That depends on the type of investor you are and the features you need the most. Yes, you can open multiple brokerage accounts with the same broker or different brokers. Investors may choose to open multiple brokerage accounts to access different tools or manage different trading strategies.

Lei Deng, founder of Savor Financial, says you are looking for trade commissions, other transaction fees, and advisory fees if you plan to delegate your investing to a broker. The right brokerage for you will depend on several factors, including your investment type and the important features. TradeStation started as a software development company in the 1980s, which explains its focus on offering innovative trading tools. Fidelity is one of the few brokers on our list with branches that offer in-person customer support.

• Additionally, its fractional share investing options and stock screeners allow beginners to get started with limited funds and information.
• Fidelity offers multiple account types, a long list of available investments, and competitively priced securities.
• On the flip side, you may be able to do what’s called tax-loss harvesting to help offset any taxable gains by selling investments at a loss.
• The recent rise of social media blogs surrounding investing may increase interest, but be cautious about investing, as any investment comes with risk.
• SoFi members who are not members of SoFi Plus can schedule one (1) appointment with a financial planner.
• We consulted financial advisors, investing experts, and our own wealth-building reporter to inform our choices for the best online brokerages.

Though many customers appreciate IBKR’s range of investment products and advanced trading tools, a significant number of users report challenges with account setup and customer service. Some customers also find the platform’s user interface to be outdated. First, decide which type of investment account best suits your financial goals. Some accounts, like 401(k)s, are set up through employers, while others, like IRAs and brokerage accounts, are opened independently, usually online. And just like last year, we analyzed only the free and most basic level of each brokerage’s service.

What type of security protections do online brokerages offer?

Choosing the right investment account is just as important as choosing the right investments. The key is to start investing as soon as possible to take advantage of compound growth. No matter which account you choose, getting started today puts you one step ahead of the game. Any estimates based on past performance do not a guarantee future performance, and prior to making any investment you should discuss your specific investment needs or seek advice from a qualified professional. The information herein is general and educational in nature and should not be considered legal or tax advice.

• These automated platforms use algorithms to build and manage your portfolio based on your risk tolerance and financial goals.
• And because most trading now is free, we continued to count costs at just 5%.
• You can have multiple brokerage accounts to access different investment options, account options, and trading features.
• Our research team meticulously collected data on every feature of importance to a wide range of customer profiles, including beginners, casual investors, passive investors, and active traders.
• When you open an account with a regulated brokerage, you can deposit money and make investments in the stock market.

What is the best way to diversify my investments?

With its broad investment offerings for trading, easy-to-use mobile and desktop applications, and low fees, Robinhood is excellent for new traders. Robinhood scores just 3/5 for ease of use due to limited customer support options as well as pay-walled research behind Robinhood Gold. Fidelity is a leading brokerage for stock trading due to its balance of accessibility with powerful optionality.

Best Online Broker for Ease of Use

A brokerage account is an account provided by a brokerage firm that allows you to buy and sell stocks, bonds, ETFs, and mutual funds using an online trading platform. Think of it as your direct link to the markets, giving you access to a variety of investment products and the tools you need to build and manage your portfolio. To help you make a determination, this guide highlights cost information, which investment products are available, as well as deep dives into types of research tools offered by the platform. Charles Schwab is my pick for the best brokerage for beginners, offering an ideal balance of education, ease of use, and affordable investing options. The Schwab Mobile app and web platform are intuitive and beginner-friendly, making it easy to get started.

Benefits of Having Multiple Brokerage Accounts

Many brokerage firms and robo-advisors offer a range of investment options and different fee structures. Unlike retirement accounts, there are no withdrawal penalties or yearly contribution limits. You’ll pay taxes on gains only when you sell, making it a flexible option to invest for medium- and long-term goals. Stock markets, especially foreign markets, are volatile and can decline significantly in response to adverse issuer, political, regulatory, market, or economic developments.

If you prefer a hands-off approach, a robo-advisor can do the work for you. These automated platforms use algorithms to build and manage your portfolio based on your risk tolerance and financial goals. Robo-advisors offer taxable accounts in addition to retirement accounts.

The Knowledge section within the client portal includes guided overviews, articles and videos covering topics such as the basics of stock selection. We appreciated the impressive range and depth of TD Ameritrade’s educational resources, in particular the TD Ameritrade Network, webcasts and immersive courses. Additionally, Charles Schwab recently acquired TD Ameritrade, which gives its users access to the thinkorswim platform.

Interactive also scored best for investment choices, as it offers broad access to mutual funds with no transaction fee and allows fractional purchases of nearly all U.S. stocks and exchange-traded funds. Passive and active investors can easily manage and diversify their portfolios with no-fee stocks, bonds, ETFs, and fractional shares (aka Stock Bits). You can also invest in real-estate-backed funds, no-fee options, and commodities.

BEST ONLINE BROKER FOR BEGINNERS

Depending on your experience level, you may opt for individual stocks, mutual funds, ETFs or a managed portfolio. Many online brokers offer educational resources and tools to help you build a diversified investment strategy. Public is a top choice for stock trading due to its sleek design, low fees and unique rebate program for options trading, and innovative investing tools like AI research. This brokerage offers a broad suite of investment options from fractional shares to a margin product. Public scores 3.5/5 for ease-of-use due to limited research tools without a Premium account, while still offering a powerful trading platform to free users.

More Robinhood, ensure you’re aware of competing features and fees so you can trade as effectively as possible. Whether you’re planning for retirement, exploring global markets, or refining advanced strategies, Fidelity’s innovative tools and reliable platform make it a superb choice. Check out my full review of Fidelity to get all my thoughts about this broker and explore more of its offerings. Robinhood is on a mission to “democratize finance for all” by making it easier to access financial markets.

The jewel in TD Ameritrade’s crown is the powerful yet user-friendly thinkorswim platform. Thinkorswim has a built-in learning center that guides and educates users on key topics. It also offers chat rooms, which are a great way for beginners to interact with peers as well as learn from experts.

Whether you choose a long-time favorite like Charles Schwab or an innovative new brokerage like Robinhood, ensure you’re aware of competing features and fees so you can trade as effectively as possible. While the user experience is not as sleek as Public for example, Merrill Edge Self-Directed does offer a good experience for Bank of America customers who want a more integrated banking and investing experience. This brokerage loses a point in ease-of-use with 4/5 for ease due to its lack of fractional share trading. IBKR Lite by Interactive Brokers offers a powerful platform with low costs, especially for options contracts, intended for advanced traders. Through IBKR Lite, traders can access the advanced tools they need like analyst ratings and screeners across Trader Workstation for desktop or the IBKR mobile app.

Our team verified the data by conducting thorough online research and directly contacting companies to confirm or fill in any missing details. You own a business and want to maximize your retirement savings while lowering your taxable income. Bankrate’s AdvisorMatch can connect you to a CFP® professional to help you achieve your financial goals. Similar to a Roth IRA, but with no income limits and a higher contribution limit, which is the same as the traditional 401(k)’s limit. You want to reduce your tax bill now, possibly because you believe you’ll be in a lower tax bracket in retirement. You can contribute up to $7,000 to a traditional IRA in 2025 and an extra $1,000 if you’re age 50 or older.

Trading platforms tested, data findings

We assessed the broad selection best online investors of tools and trading features offered by each platform. EToro’s user-friendly interface and social trading features are appreciated by many customers, especially beginner investors. However, some customers report technical issues like slow loading times and occasional crashes, which present a challenge to active traders. Some customers also find it difficult to withdraw funds and report that customer-service resolution can take weeks. These are comprehensive and user-friendly, offering advanced charting and custom trading tools. As a bonus, its in-app community lets you interact with other investors, participate in paper trading competitions and keep up with market trends.

When choosing an online brokerage firm, look for features like user-friendly platforms, low fees, and investment options that make sense for your goals. Once you’ve chosen one, follow its instructions to open the account type that matches your needs. Beginners should consider learning the ropes first by buying and holding stocks, ETFs, or mutual funds.