Beginner’s Tutorial: How to Buy Your First UCITS ETF with Trade Republic or DEGIRO

Are you a European investor ready to buy your first UCITS ETF, but unsure where to start? This step-by-step guide will show you exactly how to buy UCITS ETF Europe 2026 style, using two of the most accessible brokers in Europe: Trade Republic and DEGIRO. We’ll cover opening your account, funding it in EUR, searching for a real ETF like VWCE or IWDA, placing your first order, and checking your holding—plus safety checks and common mistakes. All instructions are written for beginners, with clear EUR examples and actionable tips.

Step 1: Choose and Open Your Broker Account

What to do: Decide whether to use Trade Republic or DEGIRO. Both are EU-regulated, offer EUR accounts, and provide access to hundreds of UCITS ETFs.

• Trade Republic: Modern app-first broker, simple fee structure (€1/trade, free savings plans), available in most EU countries
• DEGIRO: Web and app platform, low commissions, broader ETF and stock selection, supports fractional ETF investing

How:

• Go to the broker's official website or download their app
• Click “Register” or “Open Account”
• Enter your personal details (name, address, date of birth, tax ID, etc.)
• Complete the online identity verification (usually with ID scan and selfie video)
• Answer basic questions about your investing experience and risk tolerance (required by EU law)

Why this matters: EU law requires brokers to verify your identity and assess suitability. This protects you from fraud and ensures your investments are secure. Using a regulated broker also means your assets are protected up to €100,000 under EU investor compensation schemes.

What can go wrong: Submitting blurry or expired ID documents, entering mismatched names, or failing the video verification will delay your account approval.

Step 2: Fund Your Account in EUR

What to do: Once your account is open, deposit EUR from your EU/EEA bank account. Both Trade Republic and DEGIRO provide unique IBANs for EUR transfers.

• Trade Republic: Tap “Profile” → “Deposit” → copy your personal IBAN and transfer from your bank app
• DEGIRO: Go to “Deposit/Withdraw Funds” → select “Bank Transfer” → use the provided IBAN and reference code

Why this matters: Funding in EUR avoids currency conversion fees and ensures you can buy EU-listed ETFs directly. Your funds are held in segregated accounts for safety.

What can go wrong: Sending money from a third-party account (not in your name) will be rejected. Forgetting to include the reference code for DEGIRO may delay your deposit.

Example: You transfer €250 from your own EU bank account. After 1–2 business days, your broker account shows “Available funds: €250”.

Step 3: Find a UCITS ETF (e.g., VWCE or IWDA)

What to do: Search for a well-known, diversified UCITS ETF. Two of the most popular among European investors are:

• Vanguard FTSE All-World UCITS ETF (VWCE) – ISIN: IE00BK5BQT80
• iShares Core MSCI World UCITS ETF (IWDA) – ISIN: IE00B4L5Y983

How:

• Trade Republic: Tap “Search” (magnifying glass) → type “VWCE” or “IWDA” → select the ETF with the correct ISIN
• DEGIRO: In “Products” → “ETF” → use the search bar for “VWCE” or “IWDA” → double-check the ISIN

Why this matters: Only UCITS ETFs (domiciled in the EU, usually Ireland or Luxembourg) are legal for retail investors in Europe. They offer strong investor protection and tax efficiency. The ISIN ensures you select the correct product—there can be similar names with different domiciles or currencies.

What can go wrong: Accidentally selecting a non-UCITS (US-domiciled) ETF, or an ETF in a different currency, can lead to tax issues or currency risk.

Step 4: Run Basic ETF Safety Checks

What to do: Before buying, review key facts to ensure the ETF is safe and suitable:

• UCITS label: Confirm “UCITS” appears in the ETF name
• Domicile: Should be Ireland or Luxembourg
• Replication method: “Physical” is preferable for most beginners
• Fund size: €500 million+ is a good sign of liquidity
• TER (Total Expense Ratio): Lower is better (VWCE: 0.22%, IWDA: 0.20%)

How: On both platforms, tap the ETF name for a factsheet link, or check the provider’s website (e.g., Vanguard or iShares).

Why this matters: These checks reduce the risk of buying obscure, high-fee, or synthetic products. Large, reputable UCITS ETFs are more liquid, better regulated, and easier to sell later.

What can go wrong: Ignoring these checks can expose you to hidden costs or hard-to-sell ETFs.

Step 5: Place Your Buy Order

What to do: Decide how much to invest (e.g., €100, €500). Place a buy order for the chosen ETF.

• Trade Republic: Tap the ETF → “Buy” → enter amount in EUR or number of shares → choose “Market order” for instant execution → confirm
• DEGIRO: Click the ETF → “Buy” → enter number of shares (minimum 1, unless using fractional investing) → select “Market” or “Limit” order → confirm

Why this matters: A market order buys instantly at the best available price. A limit order lets you set a maximum price, which is safer in volatile markets but may not execute immediately.

What can go wrong: Placing a market order outside market hours may result in poor execution prices. Accidentally buying the wrong ETF (wrong ISIN) or entering the wrong amount can result in unexpected investments.

Example: You buy 1 share of VWCE at €110.50. After confirmation, your cash balance decreases by €111.50 (including €1 Trade Republic fee), and your ETF position shows “1 share VWCE (IE00BK5BQT80): €110.50”.

Step 6: Confirm Your ETF Holding

What to do: After your order executes, check your portfolio to confirm the ETF shows up as a holding.

• Trade Republic: Tap “Portfolio” → you should see VWCE or IWDA listed with the number of shares and current value in EUR
• DEGIRO: Go to “Portfolio” → your ETF appears with quantity, average buy price, and current market value

Why this matters: Always check your position to confirm the trade went through as intended. Mistakes are much easier to correct immediately after execution.

What can go wrong: If the ETF does not appear or the amount is incorrect, contact customer support right away. Check for pending orders if you used a limit order that hasn’t executed yet.

Expected outcome: You should now see your first ETF purchase confirmed with a value close to the amount you invested (minus fees). For example, “1 share VWCE: €110.50, Market value: €110.30 (price may fluctuate)”

Common Mistakes When Buying Your First UCITS ETF

• Choosing the wrong ETF (ISIN or domicile): Always double-check the ISIN and “UCITS” label
• Sending money from a non-matching bank account: Deposits must come from an account in your name
• Ignoring minimum order sizes: Some ETFs or brokers require at least one full share, unless fractional investing is supported
• Placing orders outside market hours: Prices can gap at open/close, so avoid trading when markets are closed
• Forgetting about fees: Remember to account for trading fees and bid-ask spreads in your calculations
• Neglecting safety checks: Avoid synthetic, low-liquidity, or non-EU-domiciled ETFs unless you fully understand the risks

Next Steps

• Consider automating your investments: Both Trade Republic and DEGIRO offer ETF savings plans, letting you invest monthly in EUR. See our guide on how to automate monthly ETF investing in Europe.
• Learn about tax optimisation: Understand how to use capital gains and losses to your advantage as an EU investor. See our article on EU tax loss harvesting with Trade Republic or DEGIRO.
• Track your portfolio: Use spreadsheets or portfolio tracking apps to monitor performance and rebalance as needed.
• Keep learning: Explore more about ETF types, asset allocation, and risk management to build confidence as a European investor.

Disclaimer: This article is for educational purposes only and does not constitute financial advice. Always do your own research and consider consulting a qualified financial advisor before making investment decisions.