These are online brokers. Generally, you place orders through a web interface, and, as with all discount brokers, you make your own investment decisions.
Commissions vary based on account value (bigger accounts get cheaper rates). Most also offer discounts if you trade frequently, but that isn't listed here because this site doesn't really target daytraders. Commissions may be higher for large trades (usually over 1000 shares), and for trades of things other than stocks (options, bonds, etc.). This is meant as a general guide; you should of course look at the detailed commission and fee schedule of each broker to match your goals.
The information in the table below was last verified in July 2008.
| Broker | Commission (by account value) |
Minimum Balance (or minimum to avoid fees) |
Notes | ||
|---|---|---|---|---|---|
| $5k | $50k | $1m | |||
| Zecco | $0.00 / $4.50 | $0.00 / $4.50 | $0.00 / $4.50 | none ($2,500 to open) | Ten free trades per month with $2,500 minimum balance; $4.50 per trade otherwise. |
| TradeKing | $4.95 | $4.95 | $4.95 | none | A fairly new company (started in December 2005). |
| Scottrade | $7.00 | $7.00 | $7.00 | $500 | Have numerous brick-and-mortar offices. |
| TD Ameritrade | $9.99 | $9.99 | $9.99 | none | |
| Charles Schwab | $12.95 | $12.95 | $8.95 | $1,000 | |
| E*Trade | $12.99 | $9.99 | $9.99 | $10,000 | Can have a lower fee-free balance if other conditions are met (e.g. with direct deposit, or an E*Trade moneymarket account). |
| Banc of America | $14.00 | $14.00 | $14.00 | $50,000 | Information quoted for the Standard Self-Directed Investing account. Can get lower commissions (down to $0), or have a lower fee-free balance, if other conditions are met (e.g. with a Bank of America checking account). |
| OptionsXpress | $14.95 | $14.95 | $14.95 | none | Focus on options trading, though they also permit the usual range of trading (including stocks). |
| Fidelity | $19.95 | $10.95 | $8.00 | $2,500 | Purchasing Fidelity mutual funds is commission-free. Retirement accounts and accounts of immediate family members can be counted together for calculating commission tier. |
This section has some sponsored links in it, chosen and rotated according to Google's algorithms. They may sometimes advertise promotions, especially account-opening bonuses, so might be worth looking at.
Contact: mark@pfstuff.com