Interactive Brokers stands out as the premier platform for stock investing due to its competitive pricing, extensive range of tradable assets, advanced trading tools, and comprehensive research resources, catering to both novice and experienced investors alike.
Choosing the best online stock broker starts with research and understanding what each brokerage offers. You'll want to choose a broker with low fees to maximize savings. Choosing the best fit can significantly impact your financial success. The best brokers also offer:
- Streamlined transactions: User-friendly platforms simplify the trading process.
- Investment flexibility: Access to a wide range of assets caters to diverse investment goals.
- Enhanced decision-making: Powerful research tools to inform smarter investment choices.
- Tailored support: Features like margin accounts and investor guides cater to specific needs.
- Cost-effective trading: Competitive fees keep more money in your pocket.
By carefully evaluating your options, you can unlock the full potential of online stock trading and achieve your financial objectives.
What’s the Best Online Broker?
The best online brokers depend on your goals. A few of the best all-around brokerages include Robinhood, Webull, and Charles Schwab. Each offers strong investor resources and a wide range of tradable assets. Equally critically, these brokers also have low fees and excellent trading platforms to access and execute trades. Below is a comprehensive list of stock brokers, with an overview of the best online stock brokers.
Quick Look at the Best Stock Brokers:
- Best for Stock CFDs: Plus500
- Best for Global Traders: Interactive Brokers
- Best for Intermediate Traders: Webull
- Best for Active Investors: Moomoo
- Best for Short Selling Over $25K: Cobra Trading
- Best for Beginners: Robinhood
- Best for AI Investing: Magnifi
- Best for Fund Investing: Charles Schwab
- Best for Trading Ideas: Public.com
- Best for Copy Trading: eToro
- Best for Scalping: TradeZero
Table of Contents
- What's the Best Online Broker?
- Quick Look at the Best Stock Brokers:
- The Best Online Brokers for August 2024
- See All 23 Items
The Best Online Brokers for August 2024
The top 10 trading platforms (plus one!) offer analysis and charting tools, low commissions or fees, excellent customer support, and ease of use. They're some of the best places to buy stocks or to perfect your trading technique. Read on for the best place to buy stocks in 2024.
1. Best for Stock CFDs: Plus500
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Best For:
Mobile Users
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securely through Plus500 Yield's website
- Fees: $0; currency conversion fees may apply
- Account Minimum: $100
- Promotional Offer: Possible commission waiver as a signup bonus, check terms and conditions
Plus500 simplifies online investing with a user-friendly platform and a variety of tradable assets, ideal for advanced traders looking for diversification. It is also an excellent choice for traders looking to get into CFDs (Contracts for Difference) across various asset types including stocks, forex, and commodities. It offers a user-friendly platform designed for advanced traders.
Plus500 is known for its clean and intuitive interface and good customer service. While CFDs are advanced trading instruments that carry significant risk, Plus500 is one of the best online stock brokers if you want to get into CFDs.
However, Plus500 offers more than just CFDs. You can trade various assets, including stocks, futures, and cryptocurrencies. For futures, Plus 500 offers Crypto, Agriculture, Metals, Forex, Interest Rates, Energy, and Equity Indexes. You can also access leveraged trading to amplify potential gains.
More critically for investors, you can use stop-loss and take-profit orders or place guaranteed stop-loss orders.
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2. Best for Global Traders: Interactive Brokers
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Best For:
Active and Global Traders
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Securely through Interactive Brokers’ website
- Fees: $0.0005 to $0.0035 tiered per share; Free for U.S. clients choosing the IBKR Lite plan.
- Account Minimum: $0
- Promotional Offer: Earn up to $1,000 or more with a signup offer
Interactive Brokers (IBKR) is a long-standing favorite of experienced traders. The comprehensive trading platform gives you access to a massive range of securities worldwide, including access to 150 global markets. It is renowned for its extensive market access and professional trading tools, making it ideal for active and global traders.
IBKR is known for low fees and no commissions on any U.S. stock purchase or sale with the IBKR Lite pricing plan. In fact, it has some of the lowest commissions in the industry. You can choose from stocks, options, futures, forex, bonds, and fund trading and get access to charting tools and top-level resources.
Interactive Brokers also regularly offers impressive promotions to help you earn and invest more. Right now, you can earn up to $1,000 or more with a signup bonus and referrals.
You can also access advanced trading tools such as sophisticated charting and algorithmic trading and comprehensive research resources. You can get in-depth market data and analysis tools. Interactive Brokers combines affordability, functionality, and extensive resources, making it a top choice for global and active traders.
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3. Best for Intermediate Traders: Webull
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Best For:
Active Traders
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securely through Webull's app
- Fees: $0; Sells only - $0.000008 * Total $ Trade Amount (Min $0.01)
- Account Minimum: $5
- Promotional Offer: Free stocks when you join depending on the deposit amount
Webull offers a user-centric platform with commission-free trading and a variety of tools to support active traders. It is perfect for intermediate and advanced traders with its intuitive mobile and desktop apps featuring advanced charting and technical analysis tools. The commission-free brokerage platform trades stocks, options, ETFs and cryptocurrencies.
Webull offers commission-free trading for stocks, options, and ETFs, making it an excellent choice for cost-conscious investors who don't want to reduce their profit margins. It also offers paper trading so you can build your strategy before risking funds and fractional shares so you can hold a small portion in major, high-priced stocks.
However, Webull is known for more than low costs. It's also known for advanced trading tools. Webull's offerings include technical indicators, charting tools, and real-time market data. Its user-friendly interface is easy to navigate and get started.
How It Looks:
4. Best for Active Investors: Moomoo
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Best For:
Traders of all levels
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securely through Moomoo's website
- Fees: $0
- Account Minimum: $0
- Promotional Offer: Free stocks plus high APY on uninvested cash
Moomoo provides an intuitive platform with professional tools, making it suitable for traders of all levels. Moomoo is known for commission-free trading and the opportunity to access advanced order types.
Moomoo offers excellent educational resources for new traders. Users of all levels can access AI-powered research and level 2 market data. Moomoo offers a well-rounded package with features that go beyond basic stock trading, making it ideal for active investors.
Moomoo offers several bonuses to earn stocks or cash back. For example, the new user deposit bonus could give you seven fractional shares of the "magnificent seven" with a $100 deposit. For a $1,000 deposit, you can get an additional 10 free stocks. You can also get a 1.5% cashback on your initial transfer amount up to $300. You can also get up to 8.1% APY on uninvested cash.
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5. Best for Short Selling Over $25k: Cobra Trading
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Best For:
Short Selling over $25K
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- Fees: As low as $0.0015
- Account Minimum: $27,000
- Promotional Offer: Referral bonus of 33% equity commission discount 1 month free software
Cobra Trading is ideal for short selling with exceptional access to stock borrows and direct access routing. It has the highest account minimum of any brokerage on this list. That's because it caters to active traders with advanced tools and competitive commissions, ideal for those with larger portfolios.
As Cobra Trading advertises on its homepage, it can help you strike first, like a cobra, on trades. Cobra Trading is known for sophisticated trading tools and exceptional support to competitive day traders.
Consider Cobra Trading if you want to capitalize on every opportunity, trading faster and more efficiently. Cobra has a proactive and responsive Support Team to help you implement aggressive strategies. Cobra Trading also offers the following:
- Commission-free trading
- Direct market access
- Advanced order routing
- Short locate expertise
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6. Best for Beginners: Robinhood
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Best For:
Beginners
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securely through Robinhood's website
- Fees: $0
- Account Minimum: $0
- Promotional Offer: Signup bonus and referral bonus options
Robinhood is a brokerage platform that offers commission-free trading for stocks, options, and cryptocurrencies, making it an excellent choice for cost-conscious investors. It is popular because it's designed to give the average investor professional-level tools.
Robinhood is known for providing easy access to the markets for all investors. It allows traders to buy and sell stocks without commission charges. It features a quality mobile app that is simple, intuitive, and easy to learn.
Robinhood offers fractional share trading, which allows investors to buy and sell partial shares of stocks.
If you want to level up your investing skills, Robinhood also offers educational resources, including access to basic investment information and educational materials to enhance your financial knowledge.
Robinhood remains a top choice for beginners due to its affordability and user-friendly platform. Commission-free trades and fractional shares allow new investors to invest on a budget, making it easy for them to navigate the world of investing.
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7. Best for AI Investing: Magnifi
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Best For:
AI Investing
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- Fees: $14 - $140 per month for the subscription. Free trial available.
- Account Minimum: $0
- Promotional Offer: None now; check with Magnifi for the latest offers
Magnifi is a marketplace that allows investors to use common brokerage tools and AI to make the best portfolio decisions. The platform offers over 15,000 possible investment options and is suitable for seasoned and novice traders.
Magnifi's AI-powered investing assistant provides personalized investment recommendations, portfolio analysis, and educational guidance. It also offers a natural language search to help you find and research investments using simple terms and phrases.
Like most of its competitors, Magnifi offers commission-free trading, including free stock and ETF trades. You can also put cash into a high-yield savings account to earn interest on uninvested cash.
Magnifi offers a unique approach with an AI assistant that personalizes investment advice and simplifies research. This commission-free platform with high-yield savings allows you to maximize your returns. For added convenience, you can connect existing investment accounts for a holistic view of your portfolio.
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8. Best for Fund Investing: Charles Schwab
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Best For:
Fund Investing
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- Fees: $0
- Account Minimum: $0
- Promotional Offer: Possible free stock offer on qualifying accounts
Charles Schwab offers a compelling combination of affordability, user-friendliness, and powerful features, making it a strong contender for a top online broker for a wide range of investors. It's also one of the largest brokerages in the U.S., trusted by millions of investors.
Charles Schwab charges a $0 commission for online stock and ETF trading. He offers a broad array of asset types including stocks, ETFs, mutual funds, bonds, options, futures, IRAs, custodial accounts, and trusts. The diverse investment options give you access to a variety of asset classes.
Schwab also allows you to buy fractional shares. For example, you could buy into S&P 500 stocks with as little as $5.
Finally, real-time market data is essential for the best online trading brokers. You can access real-time quotes, market indexes, breaking news, and in-depth charts to act quickly on market-moving information.
Finally, you can choose to use Schwab Assistant to place trades, get quotes, set alerts, and receive clarifications on investment questions, helping automate your investment strategy.
How It Looks:
9. Best for Trading Ideas: Public.com
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Best For:
Trading Ideas
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- Fees: $0 commissions on stocks
- Account Minimum: $0
- Promotional Offer: Free stock offers
Public.com is the only investing platform that lets you buy, sell, and hold stocks and ETFs alongside crypto and alternative assets like art and collectibles. It emphasizes community and themed investing.
Public combines trading with social features by letting you see what others invest in and why. You can follow other investors, share ideas, and learn from a collaborative online community.
It also offers fractional shares, so you can own a part of a popular stock without forking over big bucks. It offers commission-free trading, including free stock and ETF trades.
It lets you access thematic investing, including curated investment baskets focused on specific themes or trends. Plus, they're big on educational content to keep you informed and help you grow your skills.
In many ways, Public.com gamifies investing with a social platform for beginners. Fractional shares, commission-free trades, and low minimums make it easy to start small and learn from other investors.
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10. Best for Copy Trading: eToro
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Best For:
Social Investing
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securely through eToro Stocks's website
eToros securities trading offered by eToro Securities, Inc, (“the BD”), member of FINRA and SIPC. Investing involves risk.
- Fees: $0
- Account Minimum: $10
- Promotional Offer: Up to $250
eToro is renowned for its crypto offerings but also supports stock, ETF, and forex trading. It allows investors to engage with real, experienced investors and leverage social trading features.
eToro stands out for its crypto offerings. The online brokerage offers the trade of 30+ cryptocurrencies and more traditional investments like stocks and ETFs but with a limited selection.
eToro's active community makes it a good option for people who want to learn from experienced crypto traders or copy the trades of popular investors. You can also invest in prebuilt portfolios curated by eToro's investment team or other successful investors.
EToro offers some of the most extensive cryptocurrency trading and resources for a standard online brokerage. It also allows you to transfer cryptocurrency holdings off the platform.
eToro offers an engaging communal experience, along with access to comprehensive educational resources to build trading skills. It empowers investors to copy the trades of successful investors through social features. The platform also offers flexibility with stocks, ETFs, crypto, and CFDs. While popular for crypto, eToro offers multiple asset classes, including stocks, ETFs, options, cryptocurrencies, and CFDs (subject to regulation).
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11. Best for Scalping: TradeZero
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Best For:
Overall Global Broker for Short Selling
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- Fees: $0 free limit orders; $0.005 per share on paid orders
- Account Minimum: $250
- Promotional Offer: Up to $100 signup bonus
TradeZero provides direct market access at low cost, making it ideal for active traders and those interested in short selling. TradeZero is known for some of the lowest commissions in the industry.
It offers advanced order types on a wide range of order types and strategic trade execution. You can access active trade platforms with advanced charting, technical analysis tools, and level 2 market data.
You also can choose to short-sell stocks without additional interest fees on borrowings. However, the availability of this feature is subject to change.
TradeZero offers ultralow commissions and advanced trading tools, making it ideal for active traders. Its powerful platform and potentially free stock borrowing help you execute complex strategies. TradeZero also offers advanced trading tools and 24/7 live customer support to seal its position as one of the top online stock brokers.
How It Looks:
How Do the Best Stock Brokers Compare?
Here's how the top online stock brokers compare:
Broker | Minimum Deposit | Stock Trade | Trading Fees & Commissions | Fractional Share Trading | International Markets | Advanced Trading Tools |
Interactive Brokers | $0 | Free (U.S. stocks & ETFs) | $0.0005 - $0.0035 per share | Yes | 150+ markets | Yes |
Webull | $5 | Free (stocks, ETFs, options) | $0; Sells only - $0.000008 per share | Yes | Limited | Yes |
Moomoo | $0 | Free (U.S. stocks & ETFs) | $0 | Yes | Limited | Yes |
Cobra Trading | $27,000 | As low as $0.0015 | Varies based on volume | Yes | Yes | Yes |
Plus500 | $100 | N/A (CFD trading) | $0; currency conversion fees may apply | No | Limited | Yes |
Robinhood | $0 | Free (stocks, options) | $0 | Yes | Limited | No |
Magnifi | $0 | Free (stocks, ETFs) | $14 - $140 monthly subscription | Yes | Limited | Yes |
Charles Schwab | $0 | Free (stocks, ETFs) | Options fees apply | Yes | 30+ markets | Yes |
Public.com | $0 | Free (stocks, ETFs) | $0 | Yes | Limited | No |
eToro | $10 | Free (stocks, ETFs) | $0 | Yes | Limited | Yes |
TradeZero | $250 | Free (limit orders); $0.005 per share | Varies based on order type | Yes | Limited | Yes |
What to Look for in a Stock Broker
Other factors you may want to consider when choosing the best stock broker include fees and commissions, account minimums, and promotional offers.
Available Investment Products
Available investment products are key to choosing the best online stock broker. Depending on your investment strategy, that may include low-cost mutual funds or index funds, futures, options, or shorts. Check asset classes, markets, and other investment opportunities.
Research and Analysis Tools
Research and analysis tools are essential when choosing the right stock broker. These tools can provide valuable market insights and be crucial to your investment strategy.
Trading Platform Quality and Features
Look at both the quality of the platform and ease of use. Consider whether there is a desktop version and how well the app works. Most brokerages offer a free trial or free paper trading so you can compare brokerages firsthand.
Customer Service and Support
The importance of customer service and support is essential when you need it. For that, you can check customer reviews and ratings on sites like the Better Business Bureau and TrustPilot.
Educational Resources
Educational resources can help you develop new trading strategies and connect with a similar investor community. Look for educational resources for your skill level, plus advanced videos, tutorials, or community chats for further learning opportunities.
How We Test Stock Brokers
The Benzinga team trusts the stock brokers on this list. We compare commissions and fees, platform qualifications, assets and total offerings, analytical tools, resources, and customized service.
Final Tips On Selecting The Best Stock Broker For Your Needs
The best stock brokers offer a strong combination of low costs, powerful analysis tools, real time market data, and an intuitive interface. Carefully weigh your investing goals with the products offered, as many brokerages specialize in one asset class or invest type, such as futures, options, crypto, or low-cost index funds. Be sure to take advantage of the free educational resources on various platforms to continue to build your investing understanding, and consider paper trading to try out new techniques.
Frequently Asked Questions
Q
Are online stock brokers safe?
A
Yes, duly online brokers like those listed above are insured by the SIPC and are reliable, well-reputed businesses. However, all investing activity carries the risk of loss.
Q
Which online broker has the lowest fees?
A
Many brokers, including Schwab, Interactive Brokers and Webull, offer commission-free stock and ETF trades.
Q
Does Warren Buffet use a stock broker?
A
Warren Buffet is not a registered broker, so he and his companies must buy exchange listed stocks through a broker just like other individual investors.
Q
What are the account minimum requirements for brokers?
A
Broker minimum deposit requirements can range from $0 to $27,000 or more, depending on the broker and the type of account. Some brokers offer no minimum deposit options, while others may require higher initial investments.
Q
What are the typical trading fees and commissions?
A
Trading fees have become very competitive, with many brokers offering commission-free stock and ETF trades. Fees vary by asset class and trade type. It’s essential to compare a broker’s fees for your investment strategy.
Q
Which brokers provide advanced trading tools?
A
Many brokers provide advanced trading tools, including Interactive Brokers, Cobra Trading, and TradeZero. These platforms cater to active traders with features like order routing and in-depth market data.
Q
Can I trade cryptocurrencies through online brokers?
A
Yes, some online brokers such as eToro allow you to trade cryptocurrencies online.
Q
How much money do you need to open a brokerage account?
A
The amount of money you need to open a brokerage account can vary, but many online brokers have eliminated minimum deposit requirements. This means you can potentially start investing with any amount, even $5.
Q
Can I automate my investing with online brokers?
A
Yes, many online brokers allow you to set up automatic transfers and investment schedules, making it easy to automate your investing strategy.
Q
Can you invest with a small amount of money?
A
Yes, you can invest with a small amount of money. Many brokers allow fractional shares and commission-free trades, so you can invest $5 to $10 and gradually build your portfolio over time.
Q
How do I transfer my account to a new online stock broker?
A
To transfer your account to a new online stock broker, you typically need to initiate a transfer request with your new broker, provide account details, and complete the required paperwork. The new broker will then coordinate with your old broker to transfer assets and funds seamlessly to your new account.
Q
Which brokers have the best mobile trading stock market apps?
A
Top contenders for the best mobile trading apps include Charles Schwab and Webull, which offer user-friendly interfaces and robust features for investors on the go.
Q
How to buy stocks online?
A
To buy stocks online, you typically need to open an account with an online brokerage, deposit funds, research and select the stocks you want to buy and then place an order through the brokerage’s trading platform. You can do that on any of the online brokerages listed above.
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