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Germany’s Neobrokers Seek ETF Commissions, Testing the No-Fee Model

BaFin confirms intermediaries are negotiating Bestandsprovisionen with ETF issuers.

Overview

  • Trade reports say brokers want a share of ETF fees after the EU ban on payment for order flow cut a key revenue stream.
  • BaFin states it is aware of efforts to secure ongoing commissions from ETF providers, signaling regulatory attention.
  • Experts warn the move would break with ETFs’ longstanding practice of paying no distribution or retention fees to intermediaries.
  • Analysts anticipate cost sharing between brokers and providers or modest increases in fund expense ratios, with thematic or active ETFs more exposed than large standard index funds.
  • ETF issuers have remained noncommittal, as retail participation has climbed to 14.1 million Germans holding equities, funds or ETFs in 2025.