Birdwingo, a long-awaited app for investing, is now available. Low fees, a popular ETF, or free shares for all new clients should be the main draw. But can Birdwingo stand up to popular apps like XTB or Revolut? In the next Birdwingo review, you will not only find out!
Birdwingo review at a glance
Birdwingo is a simple app for investing that lets you buy and sell stocks.
Birdwingo has stock titles from the U.S., Europe, and Asia, including shares of tech giants ( Tesla, Apple, Microsoft, Facebook, and Google ). The application includes both traditional shares and exchange-traded funds (ETFs), which can be used to invest in things like the S&P 500 stock index.
Only 25 crowns ($1) is needed to make an investment, so you can buy even small amounts of shares. Bank transfers in Czech crowns or SEPA payments in euros are used to make deposits and withdrawals.
Having low fees is a big plus. The company only charges a small transaction fee (no more than $1 or 0.49 percent of the order). There are no fees for deposits, withdrawals, or currency transfers.
The application doesn’t support Czech or Slovak, and it doesn’t offer domestic shares, even though it’s meant for Czech and Slovak customers.
The project is run by the Slovak company Tatrym s.r.o., which works closely with two licensed brokers. If the company or its partners go bankrupt, user accounts (cash and securities) are covered up to USD 500,000.
Advantages:
- Licensed Company
- Low and transparent fees
- SIPC Insurance – $500,000 limit per person
- Deposits and withdrawals in EUR and CZK
- Fractional shares – investments from CZK 25
Disadvantages:
- Terms and conditions and application in English
- Deposits and withdrawals by bank transfer only
- It does not offer Czech shares
- Mobile app only
Birdwingo – Basic Information
Birdwingo is a mobile application-based investment platform that was established in 2021 and is operated by Tatrym s.r.o. in Bratislava, Slovakia, and Tatrym Inc. in New Castle, USA. It is licensed and offers fund insurance up to $500,000 through SIPC, with investment products including ETFs and stocks of over 11,000 titles.
It has a mobile app platform available for Android and iOS, with a trade fee of 0.49% (max. 25 CZK) and no additional charges. The minimal investment is 25 CZK or €1, and it supports CZK and EUR currencies with payment methods through bank transfer. While the website and customer line are available in Czech, the application and terms and conditions are not.
What Birdwingo offers
Birdwingo is a smartphone app for investing that lets you buy foreign stocks and ETFs. The app doesn’t let you buy stock in Czech companies like EZ, KB, or MONETA.
Birdwingo’s ability to handle fractional shares is a big plus. So investors don’t have to pay hundreds of dollars for a whole share; they can just buy a tenth of a share. The only rule is that the trade must be worth at least 25 crowns.
The people who made the app chose a simple, minimalist design and easy-to-use controls so that even new investors could figure out how to use it. Birdwingo has also made training courses for people who are just starting out.
For each instrument, a price chart, a basic description of the company, key metrics, and possibly information about dividends are shown. But there are no high-tech tools here (such as a market depth display, limit orders or stock screener).
INVESTMENT PRODUCTS
- over 5,800 stock titles (Amazon, Twitter, Netflix, Daimler, Tesco…)
- over 2,800 ETFs (QQQ, SPY, VOO, XLF, IVV, EEM, EFA, TQQQ…)
In the future, cryptocurrencies and NFTs should also be added to the app. On the other hand, controversial CFD contracts and other leveraged products are not accepted by the people who made the app. This is because these products are better for brokers than they are for investors, who usually lose money on them.
DIVIDEND SECURITIES
If you like stocks that pay dividends, we have good news. For each dividend stock, you can find the size of the dividend, the date of the next payment, and other important facts right below the price chart (section Upcoming Dividends).
Dividends go straight to the investment account, and you get the amount that has already been taxed. The standard tax that is taken out of dividends from US companies is 15%.
Some ETF funds also give out dividends (they are marked with the abbreviation DIST – distribution). If the fund doesn’t pay dividends but reinvests, it will be marked as ACC (accumulating).
Fees at Birdwingo
Birdwingo is one of the cheapest investment apps because it only charges a small trade brokerage fee. Bird Wingo also gives 10% of the fees to certain charities (Ukrainian Red Cross, Voices of Children, People in Need ).
Let’s talk a little more about the fees:
- Commission fee for trade mediation: When you buy or sell shares, you pay a fee of 0.49% of the amount invested (but no more than 25 crowns or $1).
- Spread is the difference between the price you buy and the price you sell for. Spreads are determined by the market, and Birdwingo does not make them bigger.
- FX Exchange Fee: Like Revolut, Birdwingo uses interbank exchange rates and doesn’t charge any fees to change currencies.
- There are no fees for deposits or withdrawals.
- NO to the inactivity fee
FEE COMPARISON WITH COMPETITORS
Should you buy from Birdwingo, or would it be cheaper to buy from a competitor? Make your own decision! In the table below, you can see how much it costs to buy Czech, American, German, and British shares:
How to invest through Birdwingo
INSTRUCTIONS FROM REGISTRATION TO WITHDRAWAL OF PROFITS
- Start the app and click “Get started” to make an account. Type in your email address and any password you want. Lastly, enter your phone number and choose a PIN that will be used to lock the app. You can also use your fingerprint to unlock the app.
- Identity Verification: Get your ID card ready and click the Verify, Start Verification, and START SESSION buttons. The directions say to take a picture of both sides of the ID card and a selfie. Lastly, you have to fill out a few forms about your income and how long you’ve been trading.
- Putting money into the account: You can send money from your bank to the account. Under “My Account,” click “Deposit” to find out how to pay.
- Buying securities: Click on the magnifying glass to find the stock you want to buy. Then click “Buy” and choose the size of your order. Last, check and make sure the order is correct.
- When you sell securities, the shares you bought will show up in your portfolio. Just click the Trade button to send an action. Sell, and pick how much you want to sell.
- Get your money back. To get your money back, click on My AccountWithdrawal. Then, just type in the amount you want to withdraw and click the “Confirm” button to finish.
Account creation and funding
To invest with Birdwingo, you need to make a new account, take a picture of your ID to prove who you are, and fill out a few forms. Once Birdwingo has looked over your account and given it the green light, you can put money in it and start investing.
Why do I have to send a passport that has been stamped? European directives and laws against money laundering require that you prove who you are, so you won’t miss out on any regulated broker.
DEPOSIT AND WITHDRAW MONEY
Bank transfers are used to deposit and withdraw money. The amount you put in is up to you, but the least you can get out is 25 crowns (1 dollar).
Birdwingo lets you pay with crowns or euros, but investment accounts are kept in dollars, which seems odd. This means that the money you deposit must be changed into dollars and then back into euros or kroner when you want to take it out.
The good news is that Birdwingo uses interbank exchange rates to transfer money and does not add a markup, so transfers are almost free.
Experience with Birdwingo
The project started in 2021, but the app didn’t come out until the second half of 2022. Adam Hano and his brother Andrej Hano, who are both from Bratislava, started the project.
Birdwingo doesn’t hide the fact that it mostly sells to people in the Czech Republic and Slovakia. Even more disappointing is the fact that the mobile app and the terms and conditions are only available in English and not in Czech.
You can get in touch with customer service by email or through social media (Facebook, Instagram). People talk to each other in Czech, Slovak, or English.
ABOUT BIRDWINGO
Birdwingo is a bonded agent of the Slovak stock broker Wealth Effect Management, which has a license from the Slovak National Bank ( NBS ).
The trades themselves are done by the American stockbroker Alpaca Markets, which works with Birdwingo. The broker in question is a member of FINRA, and the US Securities and Exchange Commission (SEC) keeps an eye on what it does, so you don’t have to worry about its credibility.
Up to $500,000 (or $250,000 for cash) of the money and securities that people put in their accounts are insured. SIPC makes sure that funds are safe. So, if Birdwingo or one of its partners goes out of business, clients’ money will not be lost.
Birdwingo review summary
Birdwingo is a great choice if you want to buy foreign stocks or ETFs through an app that is easy and inexpensive.
The application is easy to understand, and small investors can also use it because it lets them buy fractional shares. A fee of up to $1, or 0.5 percent, is more than fair and won’t put investors out of business. The Czech language might be the only thing stopping them.
WHAT ARE THE ALTERNATIVES?
XTB is a popular place to invest that offers both traditional shares and ETFs as well as products that use leverage (including Czech titles). XTB can be used in Czech and payments can be made in crowns. There are no commission fees, but there is a fee for changing currencies, and fractional shares are not supported.
Revolut is a bank, a place to exchange currencies, and an investment platform all in one. The app supports Czech, fractional shares, and payments in crowns, as well as US shares and cryptocurrencies. Compared to Birdwingo or XTB, it is more expensive, and it also charges a fee of 0.12% per year for each share deposit.
Trading 212 is an application for trading stocks, ETFs, and CFDs in foreign markets. Trading 212 doesn’t charge any fees for commissions, but there is a fee for changing currencies. Like Birdwingo, Trading 212 has a free offer for new clients. It does not, however, work with Czech.
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