Trade opportunities

You have the possibility to invest on almost all stock exchanges worldwide, for a full list of available markets please refer to Products & Markets

Currently transaction tax is charged for the purchase of Italian, French, Irish and British shares.

In 2012 France decided to implement this form of tax, Italy followed in 2013. This tax is charged under the name Financial Transaction Tax (FTT). When you trade French or Italian stocks intra-day, buying and selling within the same trading day, this tax doesn’t apply.

This tax doesn’t apply to some French and Italian shares. The tax is only levied for transactions in French companies with a market capitalisation of over 1 billion Euros. For Italian companies the minimum market capitalisation is 500 million Euros.

Stamp Duty is charged for transactions on the Irish and UK exchanges.

An overview of the exact amount can be found here.

DEGIRO works with a portfolio based margin model to establish the risk of the entire investment portfolio. For the calculation of the risk on options DEGIRO uses an option valuation model. This model calculates the value of the options influenced by for instance the underlying value and implied volatility. DEGIRO applies a fixed set of scenarios to a share or option to calculate the risk of a portfolio.

The risk model for options applies to both stock and index options and will make an indication of the risk irrespective of the composition of the portfolio. In this case risk is seen as the amount that DEGIRO holds as its perceived value of mutations that can take place within two trading days.

The risk model takes in account the following features which influence option values:

• Value of share of underlying
• Level of implicit volatility
• Time to maturity
• Level of dividend
• Level of interest rates

To establish the risk of a specific option position, the risk model combines the various aforementioned features. A scenario is created where the various features are related with each other. For more information on the way in which DEGIRO manages risk, please refer to our Investment Portfolio Risk Handbook.