5 Inexpensive Discount Brokerage Platforms

Since we have been talking about investing lets look at the top discount brokerage firms in the industry, because in order to invest you are going to need a broker! A discount broker is defined as a stockbroker who carries out buy and sell orders at a reduced commission rate. Basically instead of paying a brokerage house a 1 or 1.5% commission on your assets under management you are paying a set dollar amount per trade. In my opinion everyone should at least open a discount brokerage account just to test the waters and see just how easy it is to invest your money. With that being said, lets get into the list:

  1. Robinhood: Everyone who has every looked into buying and selling stocks has heard of Robinhood. It’s commission free so it’s held as a holy grail type of platform but in all honesty it is very lacking in ability and information. Look, I get the free trades idea is revolutionary but they offer no type of equity or stock research for users. As the saying goes, there is no free lunches.
  2. Fidelity: I am biased towards Fidelity just because I have an account with them. They have a very user friendly platform and have an awesome customer service department. It’s only $4.95 commission per trade and offers tons of research and data for their users.
  3. E*TRADE Financial: The original place to trade online, E*TRADE charges customers $6.95 per trade! However, if you make 30 trades per quarter, the price per trade gets reduced to $4.95. Not so bad if you are actively trading.
  4. Charles Schwab: Charles Schwab is pretty massive as if has over 11 million accounts. They also charge $4.95 per trade but have adopted was Investopedia calls as “Netflix Approach” to trading. Basically what they are doing is offering a $360 a year service where you are able to trade. Oh, and by the way there is a $30 monthly subscription fee you need to pay.
  5. TD Ameritrade: TD Ameritrade also charges $6.95 per trade. What is cool with TD Ameritrade is that no matter what you account balance is you are able to pay this and trade. Some brokers have a minimum amount you must need in your account to invest.

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