How to choose a broker on the stock market for a beginner and open an account to form an investment portfolio

Why look for the best broker?

This article is dedicated to finding the best broker in Russia.
I spent several days to find out which broker is the best not only for a beginner, but for any trader. The idea to write such an article arose when I read several resources on the network on this topic and still couldn’t find the answer to who is the best. In addition, I myself am a client of several brokers in Russia, having significant amounts in brokerage accounts.

Therefore, this issue needs to be carefully considered not only by beginners, but also by experienced traders.

After all, competition among brokers forces them to constantly work on their tariffs and service. This means that a situation could easily arise when it’s time to leave one broker for another. After all, that other broker gives a more favorable offer for your trading on the stock exchange.

1. How to increase your brokerage account from 50,000 to 100,000 rubles. Description in the VKontakte group

2. How to increase your brokerage account from 50,000 to 100,000 rubles. Description in the group In the telegram channel

And by the way, if you are still looking for information about how to trade on the stock exchange without a broker, how to play on the “stock exchange” without a broker (this is how beginners usually think), then I will hasten to disappoint you. You can only trade through a broker! And under no circumstances should you play, but rather trade. This is not Russian roulette, but serious business!

So, let's go!

The importance of choosing a broker at the start

I think this article is very important for beginners. Those guys who, out of necessity or due to advertising “enticements”, became interested in trading on the stock exchange.

And just opening a brokerage account is the very first step to trading, it is not yet clear what. Before we start looking for and choosing a broker, you need to understand:

Trading on the stock exchange does not always mean profit; losses also happen. And commissions to a broker can also be considered as losses.

In general, this is a controversial issue about losses. After all, commissions to a broker can also be considered as costs of your trading, your business.

But this doesn’t change the essence! And brokerage commissions can significantly reduce your overall profit or loss. Especially if you look at these numbers by year.

This means that you must initially choose a broker with minimal commissions. And here it is important not to pursue the task in a straightforward manner, but also to consider and compare a number of other equally important parameters.

Important! And they need to be considered first, no matter how absurd it may sound!

Now you are just a newbie on the stock exchange, but in a year you will want to trade, for example, American stocks. And the broker you choose will not have access to the St. Petersburg Exchange.

So what are you going to do?

Look for another broker! Of course, it’s quite easy to leave one broker for another now, but it’s still a hassle and extra hassle.

Let's go through the brokers and choose the best one based on the parameters: price-quality. To remove the uncertainty in choosing the best broker in 2020, I will try to analyze all the major brokers according to various parameters and try to choose the same broker that is reliable and convenient for the average person.

Basic criteria for choosing a broker to work with

Have you decided on your investment goals? Have you decided that you will act on the stock exchange as a trader ? The next question is how to choose a broker , a reliable and competent intermediary between an individual and an exchange, a platform where the assets of thousands of companies are traded. Where you can earn millions in the future. Or lose, including through the fault of the broker.

The fact is that a citizen can become a participant in transactions with assets only through the mediation of a brokerage company. Having concluded a contract, first pay attention to the following parameters:

♦ Reliability

This, perhaps, can be called the main factor when choosing a broker . Especially for a novice investor. It is necessary to analyze the duration of the intermediary's work on the exchange. I do not recommend making a choice based only on reviews on the Internet. They may be paid for by competitors.

In addition, according to current laws, the broker is required to open a separate account for the client’s funds. Thanks to this, the investor ( trader ) receives a certain guarantee that if the broker goes bankrupt, he will not lose his money. If a broker, under any pretext, tries to add a clause to the contract that allows him to use his funds without the client’s permission, this should raise red flags.

Even if additional preferences in the form of a commission are offered for this use of client money. And the agreement states that the brokerage company attracts these funds for operations without risk...

The second, depository account, is opened to record rights to shares or bonds purchased by the client. No less important reliability criteria are:

• the presence of a credit rating better compiled by a well-known agency ( National Rating Agency or Expert RA );
• the rating posted on the official website of the Moscow Exchange is an objective indicator of the size of the broker, his activity and the success of his clients’ trading on the exchange;
• size of the brokerage company ( bank providing the relevant services ).

♦ Availability of licenses allowing the provision of brokerage services

In accordance with the “ Law on the Securities Market ,” only companies that are professional market participants and have the appropriate license from the Central Bank of the Russian Federation can engage in intermediary activities on the stock exchange in Russia.

Ideally, a large and reliable brokerage company ( bank ) has 2 types of licenses - confirming the status of a professional stock market who has the right to engage in brokerage activities. As well as a license for a professional participant in the securities market, which allows you to engage in depository activities.

In its absence, the acquired assets will have to be stored in an external depository, which will lead to additional costs for the trader . In principle, most large and medium-sized brokers have such permission.

Brokerage companies ( banks ) are required to post information about received licenses on their official website. With the obligatory indication of a unique number and date of issue.

♦ Availability and ease of use of additional services

Do you want to choose a good broker? Then you should look for a company that provides financial advice and analytics on the selected exchange instrument. Some clients make decisions on their own, while others need help in calculating the profitability of investing in certain securities and suggesting profitable objects for short-term transactions.

A responsible and reliable broker simply must be interested in the success of his clients’ trading. He should have training programs ( free or paid ) at his disposal. The main thing is that the trader and investor receive the necessary amount of knowledge that really helps to make profitable deals on the stock exchange. Use stock exchange instruments wisely.

Naturally, a client, especially a beginner, expects both technical support and stable feedback from a broker. Such an organization of interaction will allow the client to quickly resolve all technical issues. Some brokerage companies include in the contract a clearly defined entry threshold ( the initial amount that the client must deposit into his account ). traders and investors should pay attention to this criterion .

♦ Commission amount

The broker's regular tariff includes:

• exchange commission ( Moscow Exchange takes 0.01% of turnover );
• tariff for intermediation of the broker ;
• payment for maintaining a depository account;
• commissions for withdrawing money from a brokerage account.

If you are relying on income from dividends received from a long-term investment, you must choose a tariff without constant fees for the software solutions used and for maintaining a trading account. Commissions should not be more than 0.05% of the transaction. If the tariff exceeds 0.05% , be careful, it looks like a scam.

Narrowing the circle of brokers for analysis

If you see an advertisement for a broker, you should understand that this broker is not the only one. There are so many of them now that a month is not enough to study each in detail.

Therefore, I went to the Moscow Exchange website and decided to start looking for a group of brokers for my analysis based on the question that first came to my mind:

Who are these brokers and who have the most active clients?

This is the first question that came to my mind to conduct an analysis. Specifically active clients, because clients can open a brokerage account, but not trade for various reasons.

One of which, by the way, is that the trader just stopped liking the broker.

Accordingly, it is even interesting to look at both lists. I think that just looking at these numbers you can make some kind of primitive conclusion about choosing a broker.

What do you think?

In table No. 1, from the data available on the Moscow Exchange in the public domain, I collected into one table the figures for the total number of attracted clients and active clients.

Table No. 1. Data from the Moscow Exchange website for December 2020

Active clients are those people who have made at least one transaction. And it’s easy to calculate the percentage of active clients from the total number of clients for each broker.

Even Sberbank did not have impressive numbers. See for yourself!

With him everything is clear why there are so many clients. Why be surprised, Sberbank is a state bank. All budget salaries go through this bank. And people associate it with some kind of reliability.

It is unlikely that there will be a situation with Sberbank that periodically occurs on federal channels about the bankruptcy of small banks.

I was more impressed by Tinkoff! And table No. 1 shows that the percentage of active clients is higher than that of Sber:

1. % of active users of the total number of Sberaraven 7.7
2. % of active users of the total number of Tinkoff is 10.5

Well, in positions 10 and 12 there are simply giants unknown to me in terms of the percentage of active clients. The numbers are simply not even close to Sberbank and Tinkoff.

1. % of active users of the total number of GPB Bank is 14,640
2. % of active users of the total number of Alfa Capital is 41,850

In general, the top ten brokers, or rather the 12 best brokers, together with Alfa Capital, attracted the most clients to the exchange, taking the lion's share of the market of potential traders and investors under their wing.

I would also take the Kit-Finance broker into the fight for the title of best broker. Still, his percentage of active clients is 6.0%. And further from the list I want to remove all banks that are also brokers. This means Kit-Finance automatically falls into the top ten.

Above, I looked at the data for December 2020, but even according to the data as of May 1, 2020, the leaders have not changed much.

Table No. 2. Data from the Moscow Exchange website for April 2020

But this is not enough to choose a broker. Let's analyze the trading volumes of brokers. From the data on the Moscow Exchange website for April 2020, trading turnover is as follows:

Table No. 3. Comparison of brokers by trading turnover according to the Moscow Exchange

Looking at table No. 3, it is immediately evident that Sberbank is in 10th place in terms of customer turnover.

Sberbank is not such a giant as a broker.

The top three super leaders in terms of transaction value are:

1. Group of companies Region
2. FG BKS
3. Renaissance Broker LLC

Now you can decide on the top 10 brokers who lead either by the value of client transactions, or by clients attracted to the exchange, or by active clients.

So, drum roll, we announce the list.

And by the way, we try to choose those brokers who specialize in this. As practice has shown, banks have much worse customer service.

And it may even be necessary to write a separate article where we can look specifically at the brokers who carry out this activity other than their main one. And the main one is the banking sector.

Start studying

Any new type of activity always seems incomprehensible to a person, and therefore often raises many questions.

What can we say about the financial sector, when considerable funds are at stake - many in this situation are haunted by the fear of not understanding things properly, and, as a result, of losing a lot.

Or, for example, this area may seem so huge to someone that at the very thought of it, uncertainty overcomes: “What if it doesn’t work out?”

I hasten to reassure you - everything is not as complicated as it might seem at first glance! In this matter, the most important thing is not to rush, but to move forward all the time.

So, how can you start investing without any experience so that you can earn a solid income from your investments in the future?

First of all, complete the training. Without proper knowledge of the basics, it is impossible to competently gain a foothold on the stock exchange. First, you need to find out how to enter the stock market, then – which financial instruments you should invest in.

Find out which ones present the least risk now and which ones can significantly increase your profitability.

Next, you need to decide which broker to choose. Now, in the age of Internet technology, it is very easy to obtain such knowledge. You don't even have to get up from the couch.

For my part, I will continue to introduce you to the world of the stock market so that you can improve your own knowledge.

Opportunity to open a brokerage account online

Brokers' offices are usually located in large cities. And now you can open a brokerage account without coming to the broker’s office if you live somewhere in a remote taiga village. This service is available from almost all major brokers.

Let's see, after all, maybe some of the brokers still have problems with remote servicing.

I went through the websites of the brokers listed above and several brokers who have problems with remote account opening are dropping out of the competition.

1. Renaissance broker
2. Univer Capital LLC
3. LLC IC “Freedom Finance”
4. Group of Companies Region

Availability of options, futures and other derivatives

It is no coincidence that I chose this item as the next item to filter out unnecessary brokers. And 95% of newcomers who come to the exchange believe that futures trading is very complicated and complicated. And when choosing a broker, do not consider futures or options trading at all.

All official websites of brokers talk about trading on the stock exchange as an opportunity to be an investor. Thus, clients’ understanding of other earning opportunities is narrowed.

The idea is that only by investing somewhere and something can you earn good money. So the broker wants you, dear clients, to direct your attention specifically to investing.

This is the kind of poster you will find on the website of any broker. as if investments can enrich a person.

But investing is a very serious job that gives good money for the same big good money. And an ordinary person who comes to the exchange will usually have from 100,000 to 1,000,000 rubles. This is very little for a normal return on investment.

Investment poster on the BCS broker website

But in fact, you can not invest, but calmly speculate in futures of the Derivatives Section of the Moscow Exchange. And commissions on futures are significantly lower than when trading stocks.

By the way, in my school, for kids who decided to trade futures, I give a specific example that shows such a big difference in commissions and more. And the advantages of futures trading are so obvious even in the fact that in a month you can trade only 5 days out of 20 trading days and get more than in investing.

And investing may not yield anything, not a penny, by the end of the investment period.

Therefore, I believe that the table of brokers that provide the opportunity to trade futures and other derivative assets is very appropriate for screening out narrow brokers.

From our list, which was thinned out in the previous analysis, the following brokers remain that provide the opportunity to trade futures:

1. FGS BKS
2. Opening
3. Finam
4. Alor+ LLC
5. Keith Finance
6. Aton LLC

Advantages of trading on a small deposit.

Experience.

Experience is an important factor to consider when trading the Forex market. Trading with small amounts allows you to gain experience while minimizing your losses. Once you have gained enough experience, you can move on to using larger amounts for trading.

Testing.

Trading with a minimum deposit is useful not only for novice traders. Experienced traders can also trade with small amounts when they want to try a new trading strategy.

Better risk management.

When trading a large account, many traders tend to use fuzzy math when assessing risk, reward, or potential trades. This is because they make a lot of trades, and the difference between good and almost acceptable risk seems insignificant. However, when you trade with a small deposit, you need to accurately calculate your trades and the risks in each trade.

With a small amount in your account, you usually invest all your capital in one trade. Therefore, if you suffer a loss on this trade, it will have a significant impact on your deposit as a whole. Additionally, when you are working with a small account, your goal is to achieve a specific goal, which is to increase your accounts enough to be able to hold multiple positions at the same time. Therefore, any loss, no matter how small, is felt as a real failure.

Losing less money.

As a novice trader, it is very likely that you will lose your first deposit. Therefore, if you start with a minimum deposit, you will lose less, making it a smart decision.

Emotions.

One of the advantages of trading with a minimum deposit is that you will only manage one trade at a time. This helps relieve a huge amount of stress, allowing you to focus on the specific deal. As a result, you become accustomed to managing stress and trading, allowing you to gradually increase your ability to manage multiple positions.

Possibility of replenishing a brokerage account

A very important parameter. For example, you wanted to top up your brokerage account, but the broker’s office is not in your city. Transferring money to an account using the details is such a task. Moreover, commissions must be paid to banks providing such services. And bank commissions simply stifle citizens.

In my opinion, the coolest way is to go to the office with money. I don’t take into account that we are going there on a tram with a bag of money. But it’s more reliable that they will arrive accurately and there will be no commissions.

I don't think you'll do this often. After all, everyone came to the exchange just to accelerate the initial deposit and grow it to cosmic figures. Well, maximum once a year you will report money to the brokerage account.

But I also like the service of transferring money through a mobile application from some brokers. But there will be a commission to another bank too. There is no escape from this.

I don’t see any point in opening cards from banks of the same broker that are part of the same financial group. The fewer different cards, the better.

This is approximately what I found from our brokers.

BKS

1. From a card of any bank in the “My Broker” application
2. By bank transfer using the details from any bank account
3. Through BCS cash desks
4. Free transfer from the "Broker" card in your personal account "BCS Online"

Opening

1. Transfer from a bank account
2. Transfer of funds from another professional participant in the securities market
3. Top up your account remotely using online banking
4. Top up your account remotely with any other money transfer, if you can specify bank details during the transfer

Keith Finance

1. You can deposit funds by bank transfer through any bank.

Finam

1. Cashless transfer from a bank account
2. Through the cash desk of Bank FINAM
3. Using a bank card (0% commission) from a FINAM Bank debit card
4. Using a bank card when topping up from a bank card of any third-party bank (1%)

Here, as they say, everyone has their own option. I very rarely deposit money into a brokerage account, so I prefer the option of depositing money through the broker’s cash desk in the office. This is such a strange preference I have!

How to open a brokerage account

Opening a brokerage account is easy. Many organizations provide the service online. You will need a passport, some ask for additional information, for example, TIN, SNILS. The application is reviewed within one day.

How to start working with a broker:

1. Submit an application on the website or at the company office. The second option is not a problem in large cities. But in medium and small ones the choice is sometimes limited to a couple of banks, which is not always favorable in terms of tariffs.
2. After approval of the application, signing of an agreement for brokerage and depository services. Completed documents are sent by mail or delivered in person.
3. Opening accounts (there can be several of them at once, for example, a simple brokerage account, IIS, for trading on the derivatives market, etc.). Registration on the exchange. As a rule, after 1–2 days you receive a notification that you can deposit money and make transactions.
4. Refill. The broker provides the details. You transfer money by bank transfer through a mobile application or on the company's website. Depending on the bank, the process can take from a few minutes to several days.
5. Direct trading and formation of your own investment portfolio.

The question is often asked: “What happens if a broker goes bankrupt or their license is taken away?” Unfortunately, funds in brokerage accounts in Russia are not insured (unlike Europe and America), so you should not store money there like in a bank. After replenishing your account, immediately buy securities. In this case, a record that you own certain shares or bonds is sent to the depository. If a broker leaves the market, you can easily switch to another, and your records of paper ownership will remain intact.

Access to foreign securities

Now I’m thinking about getting into trading on foreign exchanges. I'm just interested in comparing our dismal market with the American market. I would like to see super cool and long-term trends, etc. And now the factor that is important to me is whether the broker has access to foreign sites.

Do you understand where I'm going with this conversation? By the way, this is the argument and example I spoke at the beginning of the article. A trader grows, evolves and can expand his field of activity.

Broker Aton LLC is knocked off our list of brokers. I would like to start trading on the American market with smaller amounts of money.

Trading apps

Just a few years ago, the most popular terminal for individual investors was the QUIK platform. Many people still use it today, but broker mobile applications are becoming more and more widespread for making transactions on the stock exchange.

In an ideal situation, the client has maximum choice: he can trade both through the broker’s native application and through third-party terminals. Both a web version and applications for computers and mobile phones are available.

In the table below I show what our top brokers provide to their clients as software.

Here it is very difficult to remove someone from the list for the title of “best broker in Russia”. I only trade in the Quik terminal and I don’t need any, not even mobile versions of Quik. Therefore, it would be wrong to remove a broker with modest software from the list.

But for yourself, you can already note what you would like to use for your trading.

For now it's decided! We leave all brokers for further struggle.

Promsvyazbank is a broker providing services with a minimum commission

Promsvyazbank is one of the few companies that fully provides banking and brokerage services for both individuals and legal entities. Clients using the company's brokerage services gain access to the stock, money, derivatives and over-the-counter markets, and opening an account is quite simple - in one of the branches of the financial organization of the same name. The motivation for completing the registration procedure is primarily the favorable tariffs, which make PSB an attractive service provider for people who buy shares in small quantities with further retention over a long period of time.

Customers are offered to choose between monthly and daily rates:

• in the first case, the commission starts from 0.05% of turnover,
• in the second - from 0.08%, but they are not fixed.

The greater the user’s trade turnover, the more profitable the work will be for him. For example, turnover in the range of 5-10 million rubles is already carried out with a commission of 0.03%.

Particularly noteworthy are the tariffs for those wishing to carry out trading operations through the FORTS derivatives market - contracts are closed with a fixed 30-kopeck commission, which other brokers of the Moscow Exchange are unlikely to boast of. There are no subscription fees or minimum amount restrictions in all cases.

As software, Promsvyazbank provides the QUIK platform, which is one of the most popular solutions among stock market participants. In addition to the standard client, there is also a version adapted for the web and a separate option for users of smartphones running Android, which allows you to work on the stock exchange from anywhere in the world where there is a more or less stable communication channel with the Internet. Of course, from time to time we receive complaints about some problems with the technical part, but most of the time the information comes promptly, and requests are executed as quickly as possible.

BEST FOREX BROKERS, ACCORDING TO THE RUSSIAN RATING FOR 2020:

The largest ECN broker in Russia and the CIS!
1998 Regulation: FCA, NAUFOR. $5000 DEPOSIT | review / reviews 2007. FinaCom. CASHBACK UP TO $14 PER LOT! | review / reviews The largest Forex bonus in history! 2007 Regulation: BVI FSC. STARTUP BONUS $1500 | review / reviews 1997. National Bank of the Republic of Belarus. NOT FOR RF! FROM $50 TO $5,000 | review / reviews 2007. Financial Commission. FOREX / OPTIONS FROM 1$ |
review / reviews AND ALSO THE BEST BINARY OPTIONS BROKERS FOR TODAY:

The most favorable conditions!
TRADE WITHOUT VERIFICATION | review / reviews Innovative platforms 2020. $3000 FOR DEPOSIT | review/feedback

VTB Broker is a company worthy of a rating among brokers with a minimum deposit and commission

As the name suggests, behind this organization is one of the most influential Russian banks - VTB24. In addition to banking and depository services, it also gives clients access to trading and investing in stocks and bonds, classic Forex and many other services. Starting with a minimum deposit, the client can enter with these funds the leading stock exchanges of the Russian Federation, purchasing/selling shares, corporate securities and other assets from a wide list of provided ones.

A whole range of derivative instruments, government, corporate and sub-federal bonds are also available (however, other Moscow Exchange brokers also support all of the above). Participation in trading is available to both individuals and institutional investors.

Among the advantages of VTB Broker it is worth highlighting:

The simplest and fastest way to open an account. The application can be submitted online, so some of the preparatory work will already be done by the time you cross the threshold of one of the VTB bank branches in your city. Availability of demo accounts that allow you to try the broker’s functionality and test your strategies – both on Forex and on the stock market. Reliability, supported by the company’s reputable position in the country’s banking industry, large financial turnover and a constantly growing number of clients. Customer focus. Stock market participants can use the help of qualified consultants from the support service at any time. It is available around the clock, the staff is responsive and answers everyone - both by phone and through other available communication channels. Work with the popular QUIK platform and other popular software. Rates of various assets are downloaded and updated in the shortest possible time, there are no problems with the execution of orders.

With VTB’s minimum commission everything is more than decent – ​​it is at the level of 0.014-0.09%. This is a good indicator that other Moscow Exchange brokers may envy. The depository commission is 150 rubles. The entry threshold, which allows you to acquire your own individual investment account, is set at the 30 thousand mark.

We recommend: Review + analysis / reviews of VTB 24 broker

Review of tariffs and commissions of VTB broker

The minimum amount of money a client has in a brokerage account and commissions in the form of subscription fees

Minimum entry threshold and subscription fees

As we can see from the table below, almost all brokers have abandoned the minimum threshold for entering trading on the exchange. The minimum threshold refers to the minimum amount of money that you deposit into your brokerage account for trading.

Previously, brokers had it from 30,000 to 100,000 rubles. But competition forces us to make more flexible conditions for clients, otherwise the client will go to a competitor, and this is already a disaster for any broker.)

However, it is clear from the table “Minimum threshold for entry and subscription fees” that brokers are trying in one way or another to take some kind of subscription fee from their clients under any pretext.

Some brokers charge a fee if, as a result of trading, trading commissions for volume do not exceed a minimum threshold.

For example: You have a total of 29,000 rubles in your account. And the broker has a condition in his tariffs that if the amount in the brokerage account is less than 30,000 rubles, you must pay him, for example, 100 rubles monthly.

Others only charge if at least one transaction is made during the month. If there are no transactions, no commission is taken.

And this monthly fee feature is one of the sources of income for any broker.

Let's look at other sources of broker income. I think it’s obvious that we won’t be able to remove anyone from the list in this section either. All brokers take a monthly tribute from us, their clients, under various pretexts.

Transaction fees

Important! When buying or selling securities, the broker takes a commission in the form of a percentage of the money turnover. When trading futures contracts, there is usually a fixed amount per contract, etc.

You must understand that when trading different assets on the market and on different platforms, the methods for calculating the brokerage commission are different.

Important! We do not take into account exchange commissions. Its size is 0.01% of the operation volume. And no broker can change it. Everyone will have the same commission. (Futures have different exchange commissions. We’ll look at them briefly later in this article.)

Statement of the exchange commission from clients when trading (from the Moscow Exchange website)
When trading futures, the most accurate and correct figure about the exchange commission will be in the passport for the futures itself.

Extract from the passport of the dollar/ruble futures contract

Depository fee

There may be no fee, a percentage of capital, or a monthly fee. Very often, promotional materials for a particular tariff do not say anything about it. But this does not mean at all that it does not exist. This is simply a marketing ploy for the client’s first acquaintance with the broker.

In this regard, I liked the Kit-Finance broker. Their website has fairly simple and clear navigation.

Extract from the official website of the broker Kit-Finance

We open the information on the depository and see that everything is clearly and clearly written.

But this is not always obvious to brokers. Kit-Finance is simply handsome in this matter!

You can also look at this information for other brokers when analyzing. It is very difficult to write for each, because in some tariffs it is a separate figure, in other tariffs it is already included in the subscription fee.

Here everything needs to be calculated individually. I give an approximate diagram of how to do an analysis based on tariffs at the end of the article. You can use this as a template.

Is it worth starting trading if you only have 100 rubles to start with?

Trading on stock exchanges is not a cheap activity. The financial instrument will allow you to get a high income if all the requirements of the site are met.

On such popular binary options platforms as OlympTrade, Binomo, 60 Seconds, the minimum deposit starts from $5. On Forex, as I already said, there are brokers with a limit of $1. But it should be borne in mind that with such a small amount it is impossible to make a million-dollar profit from playing on the stock exchange.

Of course, you can start trading with 100 rubles, but it is not profitable. This money will be spent on concluding just one transaction, and its result will not necessarily be positive.

What is the minimum amount you can use to try your hand at trading?

Experienced players believe that beginners should start trading on the stock exchange with 30 thousand rubles. The profit from a smaller amount will be so small that it will not provide the necessary motivation to continue trading.

However, you can start with the Forts exchange, where the GO (guarantee) for purchasing futures is 1000 rubles. However, in order to perform more significant trading manipulations, it is worth investing at least 5,000 rubles. This amount is enough to buy shares in Gazprom or Magnit.

And on the RTS Index, novice traders can gain experience in trading on the exchange with one contract, having 15 thousand rubles. In any case, each participant must understand that by investing just 1 ruble, you cannot earn 100 times more.

What to do if you don’t want to invest more than 100 rubles?

Then there's no point in trying. You should not start trading with such an amount for the sake of interest or to gain experience, since many exchanges provide beginners with the opportunity to trade using a demo account. You will be provided with virtual money, and you will be able to develop your own strategy or test a ready-made one.

Also, a number of brokers create conditions in which you can earn money without investment. For example, the Binomo platform regularly holds tournaments between novice traders with demo accounts. The winners are awarded real money or given the opportunity to make a certain number of transactions, the profits from which they can take for themselves.

Ideal tariff for a simple investor

There is no such tariff!

This is where the difficulty lies. But don’t be discouraged, remember three parameters that will help you choose such a tariff specifically for your trading. And we have already discussed them above.

1. No monthly minimum fee
2. Low commissions for your trades
3. No depository fee

And by the way, when working through these three parameters, immediately discard super expensive tariffs with analytics or a personal broker, or super cool software platforms.

If you don't know how to trade, then none of this will help you. You'll just end up paying every month for something you can do without.

The most reliable brokers according to investment ratings

It’s no coincidence that I didn’t start the article with ratings. I'm so skeptical about ratings. After all, if you rely on them, you will have to delve into the calculations and parameters of these very ratings. Moreover, it is possible to inflate these same ratings for selfish purposes. But now that we have identified a narrow circle of brokers that are normal for work, we can look at their ratings, just in case.

Typically, a broker's reliability rating has the following symbols: AAA+, AAA, AAA-, BBB, CCC, and so on. Ideally, the higher the rating, the more reliable the broker.

Let's look at the website of the National Rating Agency to see which of our five are on this list and in what place.

And the Moscow Exchange website also has its own rating, which includes all of our five brokers.

To my surprise and not surprise, the National Agency's rating practically coincided with my analysis. So we are going with you in the right direction!

Which broker is best for a beginner? A specific case with calculations.

General selection of tariffs for me from the best brokers in Russia

What's next?

It seems that the list of brokers has been significantly reduced, but it is still not clear who to choose.

Also important is customer service and maximum availability, which includes a free hotline and the ability to resolve any issue very quickly over the phone. All four have no problems with telephone availability.

Which means, I repeat, there is no ideal broker.

Each person will have their own ideal broker. And even if you are a beginner, the selection criteria will be the same as for an experienced trader. If it is present on the Moscow Exchange, then it is already reliable.

And I give you the following recommendations:

1. You can choose one of the four brokers who remained with us after my subjective selection.
2. After determining your personal plan for developing yourself as a trader on the stock exchange, you can choose the optimal plan from any of these brokers. You don't need to go to their office to do this. You can find out by calling a financial advisor.

You don't have to stop with the first broker you call. Don't be lazy to call all four. And, having compared the optimal offer on paper, choose a suitable broker.

For example, I now trade only futures on the Derivatives Market of the Moscow Exchange, then:

1. I don't need the stock market
2. I don't need the foreign exchange market
3. But I need charts of Stock and Foreign Exchange market instruments for analysis!
4. I don't need any paid analytics or paid consulting
5. What is important to me is very powerful remote telephone support with employees who understand perfectly the problem that I can clumsily explain.
6. It is important for me to get through to the broker very quickly, and not like the Sberbank broker (you can hang on the wire for hours).
7. Fast withdrawal of money to the card is important to me
8. It is important for me to quickly receive money as a deposit to a brokerage account
9. I don't care about any programs or mobile applications. Grabs Quik.

This all, as you understand, concerns the Derivatives Market. The question may arise: “Which broker to choose for trading on the Stock market?” To do this, we slightly change the phrases in the questions posed and, using the same scheme that will be below, we look for the answer for ourselves. It's simple!

So, let's go look for the best one for me from this four! Let's calculate the commission when trading 1 futures contract, and then 20 futures contracts.

Since brokers’ websites are crazy about tariffs: everything is confusing and somehow incomprehensible, I started calling our four brokers.

I started calling the Otkritie broker’s toll-free number from about two o’clock in the afternoon Moscow time and never got through. The answering machine always says that all operators are busy.

Okay, busy so busy.

I called the broker Finam. I got through right away and asked for the tariffs I was interested in to meet my requirements to be sent to me by email.

In a couple of minutes, they found me a tariff for futures with a fee of 0.45 rubles per contract. True, there is a subscription fee for maintaining an account of 177 rubles per month.

I called the Otkritie broker again and the answering machine reported that all the specialists were busy.

I'm calling the BCS broker. I called right away. She clarified my understanding of the tariffs to ensure they were correct and chose the optimal one for myself.

I have pre-selected the “Investor” tariff for now.

I call the Otkritie broker again. Another answering machine.

Broker Otkritie is dropped from the list for the title of best broker in Russia.

Moreover, on the website I found such information on the tariffs I was interested in. The “Universal” tariff for trading futures contracts is 0.74 rubles. And this is already more expensive than the Finam broker.

I say to the Otkritie broker: “Come on, goodbye!”

According to Kit Finance everything is very clear. I didn't even have to call. All the information is very simple on the website and without complicated tariffs.

So, we have chosen more or less suitable tariffs for trading only futures on the Derivatives Market of the Moscow Exchange with the best brokers in the country.

It seems that they are all good and profitable. But this is only at first glance.

We choose a specific tariff for trading on the stock exchange from the best brokers in Russia

In order to choose the best tariff, and therefore the broker, we need to determine such a trading parameter as the number of transactions per month.

In my case, this is usually no more than 30 (even with a reserve, I take the number) transactions per month. But to choose a tariff, you need to multiply this figure by two.

Why do you need to multiply by two?

The answer is simple. Because we open any transaction and pay a commission. And then we close this deal and again pay a commission to the broker.

This means that my parameter “Number of transactions per month” is 60.

We consider the benefits of the Kit-Universal tariff of the Kit-Finance broker for my trading.

0.65*60*1=39 rubles is the entire commission to the broker for trading one futures.

0.65*60*20=780 rubles is the entire commission to the broker for trading in each of 30 open and then closed transactions with 20 futures contracts.

But!

Broker Kit-Finance has a clause in the tariff that if the total commission for a month does not exceed 200 rubles, then they will charge the missing amount from the brokerage account.

The total amount of commissions from the Kit-Finance broker when I trade 1 futures per month will be a maximum of 200 rubles. When trading 20 futures, the commission will be 780 rubles.

We consider the benefits of the “Day” tariff of the Finam broker for my trading.

This tariff includes a mandatory subscription fee for maintaining an account. It is 177 rubles.

For a transaction of one futures contract, the commission is 0.45 rubles.

What happens then?

(0.45*60)*1+177=204 rubles. When trading 1 futures.

(0.45*60)*20+177=717 rubles when trading 20 futures.

Already 4 rubles more than the Kit-Finance broker when trading 1 futures. And when trading 20 futures, it is 780-717 = 67 rubles cheaper.

But again, here it is better to look at your dynamics of the number of entries for about a month.

I took 30 entries with a reserve. In fact, I have fewer entries. You can clearly see which of these two brokers is better from this table. In my calculations, I take trading 1 futures.

Let's analyze the chain of tariffs from the BCS broker for my trading.

The BCS broker has three interesting tariffs for me when trading futures on the Moscow Exchange. If Finam only liked one tariff out of all the tariffs, Kit-Finance has only one tariff, then the BCS broker has many of them. But interesting three:

1. Tariff "Trader"
2. Tariff "Investor"
3. Tariff "InvestorPro"

Analysis of the “Trader” tariff of the BCS broker

Let’s look at the “Trader” tariff of the BCS broker. Let's look at the extract from the official website of BCS according to the tariff:

The total amount of commissions to the broker is:

(1*60)*1+199=259 rubles when trading 1 futures

(1*60)*20+199=1399 rubles when trading 20 futures

Let's look at the extract from the official website of BCS for the "Investor" tariff:

Analysis of the “Investor” tariff of the BCS broker

Important! Here you need to look not only at the amount of commissions per month for 30+30 transactions. Otherwise, it will be more difficult to understand whether the tariff is beneficial for me or not?

We calculate the total amount of commissions to the BCS broker:

3*60*1=180 rubles - with the number of transactions 30+30 per month when trading 1 futures

3*60*20=3,600 rubles when trading 30+30 per month when trading 20 futures

3*40*1=120 rubles with the number of transactions 20+20 per month when trading 1 futures

3*40*20=2400 rubles with the number of transactions 20+20 per month when trading 20 futures

3*16*1=48 rubles with the number of transactions 8+8 per month when trading 1 futures

3*16*20=960 rubles with the number of transactions 8+8 per month when trading 20 futures.

Important! I usually have about 8 transactions per month. But the figure of 960 rubles is higher than the figure of the broker Kit-Finance (780 rubles) and Finam (540 rubles)

Analysis of the "InvestorPro" tariff of the BCS broker

The huge subscription fee immediately catches your eye. And if your brokerage account is up to 900,000 rubles, then the commission for one futures contract will be as much as 5 rubles. And even if you have 5 million-10 million rubles in your account, you still spend a lot on commissions. I think I will make a more detailed comparison in a separate article, but for now this tariff loses in the ranking of the optimal tariff for futures trading.

(5*60)*1+299=599 rubles. With my number of transactions per month being 30+30, the commission turns out to be super cosmic even when trading 1 futures.

(5*60)*20+199=6199 rubles. With my number of transactions per month being 30+30, the commission turns out to be super-super cosmic when trading 20 futures.

Conclusion according to three tariffs of the BCS broker

1. According to the “Trader” tariff, the total commission per month is 259 rubles with a subscription fee for 30+30 transactions per month when trading 1 futures
2. According to the “Investor” tariff, the total commission per month is 180 rubles without a subscription fee for 30+30 transactions per month when trading 1 futures
3. According to the InvestorPro tariff, the total commission per month is 599 rubles with a subscription fee for 30+30 transactions per month when trading 1 futures

But we won’t trade one futures all our lives. While we are learning, we are trading one futures. And when we learn, we will trade 20 futures. despite the fact that I took 20 futures into account for futures with GO for approximately 5,000 rubles.

In some transactions out of these 20 settlements, the commission will be less, since the number of futures will be less due to the large GO.

How much money is needed to start trading on the Moscow Exchange?

Hi all. Today I will answer a frequently asked question: “with what amount can you start trading on the Moscow Exchange?” Because many people believe that this requires a very large amount. In fact, the advantage of trading is that there is a very low barrier to entry into this area.

Here is the current screenshot from the QUIK terminal (below). Here it is worth paying attention to the GO (warranty) column. This is the minimum amount to purchase one futures. That is, if you have at least 5 thousand rubles in your account, you can already trade the most popular futures for dollar/ruble, euro/dollar, oil, Gazprom, Sberbank, etc. There are, of course, more expensive instruments. For example, the RTS index. GO is currently 21,250.

I talked more about GO in a separate article. Here is the link.

As for the stock market, 1 lot of many popular instruments costs even less. 1 lot of Gazprom currently costs 2,351 rubles. About the same for Sberbank. There are also more expensive tools. The most expensive instrument is Transneft. 1 lot costs 157 thousand rubles.

Naturally, it is better to have a reserve amount in the account. Better from 10-15 thousand rubles. Then you can comfortably trade a minimum volume on the most popular instruments with adequate risk. With most brokers you can open an account with this amount, in my experience. Despite the fact that for many the minimum amount for opening is indicated above. This amount is quite enough to study at the initial stage, test your strength and understand how much you like this type of activity. And in the future you can slowly begin to increase volumes. Since it will take a huge amount of time to achieve adequate income from such amounts. I recommend reading this article.

Often, with many brokers, in order to choose an adequate tariff plan, you need an account balance of at least 50 thousand rubles. Such tariffs most often have a certain monthly fee (usually a small one from 177 to 280 rubles), but more favorable conditions for transactions. Therefore, choose the right tariff plan. And as I noted, you can start with 10 thousand rubles, but in the future it is better to report at least up to 50 thousand rubles.

Learn about opening an account with a broker and choosing a tariff here.

By the way, this is exactly the amount with which I started at one time and ended up with a good income. In any case, with such an amount you will already draw the right conclusions for yourself and make a decision as to whether you will continue to engage in this activity or not. If everything works out for you within six months or a year and you like this profession, you can start adding money to your account in order to quickly reach an adequate income. There are few businesses you can start with such amounts. Many may argue that they don’t have that kind of money, well, earn it. There is no other option. But start with the Russian market. There is no need to go into Forex. Most believe that in this market the starting amount required is lower. In fact, in Forex they provide huge leverage, which allows you to trade with an amount of a thousand rubles, but which also leads to the loss of your deposit. Then you will have to report another thousand, and another, and another. And most likely you will quickly become disappointed in this area. Here is an article about leverage.

You can also start investing with small amounts. Above I noted how much the shares cost. If you have at least a thousand rubles in your account, you can already buy some OFZ (federal loan bonds). The most conservative tool. Many ETFs are also inexpensive. To form a less diversified portfolio on the Russian market from shares, OFZ, etf, it is better to plan investments for the first year of at least 200 thousand rubles. But even if you buy at least 2 thousand rubles worth of official bonds every month, it will be better and more profitable than keeping money in the bank.

Therefore, the main desire. If there is a desire, then there will always be ways to achieve the goal. Good luck to everyone. Bye.

Sincerely, Stanislav Stanishevsky.