TradeKing vs E*Trade: Where to Open an IRA The Motley Fool


On the flip side, trading on E-Trade provides users with seamless integration between PC and mobile versions. A common factor with either broker is that they have open customer service lines to connect investors with experts on various trading options. One limitation with Ally Invest is that it restricts foreigners from opening accounts, reserving them for US citizens only. There are also a number of unique TradeKing option tools that are offered. AutoTrade allows investors to automatically buy and sell based on the advice of a financial newsletter.

  • E-Trade has been around since 1982, and the Morgan Stanley merger means that customers now have equity research services.
  • In this review, we break down their features, fees and more to see which one we can recommend for you.
  • Like Robinhood and North America-based TD Ameritrade, there are plenty of alternatives that may take the focus away from either of them.
  • Meanwhile, E-Trade’s equivalent, the advanced trading platform E-Trade PRO, is just as reputable, if not more so.

TradeKing’s options, which allow trading in stocks, bonds, mutual funds, and more, are diverse enough to meet the various needs of investors and their unique portfolios. It is famous for its low price ($4.95 commission) and the social networking nature of its platform. Its platform is very user-friendly, offering an intuitive design and layout for investors.

In comparing TradeKing and E-Trade, the choice ultimately depends on your specific needs and priorities. If you are a [Type] investor who values extensive research tools, in-person support, and a wider variety of investment options, E-Trade may be the better choice. On the other hand, if low fees and a user-friendly platform are more important to you, TradeKing could be a more suitable option. Between TradeKing and E-Trade, TradeKing comes out ahead in a lot of categories.

Other Services

These features mean that the trading platform is virtually free to customers—for regular trading. The securities you choose to invest in depend on your personal financial goals and your investment strategy. Most online trading accounts offer the basics, like stocks and bonds, while others may vary, offering financial instruments, like ETFs and mutual funds. However, some aspects of the platform Ally Invest offers limits its potential, including the lack of syncing between the app and the web platforms. An investor can trade in mutual funds and trade equities on the mobile app, but they cannot complete the same functions on the website. The mobile app equally lacks watch lists and an account holder can’t trade in conditional orders.

Telephone representatives are available from 8am to 6pm ET, Monday through Friday. SmartMoney ranked TradeKing’s customer service as number one in 2008, 2010, 2011, and 2012. Its customer service has also received commendations by and Barron’s multiple times.

Verdict: E-Trade Holds Over Robinhood

However, while Ally doesn’t have a minimum, E-Trade has a $500 minimum deposit, no maintenance fee, and no inactivity fee. Brokerage platforms thrive when they maximize positive customer experience but among the two, Ally Invest falls short on various aspects. On Ally Invest, the mobile app doesn’t support every asset, a negative factor that demands the user to shift to the web service. Also, Ally’s standard web platform requires manual refreshing for quote updates, an aspect that limits active trading. The Motley Fool has no position in any of the stocks mentioned.

Ally Invest vs E*TRADE

Alternative investment ideas, economic commentary and finance strategy and tips. Still, this is not enough of a difference to demerit it since it’s not an uncommon practice. Reasonable efforts have been made by AdvisoryHQ to present accurate information, however all info is presented without warranty. Also review each firm’s site for the most updated data, rates and info.

Commission-free ETFs and NTF Funds

Not only are their commissions some of the lowest in the business, but beginner traders will find their numerous resources quite helpful in getting their investing careers started. They also require no minimum account balance, which makes them far more flexible than most other options. Neither TradeKing nor E-Trade charge account maintenance fees or IRA fees, nor do they have surcharges on orders over 1,000 shares. E-Trade offers no account inactivity fee, while TradeKing charges $50 for small balances that have had no trades in the last twelve months. E-Trade, meanwhile, offers $9.99 for stock and ETF trades, which is certainly much more expensive than TradeKing. However, E-Trade’s trade commission system is tiered, meaning that their price lowers the more actively you trade, and as you get a higher balance.

International stocks and ADRs

Some brokers allow their investors to make certain trades without paying a fee. Keep on the lookout for commission-free ETFs and no-transaction-fee (NTF) mutual funds, which charles schwab vs etrade can be traded without paying a transaction fee to your brokerage. This is extremely useful for traders who like to observe current market activity and price fluctuations.

Anyone who’s ever had something as commonplace as a credit card is familiar with the yearly annoyance of annual fees. Fortunately, most discount online brokerage firms do not charge annual maintenance fees, and both TradeKing and E-Trade fall into that category. Users have complained about execution speeds and the layout of the platform, but these are considered par for the course for a discount online brokerage account. While TradeKing can be used for investors at varying levels, those executing a large volume of trades may find TradeKing’s platform to be a hindrance.

Online trading accounts, also known as online brokerage firms, allow investors to trade stocks, bonds, options, and more on their own, either online or over the telephone. Two popular online trading platforms are TradeKing and E-trade. Discount online brokerage firms are a convenient option for people who want to get started with investing but aren’t ready to pay exorbitant fees for fancier firms. The E-Trade and TradeKing platforms are two popular online firms with low prices and a variety of investment options that are accessible for novice and seasoned investors alike. TradeKing is a popular online broker known for its competitive pricing and easy-to-use platform. It offers a range of investment products and services, including stocks, options, ETFs, and mutual funds.

This makes home to the largest independent database on the web covering the online broker industry. All research, writing and data collection at is done by humans, for humans. To score Customer Service, partners with customer experience research firm Confero to conduct phone tests from locations throughout the United States. For our 2023 Broker Review, 168 customer service tests were conducted over six weeks, with wait times logged for each call. Keep in mind that depositing money into your account does not mean you’re invested; once your account is funded, you’ll need to select investments. Don’t count on getting much of a return on the free cash in your brokerage account.


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