⏱️ 26 min read · 5,038 words · Updated Jun 27, 2026

Understanding how to invest in France beginners is essential for making informed decisions in today’s market.

So you live in France, you’ve got some savings, and you want to put your money to work. Good.

“But figuring out how to invest in France as a beginner can feel like walking into a bakery where everything is labeled in a language you half-remember from school.”

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The products are great. The labels are confusing.

Here’s the thing most guides won’t tell you upfront: France is actually one of the best countries in Europe to invest in as a regular person. The tax wrappers are generous. The broker options have improved a lot in the last few years. The regulatory environment protects you more than you might realize. The problem isn’t the system. The problem is that nobody explains it in plain language.

That’s what this guide is for.

I’m going to walk you through everything you need to know about how to invest in France as a beginner. We’ll cover the accounts you should open, the brokers worth using, the tax rules that matter, the mistakes people make, and how to actually build a simple portfolio without losing your mind.

Let’s get into it.

Throughout this guide, we’ll explore how to invest in France beginners and how it directly impacts your financial future.

Why Investing in France Is Different From Anywhere Else – how to invest in France beginners

Every country has its own financial ecosystem. France’s is shaped by a few things that make it genuinely unique.

First, the tax code. France taxes investment gains, but it also gives you access to special accounts that can shield a huge portion of those gains if you hold long enough. These are called “enveloppes fiscales” in French, and they’re the single most important thing to understand before you put a single euro into the market.

Second, the flat tax. Since 2018, France has applied a “Prélèvement Forfaitaire Unique” (PFU), commonly called the flat tax, of 30% on capital gains. This is a 12.8% income tax plus 17.2% social contributions. It sounds high. But here’s what beginners miss: you don’t have to use the flat tax. You can opt for your marginal tax rate instead, and in some cases that’s better. More on that later.

Third, the culture. French retail investors have historically been more conservative than their American counterparts. Assurance vie (life insurance contracts) dominate. Stock picking is less common. ETF adoption is growing but still behind the US. This means the infrastructure is built around certain products, and understanding that infrastructure helps you make better choices.

The bottom line is that you can’t just copy an American Reddit strategy and paste it into a French context. The tax treatment is different. The account types are different. The available products are different. You need a France-specific approach.

The Two Accounts Every French Beginner Should Know About – how to invest in France beginners

When people ask me about how to invest in France as a beginner, the first thing I tell them is to stop thinking about which stocks to buy and start thinking about which account to open. The account is more important than the investment. Seriously.

There are two main tax wrappers you need to understand.

The PEA (Plan d’Épargne en Actions) – how to invest in France beginners

The PEA is the crown jewel of French Investing. It’s a tax-advantaged account designed for investing in European equities. Here’s why it matters.

You contribute after-tax money. Your investments grow. And when you withdraw after holding the account for at least 5 years, your gains are exempt from income tax. You still pay the 17.2% social contributions (prélèvements sociaux), but the 12.8% income tax on gains disappears entirely. If you’ve held for more than 8 years, you can even make tax-free withdrawals of up to 46% of your contributions through the “abattement” system.

The catch is what you can hold inside it. A PEA is limited to European stocks and certain eligible ETFs. You can’t hold American individual stocks directly. You can’t hold crypto. You can’t hold bonds (with some exceptions for certain eligible securities). The investment universe is roughly the European Union plus Iceland, Norway, and Liechtenstein.

The annual contribution limit is 15,000 euros for a single person, or 30,000 euros for a couple filing jointly. You don’t have to contribute the maximum. You can put in 50 euros a month. The limit is just a ceiling.

You can only have one PEA per person. If you open one at Boursorama and another at BoursoBank (formerly Fortuneo), that’s a problem. The tax authorities will notice, and you’ll face penalties. Pick one bank and stick with it.

The minimum age to open a PEA is 18. If you’re under 18, you can open a PEA Jeune with a lower contribution limit of 2,000 euros.

Assurance Vie (Life Insurance) – how to invest in France beginners

Assurance vie is the most popular savings product in France. Over 500 billion euros are invested in these contracts. And for good reason.

Unlike the PEA, an assurance vie has no contribution limit. You can put in 100 euros or 100,000 euros. There’s no cap. You can hold almost anything inside it: stocks, bonds, ETFs, real estate funds (SCPI), cash, and even some structured products.

The tax treatment is where it gets interesting. For contracts held less than 8 years, withdrawals are taxed at the flat tax of 30% (or your marginal rate if that’s lower). But after 8 years, you get an annual tax allowance of 4,600 euros for a single person, or 9,200 euros for a couple. Gains within this allowance are completely tax-free each year. Above the allowance, gains are taxed at just 7.5% plus social contributions.

This makes the assurance vie the ideal vehicle for long-term wealth building. It’s flexible, it has no contribution limit, and the tax benefits compound beautifully over time.

Most French banks offer assurance vie contracts. The best ones for beginners are the “contrats multisupports” that let you choose between fonds euros (guaranteed capital, low returns around 2-3% in 2024), unités de com UC (investment in various funds with higher potential returns), and sometimes SCPI (real estate investment trusts).

My honest take: if you’re just starting out and you want simplicity, open a PEA first. It’s the cleanest, most straightforward tax wrapper for equity investing. Add an assurance vie later when you want more flexibility or have maxed out your PEA contributions.

“The PEA is the single best tax gift the French government gives to individual investors. Open one. Fund it monthly. Hold European ETFs. Do nothing else for five years. You’ll be ahead of 80% of people.”

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Which Broker Should You Use in France?

This is where beginners get paralyzed. There are a lot of options, and everyone online has an opinion. Let me cut through the noise.

The broker you choose depends on what account you’re opening and what you want to invest in. Here’s a breakdown of the most relevant options for someone learning how to invest in France as a beginner.

Boursorama Banque

Boursorama is the largest online bank in France with over 5 million clients. It’s a full-service bank, which means you can open a checking account, a PEA, and an assurance vie all in one place. Their PEA is free to open and maintain. Trading fees on European stocks and ETFs are competitive, often 0% on a wide range of products through their “Boursorama Ultim” offering.

The platform is clean. The app is decent. Customer service is mostly online, which is fine if you’re comfortable with that. The downside is that their assurance vie contracts have historically had mediocre fund selection compared to some competitors, though they’ve improved.

For a beginner, Boursorama is a solid default choice. You won’t go wrong starting there.

BoursoBank (formerly Fortuneo)

BoursoBank is the other major online bank. Similar offering to Boursorama: checking account, PEA, assurance vie. Their “Fortuneo Banque” PEA has no management fees and competitive trading costs. They also offer a welcome bonus from time to time, usually around 80-200 euros for new account openings.

The difference between Boursorama and BoursoBank is marginal for most beginners. Pick whichever has a better welcome offer when you sign up. That’s a perfectly valid way to decide.

Trade Republic

Trade Republic is a German neobroker that launched in France and has gained a lot of traction. The app is slick. Trading is free. You can buy fractional shares, which is great if you want to invest small amounts in individual European stocks.

The downside for French investors is that Trade Republic doesn’t offer a PEA. You can only invest through a taxable securities account (compte-titres ordinaire). This means your gains are taxed at the flat tax from day one with no tax-advantaged wrapper. For long-term equity investing, this is a significant disadvantage.

Trade Republic is fine for playing around with small amounts. It’s not where you should build your core portfolio.

Interactive Brokers

Interactive Brokers (IBKR) is the platform serious investors use. It gives you access to markets worldwide, low commissions, and a PEA option. Yes, IBKR France offers a PEA.

The interface is intimidating for beginners. It looks like a trading terminal from 2005 because it basically is. But the fees are among the lowest you’ll find, and the product range is unmatched. If you’re the type who wants to eventually invest in US stocks, bonds, and complex ETFs, IBKR is worth learning.

I’d say this: start with Boursorama or BoursoBank for your PEA. Move to IBKR later when you outgrow the beginner platforms.

Linxea

Linxea is an online assurance vie specialist. They don’t offer a PEA, but their assurance vie contracts are among the best in France. Low fees, excellent fund selection including low-cost ETFs, and a clean digital interface. If you’re opening an assurance vie, Linxea is worth a serious look.

Their “Linxea Avenir” contract is particularly popular for beginners because it’s simple and lets you invest in a range of managed funds or ETFs with low management fees.

Here’s a quick comparison table to help you decide.

| Feature | Boursorama PEA | BoursoBank PEA | Trade Republic | IBKR PEA | Linxea Assurance Vie |
|—|—|—|—|—|—|
| Account Type | PEA | PEA | CTO (taxable) | PEA | Assurance Vie |
| Annual Fees | Free | Free | Free | Free (minimum activity) | ~0.5% on UC |
| Trading Fees (ETFs) | 0% on eligible list | 0% on eligible list | 0% | Low commissions | N/A (fund-based) |
| Fractional Shares | No | No | Yes | Yes | No |
| PEA Eligible | Yes | Yes | No | Yes | N/A |
| Best For | Beginners, all-in-one | Beginners, welcome bonus | Small speculative trades | Advanced investors | Long-term wealth building |

FAQ

Can non-residents open a PEA in France?

No. You need to be a French tax resident to open a PEA. If you’re living abroad, you won’t be eligible. Some online banks may let you start the application, but they’ll verify your tax residency and reject it if you’re not based in France.

Is the PEA worth it for small amounts?

Absolutely. The tax benefits apply regardless of how much you invest. Even if you only put in 50 euros a month, the tax-free compounding over decades makes the PEA far superior to a regular taxable account. The account is free to open and maintain at most online banks.

What’s the difference between a PEA and a regular brokerage account?

A PEA is a tax-advantaged wrapper that shields your gains from income tax after 5 years. A regular brokerage account (compte-titres ordinaire) has no tax advantages. All gains and dividends are taxed at the flat tax of 30% in the year they’re realized. For long-term equity investing, the PEA is always the better choice.

Can I hold US stocks in a PEA?

Not directly. A PEA can only hold European securities. However, you can hold synthetic ETFs that track US indices like the S&P 500. These are called “swap-based” ETFs and they replicate the performance of the US market through a derivatives contract with a counterparty. The Amundi PEA S&P 500 is the most popular example. It works well, but it’s not the same as holding the actual stocks.

How do I choose between a PEA and an assurance vie?

Open a PEA first if you want to invest in equities with the simplest tax treatment. Add an assurance vie later if you want more investment flexibility, no contribution limit, or access to bonds, real estate funds, or guaranteed capital products. Many experienced investors use both.

What happens to my PEA if the market crashes?

Your portfolio value drops, but you haven’t actually lost anything unless you sell. Market crashes are temporary. The MSCI World has recovered from every crash in its history, including 2008 and 2020. The worst thing you can do during a crash is sell. The best thing you can do is keep buying at lower prices.

Do I need to file taxes separately for my investments?

If you have a PEA and you haven’t made any withdrawals, you don’t need to report anything. If you withdraw from a PEA, the bank withholds the social contributions and you report the withdrawal on your annual tax return. For assurance vie, the same principle applies. The bank handles the withholding, and you report withdrawals on your tax return.

Sources

• Autorité des Marchés Financiers (AMF)
• French Public Finance Directorate (DGFiP) tax guidelines
• Boursorama PEA documentation

Conclusion

Learning how to invest in France as a beginner doesn’t have to be complicated. The system is actually designed to help you, if you use it correctly.

Here’s what I want you to do this week. Not next month. This week.

1. Open an account with Boursorama or BoursoBank if you don’t already have one.
2. Open a PEA through the app. It takes 10 minutes.
3. Transfer 50 to 200 euros into the PEA.
4. Buy the Amundi PEA MSCI World ETF.
5. Set up a monthly automatic transfer of whatever you can afford.

That’s it. You’re now an investor. You’re ahead of most people in France who keep their money in a Livret A and wonder why they’re not getting richer.

The French financial system gives you tools that people in many other countries would love to have. The PEA alone is worth hundreds of thousands of euros in tax savings over a lifetime. Use it. Fund it. Let it compound.

You don’t need to be a financial expert. You don’t need to pick stocks. You don’t need to time the market. You need to start, be consistent, and leave your money alone for as long as possible.

That’s how to invest in France as a beginner. Now go do it.