Find about Online Discount Brokers
Getting ready to trade some stock? Have you always used a traditional broker, yet you have started hearing about online discount brokers and want more information. You’ve come to the right place. When you think about researching, do the 5 W’s come to mind… who, what, when, where and why? Good for you. Get the answers so you can make an informed decision when you start Investing in Stocks.
What is an Online Broker?
Online discount brokers are those people or firms that charge their clients lower fees. Those who are seeking to invest can actually buy and sell through these brokers without getting any type of advice. These brokers offer online trading.
Facts about online brokers that may help you decide to use one are the following: they have fewer products that they are promoting in their arsenal; they are paid on a salary and not commission and lastly, they are more focused on offering a quality service which in turn will equate to volume.
Why use an Online Broker?
The biggest benefit to using an online broker is that you have more control over your account. Who wouldn’t want that? If you were using a traditional broker, full service brokers have a commission around $150 and they are also paid based on the amount you trade. Therefore, using an online discount broker will be like a breath of fresh air.
Who are some Online Brokers?
Maybe you have heard of some below brokers and just didn’t realize they were an online discount broker. Check out the information about each one and see if any of them strike a chord with you. Before you know it, you could very well be off and trading. This could be your opportunity to get your feet wet and see how you do with stocks.
May as well start with a name you’ve probably heard and that is Charles Schwab. The price is $8.95 for all online stock and ETF trades. There is also a charge of $0.75 per contract for all option trades. $76 per buy and $0 per sell for online mutual fund trades.
Another familiar name is more than likely TD Ameritrade. They have no platform fees or minimum trade requirements. What may be even more enticing is that you can open an account and trade free for 60 days. You could also get up to $600 based on your deposit amount. More about investing in stocks.
Scottrade makes the online investing and trading experience easy. Low trading fees and commissions. Customers pay no fees for account maintenance or inactivity. Make sure you know there are different fees based on how you trade with Scottrade. For example if you trade on the internet it is $7, if it is touchtone IVR system it is $32 and also if it is broker assisted it is $32.
These are just a few of the online discount brokers that exist. You can perform a search through the internet and discover the world of trading through an online medium. You can start small and get your feet wet until you feel more comfortable navigating the waters of stocks and funds. Take the time to research each fund so you are aware of what all the fees are. Information concerning investing in stocks.