How to Invest in US Stocks from Europe in 2026: Step-by-Step for Beginners

Investing in US stocks is increasingly popular among Europeans seeking global diversification and exposure to world-leading companies like Apple, Microsoft, and Tesla. However, the process requires a bit more than simply clicking “Buy” on your local brokerage. This step-by-step guide will show you exactly how to invest in US stocks from Europe in 2026, using real platforms, EUR-based examples, and practical tips—no guessing required.

As we covered in our complete guide to investing in European stocks, US shares offer unique opportunities and risks. Here, we’ll zoom in on the specific process and practicalities for European investors.

Step 1: Choose a Broker That Offers Access to US Stocks

What to do: Select a reputable, Europe-accessible broker that provides access to US stock exchanges. Top options include:

• DEGIRO (widely available across Europe, low fees, EUR deposits)
• Interactive Brokers (IBKR; global access, strong USD support, advanced tools)
• Trade Republic (simple app, commission-free trades, EUR only)

Why it matters: Not all brokers in Europe allow direct investment in US stocks. Some only offer European markets or have high FX fees. Choosing a broker with direct US market access, low costs, and solid reputation is essential for both safety and returns. What can go wrong: Picking a broker without US access means you’ll miss out on US shares entirely. Using a poorly regulated broker can put your capital at risk.

Step 2: Open and Verify Your Brokerage Account

What to do:

• Go to your chosen broker’s website or app and click “Open Account.”
• Complete the registration form with your name, address, and tax ID (TIN).
• Upload a photo of your passport or national ID for identity verification.
• Wait for approval—typically 1–2 working days.

Why it matters: European brokers require identity verification (KYC) and tax details to comply with EU regulations and anti-money laundering laws. What can go wrong: Errors in your documents or address can delay approval. Double-check everything matches your bank records.

Step 3: Complete US Tax Form W-8BEN

What to do:

• After account approval, most brokers will prompt you to fill out IRS Form W-8BEN electronically.
• Fill in your personal details and confirm you are not a US citizen.
• Submit the form—usually takes less than 5 minutes.

Why it matters: The W-8BEN form certifies you as a non-US person for tax purposes. This reduces your US dividend withholding tax rate from 30% to 15% as a European resident, per US-EU tax treaties. What can go wrong: If you skip this step, you’ll pay 30% US withholding tax on dividends instead of 15%. Always double-check that your broker confirms the form is on file.

Step 4: Deposit EUR Funds and Convert to USD

What to do:

• From your broker dashboard, select “Deposit Funds.”
• Transfer EUR from your European bank account using SEPA (usually free or low cost).
• Convert EUR to USD within your brokerage (where possible):
  
  • DEGIRO: Deposits remain in EUR. When you buy a US stock, conversion to USD happens automatically at the current FX rate plus a small spread (e.g., 0.25%).
  • Interactive Brokers: You can hold both EUR and USD. Use the “Convert Currency” function to exchange EUR to USD before trading (low FX fees: €2 minimum or 0.003% per trade).
  • Trade Republic: Trades are executed in EUR. The platform handles FX conversion automatically at market rate plus a small markup.

Why it matters: US stocks are priced in USD. You need to convert your EUR to USD, either explicitly (IBKR) or automatically (DEGIRO, Trade Republic). FX fees can eat into your returns, so keep an eye on the rates. What can go wrong: Large conversions during volatile FX markets can lead to unexpected costs. Always check the estimated USD amount before confirming.

Step 5: Place Your First US Stock Order

What to do:

• Search for your chosen US stock (e.g., “Apple” or ticker “AAPL”) in your broker’s trading interface.
• Select the stock and choose “Buy.”
• Enter the number of shares or the EUR amount you wish to invest (e.g., €500).
• Choose order type:
  • Market order: Executes immediately at current price (best for beginners)
  • Limit order: Executes only at your specified price (for more control)
• Review FX conversion and fees, then confirm your order.

Expected outcome: You should now see your US stock holding in your portfolio, showing the number of shares and their current EUR value. What can go wrong: Placing a large “market order” during high volatility can result in unexpected prices. Always double-check the estimated trade cost and FX rate before confirming.

Step 6: Understand Fees and Ongoing Costs

What to do: Review your broker’s fee schedule for:

• US stock trade commissions (e.g., DEGIRO: €1.00 + €1.00 external fee per US order; IBKR: from $0.0035/share, min $0.35; Trade Republic: €1 per trade)
• FX conversion fees (see previous step)
• Custody/maintenance fees (rare with these brokers, but check)

Why it matters: High fees can erode your returns, especially for small portfolios. Understanding the true cost lets you plan and compare brokers effectively. What can go wrong: Ignoring fees can lead to disappointing net returns, particularly if trading frequently or with small investment amounts.

For a side-by-side fee breakdown, see our broker comparison article.

Step 7: Track Dividends and Tax Obligations

What to do:

• When you receive US stock dividends, 15% will be withheld automatically if your W-8BEN is on file.
• Declare all dividends and capital gains in your annual tax return according to your country’s rules.
• Check if you can “credit” the 15% US withholding against your local dividend tax (varies by country—ask your tax office or advisor).

Why it matters: Double taxation is a risk if you don’t claim foreign tax credits. Proper reporting keeps you compliant and can save you money. What can go wrong: Failing to declare US dividends or capital gains can result in fines. Overlooking tax credits means you pay more than necessary.

Common Mistakes When Investing in US Stocks from Europe

• Skipping the W-8BEN form, resulting in 30% dividend withholding instead of 15%
• Ignoring FX conversion fees, which can quietly reduce your returns
• Overtrading or making frequent small trades, racking up unnecessary commissions
• Confusing “fractional shares” with whole shares—some brokers only allow buying in whole shares for US stocks
• Neglecting to declare US dividends/capital gains in your home country

Next Steps

Now that you know how to invest in US stocks from Europe, consider broadening your portfolio with European and global assets for balance. For further insights into building a diversified portfolio, see our Beginner’s Playbook for European Stock Investing.
If you’re interested in ETFs or thematic investing, check out How to Invest in Thematic ETFs as a European. For step-by-step platform walkthroughs, see Setting Up an Investment Portfolio on Trade Republic or How to Buy International Stocks on DEGIRO/IBKR.

Glossary of Key Terms

• Broker: A platform that lets you buy and sell stocks and other securities.
• W-8BEN: A US IRS form certifying you’re a non-US investor, reducing your dividend tax withholding.
• FX (Foreign Exchange) Fee: The cost for converting EUR to USD or other currencies.
• Dividend Withholding Tax: The tax automatically deducted from dividends paid by US companies to foreign investors.
• Market Order: An order to buy/sell a stock immediately at the current market price.
• Limit Order: An order to buy/sell a stock only at a specific price or better.
• Fractional Shares: Owning less than one full share of a company (not always available for US stocks on all platforms).

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.