There’s no denying the lasting impact that digitization has had on the way we save, spend and invest money. Technology has enabled investors all over the world to find online brokers and trade stocks in real-time- often at a zero commission rate. This is made possible by online broker accounts that provide high-quality trading tools to help you make the best use of your money. While the markets can be anything but certain, we’ve got your back when it comes to choosing the right online broker. Here are our top picks:
If you are new to the investing game, TD Ameritrade offers the best lineup of financial tools and is ideal for investors that are comfortable with technology. The trading platform was acquired by Scottrade in 2017, making it one of the largest online brokers.
What attracts many investors to TD Ameritrade is the thinkorswim platfor m that allows investors to trade from their laptop, phone or smartwatch. The system provides access to grade-A financial tools and lets you trade on a 24-hour cycle on specific securities. The cherry on top of the cake is that you get to do all this and more for an incredibly low fee.
If you are all about doing an in-depth analysis before placing your bets, the online broker, Fidelity, is known for its remarkable portfolio of research tools. With a world of resources at your disposal, Fidelity allows users to plan for specific life events like retirement or estate planning. This is done with the help of screening tools like the research tab and dividend screens that show details on the payout ratio and ex-dividend dates.
Another Fidelity feature that has been a game-changer for investors is the news and research tab. This provides information on stocks, bonds, mutual funds and other investment assets. You can even get data on participating in a company’s IPO process. Many services that online brokers usually charge for, come with a zero price tag on Fidelity’s platform.
If the UX of a trading platform is important to you, Robinhood is the perfect choice. This trading platform is fairly new to the financial world but is a favorite among users for its incredible digital experience. While Robinhood’s UX can be quite satisfying, the same cannot be said for its research tools, which are not as robust. This makes the online broker ideal for seasoned investors.
However, looking beyond its user-capabilities and online tools, Robinhood does offer one feature that other online brokers don’t: free trades. As a user, you get to choose from an array of free options and cryptocurrency trades in addition to stock trades. The online trading platform is designed for the millennial generation and boasts a user base of 10 million!
Our last (but certainly not least) online broker recommendation is E-trade. Any investor will tell you that there’s no end-game when it comes to learning how to invest. As the financial markets are in constant flux, investors have something new to learn every single day. If you are looking for a broker account that serves as a constant source of knowledge on the financial markets, E-trade is just what you need.
At the heart of E-trade is the OptionsHouse platform that offers everything from news clips, webinars and videos. These tools cater to the needs of investors at all levels. You can even sharpen your trading strategy with real-time updates on the financial markets provided by E-trade analysts. Like other online brokers, E-trade users have access to a variety of investment assets such as stocks, bonds, ETFs, mutual funds and options.
There is no one-size-fits-all solution when it comes to picking the right online broker. Each trading platform comes with its own set of unique features that cater to different types of investors. The price of each trade, the financial tools provided and your personal investment strategy are important elements to consider before you commit to an online broker. To find out which financial products to invest in, make sure to check out The Best Financial Products To Invest In In Your 20s!