US brokers: what really decides the return on your US portfolio

Which US broker and account is best for investors who don't live in the USA? Plenty of investors ask exactly that when they want into the US stock market but face a few hurdles because of where they live.

We did the research for you, and in this article we present the top 10 US brokers and accounts for non-US residents.

Whether you're a seasoned investor or new to US stocks, you'll find everything you need here to invest in US equities successfully.

Mount Bonnell Advisors helps you with questions about your investment portfolio and optimizing your tax strategy. Contact us here for a personal consultation, and let's reach your investment goals together.

1The US stock market: why trade US stocks?

The US stock market draws investors from all over the world who are looking for profitable opportunities. With the NYSE and NASDAQ, America's two leading exchanges, traders and investors have no shortage of listed companies to invest in. Names like Alibaba, GameStop, Coca-Cola, Pinterest and Twitter have made their mark in US stock trading and are known to investors worldwide.

But what about non-US citizens? Can they take part in these lucrative markets too? Yes. There are currently no restrictions on foreign online traders who want to trade on US exchanges.

2What to look for when choosing a US broker

Several factors help you make sure you pick the right US broker for your needs. Here are the key points to keep in mind:

1. Meet the requirements: As a non-US citizen, many rules and regulations apply when you open a brokerage account. Make sure you meet the broker's requirements before you apply. Some brokers accept online applications, others want paper forms. Brokers may also ask for valid visa information and Form W-8BEN.

2. Trading platform and features: A good online broker should offer trading platforms with first-class features. Check whether the platform is easy to use, works across devices and executes orders quickly.

3. Minimum deposit and fees: Look at the broker's minimum balance, the fee you pay per trade and any inactivity fees. Other charges can include withdrawal fees and commissions.

4. Trading options: The broker should let you trade all US stocks as well as mutual funds, forex and futures.

5. Security: The company must have a genuine SSL certificate so your personal and financial data stay safe.

6. A fit for your needs:
   Active traders are best served by online brokers with low or zero commissions and high-tech mobile trading platforms.
   For people trying online trading for the first time, we included brokers that offer educational resources, research and customer service such as chat and phone support.

So which brokerage firms made our list of the 10 best online brokers for non-US citizens, based on these criteria?

3Why there's no fee ranking here

You won't find a ranking of brokers with ratings, minimum deposits and fee schedules here, for a practical reason: those figures go out of date faster than any page can be updated. Brokers change their fees several times a year, disappear from the market and quietly change which countries they still accept clients from. The best-known case is TD Ameritrade: fully absorbed into Charles Schwab, with no new accounts possible there for years. A wrong number helps you less than no number at all.

What we give you instead is what doesn't change every quarter: the tax and legal framework for running a US brokerage account as an investor living in Europe. That framework shapes your return far more than a one-dollar difference in trading fees.

4The four points that really matter

4.1The US usually doesn't tax your capital gains at all

If you're not a US person, don't meet the Substantial Presence Test and your account isn't part of a US trade or business, the IRS generally doesn't tax your capital gains on US stocks. They're taxed in your country of residence. One exception applies if you spend at least 183 days in the USA in a calendar year: the US then taxes certain capital gains at 30 percent.

4.2Dividends are subject to withholding, and the rate depends on a form

By law, the US withholds 30 percent tax on US dividends. Tax treaties with many European countries cut this rate for portfolio dividends, typically to 15 percent, and the reduced tax can usually be credited against your tax at home. The condition: your broker must hold a valid Form W-8BEN. It's valid for the year it's signed plus three calendar years and must then be renewed. If it lapses, the broker goes back to withholding 30 percent, and getting the difference back is a hassle. We explain how the W-8 forms work in Understanding the IRS W-8 forms and Who needs to fill out a W-8 form.

4.3The costly blind spot: US estate tax

4.4Wash sale rules and reporting obligations

If you realize losses and buy the same position back shortly after, you run into the US wash sale rule. And if you hold a US bank account alongside your brokerage account, you may have reporting obligations depending on your residency. Both are cheaper to avoid than to fix.

5Which brokers are realistic options for European investors

Instead of a ranking, here's the honest breakdown. You have three options:

• An internationally oriented US broker. Interactive Brokers is the standard here: its own European entity, account opening for European clients, access to US exchanges and very low trading fees. Several white-label offerings from other providers also run on the Interactive Brokers platform.
• A European broker with US market access. Providers such as Saxo Bank or Swissquote give you access to the NYSE and NASDAQ from a European account. Fees are higher, but handling under your home country's rules is simpler.
• A purely American discount broker. Some still accept clients without a US address, others have stopped. Whether your country of residence is accepted shows up in each broker's account opening process and changes without notice.

Always check current terms directly with the provider, right before you open an account. Ask three things: Is my country of residence accepted? Is the W-8BEN filed electronically, with an automatic reminder before it expires? And is there an inactivity or account maintenance fee?

6Which US online broker is right for me?

Investors living outside the USA have plenty of options when it comes to choosing a US broker or account. Which provider is right for you depends less on the trading fee than on whether your country of residence is accepted, how cleanly your W-8BEN is managed and how you've handled the estate tax side of your US portfolio. The same goes for the question of which online banks are best for trading US stocks: above all, the ones that reliably keep your W-8BEN on file, because otherwise the broker may withhold 30 percent tax or backup withholding. Take the time to compare offers and make sure you find a broker that best supports your personal investment goals and strategy. With the right US broker or account, investors outside the USA gain access to a broad range of financial instruments and investment opportunities and can diversify their portfolio.

Even with the best online brokers and brokerage accounts, investing in the US market can be a challenge if you don't live in the USA. Tax is a big part of investing too, and it can have a major impact on your returns. That is why it pays to have competent, experienced tax advice on your side.

Mount Bonnell Advisors has years of experience advising international investors on tax questions around US investments. Get in touch now to make sure your investment decisions rest on a solid tax foundation. Contact us today for a personal consultation and let's reach your investment goals together. As an investor without US residence, you should also keep the IRS W-8 forms and US estate tax for non-US citizens on your radar. You'll find more articles under News.

Learn more about the W-8 form and who needs to fill it out.

Current as of August 31, 2026. This page deliberately lists no fee rates, minimum deposits or ratings of individual brokers, because such details go out of date between two updates. The providers' own price and service schedules always apply.

In short

• The USA generally does not tax capital gains on US stocks for investors with no US ties. They are taxed in your country of residence.
• The USA withholds 30 percent on US dividends. With a valid W-8BEN, a tax treaty with your home country can lower the rate, often to 15 percent.
• US stocks form part of your US estate: without a treaty, investors with no US ties get an exemption of just $60,000, and the top rate is 40 percent.
• Your options: an internationally positioned US broker, a European broker with access to the US exchanges, or a US discount broker that accepts residents of your country.

How we help you

• US Tax ConsultationYour US tax question, answered by people who know both sides.
• Your US Tax ReturnForm 1040 or 1040-NR, handled in English.
• US Bank Account OpeningYour own access to the American financial system, even without an SSN.
• ConsultationOne hour with the firm: your case, your questions, a clear answer.