How to Invest in US and Global Stocks from Germany (2026 Guide)

Since January 2018, EU retail investors cannot purchase US-listed ETFs (like VOO, SPY, QQQ) due to MiFID II PRIIP regulations requiring a Key Information Document (KID). US ETFs don't provide these. Instead, German investors must use UCITS ETFs:

• Vanguard FTSE All-World UCITS ETF (VWRL or VWCE) — UCITS equivalent of VT
• iShares Core S&P 500 UCITS ETF (CSPX) — UCITS equivalent of VOO/SPY
• Xtrackers MSCI World UCITS ETF — broad global exposure
• These UCITS ETFs are listed on XETRA (Frankfurt) and other European exchanges
• Exception: IBKR Pro account allows professional investors to purchase US ETFs under professional client classification

• Interactive Brokers (BaFin-regulated): lowest FX cost. Access to XETRA, NYSE, and 150+ exchanges. UCITS ETFs available.
• Trade Republic: popular German neobroker. €1 flat commission per trade. No FX fee on EUR-denominated UCITS ETFs (most don't require FX). Simple app.
• Scalable Capital: similar to Trade Republic. Subscription model (€2.99/month) for unlimited trades. Good for regular investors.
• DKB / ING Germany: bank-based brokers. Higher fees but trusted brands for German investors.

• Abgeltungssteuer: 25% flat rate on all investment income (capital gains, dividends, interest) + 5.5% solidarity surcharge = ~26.375% effective rate.
• Freistellungsauftrag: annual exemption of €1,000 per single person (€2,000 for couples). Investment income below this threshold is tax-free.
• German brokers (Trade Republic, Scalable) automatically deduct and remit taxes. For foreign brokers (IBKR), you file Anlage KAP with your German tax return.
• Vorabpauschale: German annual advance tax on ETFs (a pre-computed minimum tax on unrealised gains). Applies to accumulating ETFs (like VWCE).