Best Brokerage Accounts for Stock Trading: Top Picks for 2024
In our analysis, these 11 brokerage accounts stand out as the best choices for stock trading, due to their low fees, strong platforms and quality customer support.
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Most investors trade stocks and other investments through an online broker. The best brokers are well-rounded, offering high-quality, responsive customer service, fast trade execution, comprehensive yet user-friendly stock trading platforms, free investment research, and a large selection of investments.
In addition to those features, the companies that made our list of the best brokers don't charge commissions when trading stocks or exchange-traded funds. Other fees may creep up — most commonly, brokers tend to charge contract fees to trade more complex investments like options, and there may be fees to transfer investments out of your account. Both are factored into our analysis.
Summary of the best brokers:
Fidelity Investments.
Interactive Brokers.
Webull.
Robinhood.
Charles Schwab.
E*TRADE.
J.P. Morgan Self-Directed Investing.
Public.
SoFi Active Investing.
Ally Invest.
Firstrade.
How we select the brokers for this list
The star ratings below represent each online brokerage's overall score. Our reviewers — who are investing writers and editors on NerdWallet’s content team — spend months compiling this list every year, extensively testing each brokerage account's stock trading capabilities in our analysis. That way, we’re able to report on every aspect of the user experience, from funding a new brokerage account to actually placing trades.
We score each online broker against a set of criteria that factors in both the features offered and the actual user experience of using those features. This includes how easy it is to sign up for and fund a new account. Note that a broker may score highly for the stock trading platforms, tools or research it offers, but low for the experience of actually using those features. This means a broker can offer an advanced stock trading platform, but if it is clunky to use or the process of opening an account is unnecessarily arduous, that will be reflected in their score.
Why trust NerdWallet
Get matched with a trusted financial advisor for free with NerdWallet Advisors Match
Most investors trade stocks and other investments through an online broker. The best brokers are well-rounded, offering high-quality, responsive customer service, fast trade execution, comprehensive yet user-friendly stock trading platforms, free investment research, and a large selection of investments.
In addition to those features, the companies that made our list of the best brokers don't charge commissions when trading stocks or exchange-traded funds. Other fees may creep up — most commonly, brokers tend to charge contract fees to trade more complex investments like options, and there may be fees to transfer investments out of your account. Both are factored into our analysis.
Summary of the best brokers:
Fidelity Investments.
Interactive Brokers.
Webull.
Robinhood.
Charles Schwab.
E*TRADE.
J.P. Morgan Self-Directed Investing.
Public.
SoFi Active Investing.
Ally Invest.
Firstrade.
How we select the brokers for this list
The star ratings below represent each online brokerage's overall score. Our reviewers — who are investing writers and editors on NerdWallet’s content team — spend months compiling this list every year, extensively testing each brokerage account's stock trading capabilities in our analysis. That way, we’re able to report on every aspect of the user experience, from funding a new brokerage account to actually placing trades.
We score each online broker against a set of criteria that factors in both the features offered and the actual user experience of using those features. This includes how easy it is to sign up for and fund a new account. Note that a broker may score highly for the stock trading platforms, tools or research it offers, but low for the experience of actually using those features. This means a broker can offer an advanced stock trading platform, but if it is clunky to use or the process of opening an account is unnecessarily arduous, that will be reflected in their score.
Once you've opened an account at one of the online brokers below, you can fund the account through a bank transfer or by initiating an ACAT transfer from another brokerage. An ACAT transfer will allow you to move eligible investments to your new broker without selling them.
Best Brokerage Accounts for Stock Trading: Top Picks
Broker | NerdWallet rating | Fees | Account minimum | Promotion | Learn more |
---|---|---|---|---|---|
![]() Robinhood Learn more on Robinhood's website | $0 per trade | $0 | 1 Free Stock after linking your bank account (stock value range $5.00-$200) | Learn more on Robinhood's website | |
![]() Charles Schwab Learn more on Charles Schwab's website | $0 per online equity trade | $0 | None no promotion available at this time | Learn more on Charles Schwab's website | |
![]() Webull Learn more on Webull's website | $0 per trade | $0 | Get up to 75 free fractional shares (valued up to $3,000) when you open and fund an account with Webull. | Learn more on Webull's website | |
![]() J.P. Morgan Self-Directed Investing Learn more on J.P. Morgan's website | $0 per trade | $0 | Get up to $700 when you open and fund a J.P. Morgan Self-Directed Investing account with qualifying new money. | Learn more on J.P. Morgan's website | |
![]() Interactive Brokers IBKR Lite Learn more on Interactive Brokers' website | $0 per trade | $0 | None no promotion available at this time | Learn more on Interactive Brokers' website |
More about these brokerage accounts (and why we chose them)
Fidelity
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.65 per contract.
Stock trading platform: Mobile, web and an active trader platform.
Best for: 24/7 customer support; high interest on uninvested cash; quality research; access to Bitcoin and Ethereum.
Why we picked it: Fidelity is one of the largest and most well-established brokerages, and it shows. Fidelity stands out for a number of things, and frequently tops our lists. Stock traders will especially appreciate its top-notch research tools, renowned trading platform and very strong customer service.
Good to know: The broker-assisted trade fee at Fidelity is higher than most competitors charge, but it only comes into play if you need help placing a trade.
Charles Schwab
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.65 per contract.
Stock trading platform: Four platforms (and three mobile apps) will meet the needs of every type of investor.
Best for: Quality research; 24/7 customer support; large trading platform selection.
Why we picked it: Charles Schwab has earned its strong reputation: The broker offers high-quality customer service, four free trading platforms, three high-quality, well-featured mobile apps and an expansive investment selection — futures, forex and fractional shares are all on the menu here. This is a broker that will grow with you if you're a relatively new stock trader, or immediately meet your needs if you're an advanced trader.
Good to know: Schwab's interest rate on uninvested cash in your portfolio is one of the brokers' only drawbacks — the company pays just 0.45% as of this writing.
Robinhood
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.
Stock trading platform: Designed for mobile trading, but also offers basic browser-based trading.
Best for: High interest on uninvested cash; trading via a streamlined mobile app; options trading.
Why we picked it: Robinhood disrupted the online brokerage industry, and with its easy-to-use app-based platform, competitive margin offerings and fractional share capabilities, it's no wonder it continues to attract traders — especially beginner stock traders — in droves.
Good to know: Robinhood's customer support has long been its weak point, but it has improved over the years. However, accessing phone support still requires requesting a call back through the app.
Webull
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.
Stock trading platform: Mobile app with advanced features, plus a browser and a downloadable platform.
Best for: High interest on uninvested cash; minimalist but advanced trading platform; virtual trading simulator.
Why we picked it: Webull will appeal to the mobile-first generation of casual investors with its slick interface for desktop and mobile apps. The brokerage also delivers an impressive array of tools for active traders and a wide investment selection, including stocks (plus fractional shares), options, ETFs, commodities and futures.
Good to know: We found Webull falls short of the competition when it comes to research and data — the selection of providers is quite limited — and its relatively weak educational content may leave true beginners in the lurch.
J.P. Morgan Self-Directed Investing
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.65 per contract.
Stock trading platform: Web trading platform; mobile app integrates with Chase accounts.
Best for: Existing Chase Bank customers; variety of customer support options including in-person meetings.
Why we picked it: J.P. Morgan Self-Directed Investing is a clear-cut investment platform that is great for beginners looking to learn how to buy and sell stocks (including in fractional shares).
Good to know: J.P. Morgan pays only 0.01% interest on uninvested cash.
E*TRADE
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.65 per contract.
Stock trading platform: Mobile, web and Power E*TRADE, an advanced options-oriented platform.
Best for: Research and data offerings; 24/7 customer support; volume discounts for options trading.
Why we picked it: E*TRADE's volume discounts on options trades (a reduced per-contract charge of $.50 for investors who trade 30 or more times per quarter) and strong trading platforms appeal to active traders, while beginner investors benefit from a large library of educational resources.
Good to know: E*TRADE also lags the competition with a low interest rate on uninvested cash (0.01% to 0.15%). It also does not offer fractional shares of stocks.
Interactive Brokers
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.65 per contract.
Stock trading platform: Geared toward advanced traders: three apps, two web platforms and two desktop platforms.
Best for: Advanced traders; low margin rates; fast trade execution.
Why we picked it: With access to seven different trading platforms, international trade capabilities and super-fast trade execution, Interactive Brokers is an ideal option for skilled, active stock traders.
Good to know: Interactive Brokers' website can be difficult to navigate and understand for beginner traders — it's quite jargon-heavy.
Public
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0. Rebate available for options trades.
Stock trading platform: Basic but smooth mobile and web platforms.
Best for: High interest on uninvested cash; options trading rebates; access to alternative assets, including crypto.
Why we picked it: Public provides free stock and ETF trades, pays you to trade options, and gives traders access to crypto, alternative assets and bonds, as well as a high-yield savings account. The platform will especially appeal to traders looking for a low-cost options broker — Public pays options traders a rebate that ranges from $0.06 to $0.18 per contract.
Good to know: Research and data is lacking here, and advanced traders may find Public's tools too entry-level for their needs.
SoFi Active Investing
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.
Stock trading platform: Browser-based platform and mobile app.
Best for: Beginner stock traders; investors who use other SoFi products; IPO access.
Why we picked it: SoFi Active Investing is an easy choice for investors who also utilize SoFi's other offerings, like its bank or loan accounts. But the broker offers a few things that are relatively rare in the industry, including IPO access, free access to financial advisors and insight into the investment holdings of well-known traders.
Good to know: SoFi pays only 0.01% on uninvested cash, and the company's research and data offerings fall short of the competition.
Ally Invest
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.50 per contract.
Stock trading platform: Mobile and web platforms with limited features.
Best for: Ally Bank customers; options-trading tools; 24/7 customer support
Why we picked it: Ally Invest’s lineup of free technical tools makes it a good choice for active traders, as do its low options trading costs. It is also likely to attract customers who bank with Ally Bank, as the integration between products is quite seamless.
Good to know: Ally doesn't offer access to fractional shares, and research offerings are more limited than at other providers.
Firstrade
KEY FACTS
Stock/ETF trades: $0.
Options trades: $0.
Stock trading platform: Four platforms, including a mobile app and an options-focused platform.
Best for: Options trading; international investors.
Why we picked it: Options traders will appreciate that the broker charges no contract fee, which is still a relative rarity among brokers — especially ones that have the sort of advanced options trading features Firstrade offers. That includes Options Wizard, which helps traders analyze strategies alongside potential gains and losses. The broker also accepts clients from dozens of countries.
Good to know: Firstrade pays low interest on uninvested cash and has more limited customer support hours than some brokers on this list.
How to choose the best online broker for you
There are a lot of factors to consider when selecting a broker, and the decision will likely come down to individual priorities. Some investors are willing to pay higher fees for a state-of-the-art platform; others count costs above all else. Some may want to stick with the largest brokerage firms with heavy name recognition; others may be more interested in sifting through the smaller brokers to find the perfect fit for them.
You can start by evaluating brokers based on a few factors, including:
Commissions
Brokers generally offer a similar menu of investment options: individual stocks, options, mutual funds, exchange-traded funds and bonds. Some will also offer access to cryptocurrencies, futures trading and foreign currency exchange markets.
Commissions or other trade fees are rare among online brokers these days, but they can pop up on certain investments:
Individual stocks: Some brokers still charge a commission to buy and sell stocks, either per trade or per share. However, the vast majority of online brokers now charge no commission.
Options: Options trades often incur the stock trade commission (if charged by the broker), plus a per-contract fee, which usually runs between 15 cents and $1.50. See NerdWallet’s list of the best brokers for options trading — several have recently eliminated their contract fee completely.
Mutual funds: Some brokers charge a fee to purchase mutual funds. You can limit mutual fund transaction costs or avoid them completely by selecting a broker that offers no-transaction-fee mutual funds. (Mutual funds also carry internal fees called expense ratios. These are charged not by the broker, but by the fund itself.) See the ranking of best brokers for mutual funds.
ETFs: ETFs trade like a stock and are purchased for a share price. Most brokers offer ETFs with no commission. Here’s a list of the best brokers for ETF investors.
Cryptocurrencies: More and more brokerages are starting to offer access to a few cryptocurrencies, but be sure you understand the risks and fee structures that may be associated with these trades. See our list of the best crypto platforms.
Bonds: You can purchase bond mutual funds and ETFs at no charge by using no-transaction-fee mutual funds and commission-free ETFs. Brokers may charge a fee to purchase individual bonds, with a minimum and maximum charge. Some brokers offer access to U.S. Treasurys at no fee. See our list of the best brokers for investing in bonds.
Reliability
There’s a wide range of brokers out there. Some have been around for decades, while others are relatively new to the scene. That doesn’t mean these newcomers are untrustworthy — if they’re handling trades for other people, then they’re regulated by the Securities and Exchange Commission and are members of a self-regulatory body, such as the Financial Industry Regulatory Authority. But it does mean they may be unproven during a variety of stock market scenarios.
If this is concerning to you, you may want to consider investing with a large institution. But if all you need is a no-frills investment account, then trimmed-down apps or relatively new brokerage firms are likely fine for you.
Account fees
You may not be able to avoid account fees completely, but you can certainly minimize them. Most brokers will charge a fee for transferring out investments, or for closing your account entirely. If you’re transferring to another broker, that new brokerage firm may offer to reimburse your transfer fees, at least up to a limit.
Most other fees can be sidestepped by simply choosing a broker that doesn’t charge them, or by opting out of services that cost extra. Common fees to watch out for include annual fees, inactivity fees, trading platform subscriptions and extra charges for research or data.
» Learn more about brokerage fees and how to minimize them
Pricing and execution
Most casual stock traders won't notice differences in execution quality between brokers, as they tend to be relatively minor, especially if you're placing few trades. But active traders, particularly those who trade large quantities of shares frequently, often do. For our reviews, we look at each broker's self-reported execution quality, which is defined as the percent of a broker's orders that are executed at or better than the National Best Bed and Offer.
Tools, education and features
If you’re new to investing, it may be best to look for a brokerage that offers free educational resources, such as live webinars, thorough how-to guides, video tutorials, glossaries and more.
And, if you’re interested in continued learning around advanced trading strategies, be sure to research how well the broker supports its clients in helping them understand the risks of such strategies. This may mean guidance from an on-call customer support team, a live chat function or clear and in-depth instructions on how to use these investment products responsibly.
Another great feature to look for is fractional shares, which let investors purchase stock or ETFs by the dollar amount, rather than by the number of shares. This is especially helpful for investors who don’t have much money to invest but want to build a diversified portfolio, or are looking to set up a dollar-cost averaging strategy. (Learn more about fractional shares.)
Active traders may want a little more out of their brokerage account. Some brokers offer highly customizable downloadable platforms with in-depth analysis tools, or access to additional research and data for an extra cost. If these aren’t the types of tools and resources you’ll need, be sure to avoid paying extra for them.
Promotions
Online brokers, like many companies, frequently entice new customers with deals, such as a cash bonus on certain deposit amounts. It isn’t wise to choose a broker solely on its promotional offer — a high commission over the long term could easily wipe out any initial bonus or savings — but if you’re stuck between two options, a promotion may sway you one way or the other.
» Get a bonus: View the best brokerage promotions right now
How to switch online brokers
Switching to a new broker is quick and easy, and in most cases, the entire process can be handled online.
Here's a quick three-step process to transfer your investments to a new online broker:
Find your most recent brokerage account statement, then open an account at the new broker. You can do this online, and you'll need to supply details like your address, income, birthday and Social Security number.
Initiate the transfer process through the new broker. You'll likely be asked to fill out a form online that initiates an ACAT, or Automated Customer Account Transfer. This is where you'll need your brokerage account statement — you'll have to supply things like your old account number. Your new online broker will use that information to confirm that your investments can be transferred in-kind, which means you don't have to sell them. This is often the case with most stocks, ETFs and mutual funds. If the new brokerage doesn't support one of your investments, you can sell it and transfer the cash instead.
Play the waiting game. It can take up to seven days to complete the transfer — your brokerage firm will give you a more specific timeline. Once the transfer is complete, you'll be notified and you can begin trading.
When you switch brokerage accounts, be sure your new account matches your old account — a taxable brokerage account should be transferred into a taxable brokerage account, and a retirement account like an IRA needs to be transferred into an IRA.
Frequently asked questions
What is a brokerage account?
In many ways, brokerage accounts are like bank accounts with a bit more freedom — once you've deposited money into a brokerage account, you can use that money to purchase investments that aren't available in a typical bank account, including individual stocks, mutual funds and exchange-traded funds.
Traditional brokerage accounts are sometimes called taxable accounts, because the capital gains in your account — the investment income — may be taxable each year.
What type of online brokerage account should I choose?
Your account choices boil down to a taxable brokerage account or a tax-favored retirement account, such as an IRA. Part of the decision depends on what you're investing for. Retirement accounts are intended for retirement, and there can be penalties if you take your money out too early. (If you're new to this, we’ve got you covered in our guide to IRAs.) If you're investing for a shorter-term goal, generally a brokerage account will be best.
How much money do I need to open an account at an online broker?
Not much. Note that many of the online brokers above have no account minimum. Once you open an account, all it takes to get started is enough money to cover the cost of a single share of a stock, or, if your brokerage firm offers them, a fractional share. Read our article on how to buy stocks for step-by-step instructions on placing that first trade.
Another option for investing smaller amounts of money is exchange-traded funds. ETFs are essentially mutual funds that are bought and sold just like individual stocks on a stock market exchange. Like mutual funds, each ETF contains a basket of stocks (sometimes hundreds) that adhere to particular criteria (e.g., shares of companies that are part of a stock market index like the S&P 500). Unlike mutual funds, which can have high investment minimums, investors can purchase as little as one share of an ETF at a time (some brokers even offer fractional shares of ETFs, too). All of the online brokers on our list offer ETFs.
What’s the difference between a full-service broker and an online broker? Which is best?
The difference between a full-service broker and an online broker comes down to the level of service and how much you want to pay for that service. None of the brokers on our list are full-service brokers; they are all discount online brokerage firms.
Traditional full-service brokers do more than assist with the buying and selling of stocks or bonds. They often offer a wide array of services and products, including investing and tax advice and regular portfolio updates. However, they can charge substantial fees and transaction costs that can erode long-term investment gains.
If you have more money than time, a full-service broker (or a financial advisor) may be for you. For most investors, however, it can pay to simply open a brokerage account at an online broker such as the ones we've listed here. These brokers allow you to buy stocks yourself through their websites or trading platforms, often with no fee or commission.
Is the cheapest broker always the best broker?
Trading costs definitely matter to active and high-volume traders, but many brokers offer commission-free trades of stocks and ETFs. A few online brokers have also eliminated fees for options contracts. Other factors — such as access to a range of investments and the quality of the research — may be more valuable than saving a few bucks when purchasing shares. You might also want to consider platforms. If that's important to you, we have a separate list of brokers with the best trading platforms.
Is my money insured at brokerage firms?
Your money is indeed insured but only against the unlikely event a brokerage firm or investment company fails. SIPC insurance covers up to $500,000 for lost or missing assets; within that, $250,000 can be applied to cash that is not yet invested. What it doesn't cover is a loss in the value of your investments.
How quickly can I start trading with an online broker?
After you’ve opened the brokerage account, you’ll need to initiate a deposit or fund transfer to the brokerage firm, which typically takes just a few days — though certain circumstances may mean it takes longer. For example, if you're transferring investments from another brokerage account rather than moving around cash, that may extend the timeframe.
Several of the brokerage firms on our list will allow you to begin trading before your deposit clears.
Last updated on July 29, 2024
Methodology
NerdWallet’s comprehensive review process evaluates and ranks the largest U.S. brokerage firms by assets under management, along with emerging industry players. Our aim is to provide an independent assessment of providers to help arm you with information to make sound, informed judgements on which ones will best meet your needs. We adhere to strict guidelines for editorial integrity.
We collect data directly from providers through detailed questionnaires, and conduct first-hand testing and observation through provider demonstrations. The questionnaire answers, combined with demonstrations, interviews of personnel at the providers and our specialists’ hands-on research, fuel our proprietary assessment process that scores each provider’s performance across more than 20 factors. The final output produces star ratings from poor (one star) to excellent (five stars).
For more details about the categories considered when rating brokers and our process, read our full methodology.
Full list of brokerage accounts considered for this list: Tradestation, Zacks Trade, Ally Invest, Charles Schwab, Interactive Brokers, Firstrade, Fidelity, Merrill Edge, Vanguard, Robinhood, SoFi Active Investing, JP Morgan Self-Directed Investing, Webull, Axos Self-Directed Trading, M1 Finance, Public.
To recap our selections...