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Online brokers

1. Charles Schwab

  • Account minimum: $0
  • Fees: free stock, ETF and options trading commissions in the US. $0.65 per options contract
  • No commissions for OTCBB (penny stock) transactions
  • Good for novices and active traders
  • Access to financial advisors
  • Open an account

Charles Schwab is a full-service investment firm that offers services and technology, such as financial advisors (recently they encourage customers to use advisors, human or robo). It has baking capabilities and web-based platforms as well.

Pros

  • Advanced options tools and trading ideas are built into the StreetSmart Edge (their platform)
  • Mobile web platforms and native mobile apps offer the same functionality
  • The trading customizations and watchlists are stored in the cloud, you have the same setup no matter which platform you're using
  • The Idea Hub on StreetSmart gives you several ways to seek out options trading ideas, and links to deeper analysis that you can do before firing off the trade

Cons

  • Some features are divided among different platforms
  • Push towards using a financial advisor
  • Interest paid on cash balances is low

For comparisons of Schwab with E*TRADE, Fidelity, TD Ameritrade or Vanguard, see end of Investopedia article (link above).

2. Fidelity

Pros

  • Excellent trade executions
  • Detailed exchange-traded fund (ETF) research
  • Access to Active Trader Pro for all customers

Cons

  • Might need to use multiple platforms to use preferred tools
  • Only US citizens or residents can open an account

(stopped review)

3. TD Ameritrade

  • Account minimum: $0
  • Fees: free stock, ETF, and per-leg options trading commissions in the U.S.. $0.65 per options contract.
  • eliminated base trading commissions on equities, ETFs, and options for U.S.-based customers. Though they have cut trading commissions, their margin interest rates remain on the high end of the scale.
  • Offers 300 ETFs commission-free, and over 12k mutual funds. Some international exchanges are available via a live broker.
  • Review of the Essential Portfolios robo-advisor service
  • 2 mobile apps:
    • TD Ameritrade Mobile App: simple, mirrors capabilities of the website
    • TD Ameritrade Mobile Trader: mobile companion to the thinkorswim platform, letting you sync your watchlists, charts, and market scans between your desktop and smartphone.

Charles Schwab bought TD Ameritrade's online brokerage on 2019/11/25. The transaction will close in the second half of 2020, in the meantime both firms operate autonomously. Schwab expects the merger of its platforms and services to take place within three years of the close of the deal.

TD Ameritrade wants new investors to become more confident, and to trade additional asset classes as their skills grow.

Pros

  • Extensive research capabilities and numerous news feeds
  • Education offerings for novice investors
  • Downloadable thinkorswim platform is extensive and useful.

Cons

  • Might have to use multiple platforms to find all the tools you want to use
  • There are many tools and content in the website, it's difficult to find a particular item.

4. E*TRADE

https://www.investopedia.com/best-brokers-for-beginners-4587873