability in digital financial services. A newly opened account contributes little until the customer transfers assets or starts using the platform, while advertising expenditure is incurred immediately.<\/p>\n

Some customers invest regularly, others trade in response to market movements, and many hold securities for long periods. These differences affect transaction income and the demand for services.<\/p>\n

Brokers have responded by broadening their offerings. Savings plans, cash accounts and additional investment products provide reasons to maintain a relationship even when customers are not trading actively.<\/p>\n

That expansion puts them in closer competition with digital banks and traditional financial institutions, particularly when customers begin treating a trading account as part of their everyday finances.<\/p>\n

Trading Fees Tell Only Part of the Story<\/h2>\n

An advertised commission does not capture the full cost of buying or selling securities. Bid-ask spreads, currency conversion and other applicable charges also affect the amount investors pay, along with the price at which an order is executed.<\/p>\n

European regulators have scrutinised the arrangements behind low-cost brokerage. The EU’s prohibition on payment for order flow took full effect on 1 July 2026 after the transitional exemption expired.<\/p>\n

The practice allowed certain brokers to receive payments from trading venues or intermediaries for directing orders to them. Losing that revenue has forced affected providers to reconsider how they fund inexpensive trading.<\/p>\n

New EU execution rules also address how investment firms select trading venues and monitor the quality of their arrangements. Swiss brokers operate under domestic regulation, while firms serving EU customers must comply with the applicable European requirements.<\/p>\n

These developments leave brokers explaining services that are harder to compare than headline commissions. Investors need information about trading costs, available markets and execution arrangements, especially when choosing platforms for larger or more frequent transactions.<\/p>\n

Reliability Becomes Part of the Purchase Decision<\/h2>\n

The demands placed on a trading platform vary considerably between customers. Someone investing in an exchange-traded fund each month needs reliable recurring transactions and accurate account records. An active trader depends more heavily on order functionality, market data and access during volatile sessions.<\/p>\n

Sudden increases in trading activity test a broker’s infrastructure. Delayed orders and unavailable systems create uncertainty about transactions precisely when market prices are moving quickly.<\/p>\n

Customer support faces the same pressure. Account restrictions, transfer problems and disputed transactions require staff who can examine records and resolve individual cases. Automated assistance handles routine enquiries, but it does not eliminate the need for specialist support.<\/p>\n

The broker bears the expense of these services regardless of the commission charged. Investors encounter their quality when they need to change an order, transfer money or correct a problem with their account.<\/p>\n

As platforms expand into savings and banking products, operational reliability extends to payments, recurring deposits and access to cash. Customers using several services through one provider expect them to work together.<\/p>\n

Engagement Has Its Limits<\/h2>\n

Trading applications allow brokers to communicate with customers through price alerts, market commentary, notifications and investment information. These services help users follow their portfolios, although regulators have questioned features that encourage excessive trading.<\/p>\n

In September 2026, the European Securities and Markets Authority warned about the influence of social media and game-like elements on retail investor behaviour.<\/p>\n

The concern creates a tension for brokers that earn revenue from trading activity. More transactions generate income, but frequent dealing is not necessarily in customers’ financial interests.<\/p>\n

European regulators are also working to simplify the retail investment process. In March 2026, ESMA outlined changes to digital disclosures and assessments of customers’ knowledge and experience, aiming to make investment services easier to navigate without weakening investor protection.<\/p>\n

Brokers need to distinguish between customers who use their accounts regularly and those whose activity increases because an application encourages further transactions.<\/p>\n

A client making monthly investments may place relatively few orders while maintaining a longstanding relationship. Another may trade intensively for several weeks before withdrawing assets. The number of transactions alone provides little information about customer retention.<\/p>\n

What Brokers Have Left to Compete On<\/h2>\n

The expanding range of investment platforms has given customers more choice while making many of the industry’s original selling points commonplace.<\/p>\n

Brokers serving active traders still compete through market access, order functionality and execution arrangements. Platforms aimed at long-term investors place greater emphasis on recurring investments, custody services, reporting and account administration.<\/p>\n

Their marketing must reflect those differences. A headline promising inexpensive trading gives customers little information about the platform’s suitability for their investment habits.<\/p>\n

Existing customers also encounter the broker through account statements, transfer procedures, support services and updates about products. Poor experiences in any of these areas can undermine the advantages that originally attracted them.<\/p>\n

The commercial challenge extends beyond bringing new investors onto a platform. Funded accounts, continuing deposits and assets retained provide a clearer picture of the relationships brokers have established than registrations alone.<\/p>\n

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Building Brokerage Relationships Beyond Low Fees<\/b><\/h3>\n

Brokerage marketing<\/a> has relied heavily on commissions and introductory offers. As competing platforms advertise similar prices, providers need to explain the services behind their trading accounts.<\/p>\n

Communicate total trading costs.<\/strong> Customers need accessible information about spreads, currency conversion, execution arrangements and applicable charges alongside commission schedules.<\/p>\n

Address different investors.<\/strong> Active traders and long-term investors have different requirements. Product content and campaigns should reflect the markets, tools and account services each group uses.<\/p>\n

Show how the platform operates.<\/strong> Clear explanations of order handling, account transfers, technical capabilities and customer support help prospective clients assess the service.<\/p>\n

Measure retention alongside acquisition.<\/strong> Funded accounts, recurring deposits, assets held and continuing use of services provide a fuller picture of campaign performance than registrations.<\/p>\n

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