From talking babies to Kevin Spacy, Etrade’s prominent marketing campaigns have made it one of the most well-known online trading platforms on the market but do they have more to offer than catchy slogans and celebrity endorsements? E-Trade offers tools and platforms aimed at both experienced and novice investors because of this, most investors can find something for them whether you are a day trader or you’re just managing an IRA.
ETrade was originally known as the leader in low-priced investing. However, with more competition, they have actually become one of the higher-priced online brokerage companies out there.
Currently, they charge a commission of $6.95 per stock or options trade. They do, however, offer over 1,000 no transaction fee and no load mutual funds (but mutual funds are on the way out versus ETFs).
They do have a $500 account minimum for their traditional brokerage account, but no minimums for retirement accounts, which is great.
See how ETrade compares using our Online Stock Broker Comparison Tool.
As a large online trading company, E-Trade has a wide range of helpful online tools to aid your research and organizational efforts. They also offer charting tools that help you keep track your performance and the success of each trade. Their analytics tool also takes your experience and preferred risk to reward ratio into account to create a plan tailored to your needs and goals.
E-Trade also has a portfolio analyzer tool that will help you look at your investments and diversification so you can put together the best possible portfolio for you. With their risk assessment tool, you can analyze the risk and reward factor for each investment. E-Trade also offers an excellent mobile app that seamlessly recreates the features of the desktop version.
An online stock trading service is only as good as the platforms they offer and E-Trade delivers some intuitive trading portals. For casual traders, E-Trade 360 is a browser platform that is ideal for beginners and passive investors. This platform offers easy access to the helpful tools and resources that E-Trade offers. 360 is designed to be simple and streamlined while still being customizable, which is what makes it great for investors who are starting out. This is also great for mutual funds and IRA account holders who don’t need to check their investments very often.
E-Trade Pro is their desktop version that requires you to maintain an account balance of $250,000 or more. This platform is better for experienced traders and active investors. Its goal is to provider seasoned traders with the power and speed necessary to buy and trade stock quickly and seamlessly. For instance, if you see an attractive opportunity, you can click on it and order stocks, ETFs and options all without leaving the screen you’re on. Unlike the 360 version, E-Trade Pro offers professional level customization for advanced analytics and research options.
Support and Education Services
Another aspect of E-Trade that is excellent for beginners are the educational tools that the company provides. You can attend live online seminars on a variety of topics including retirement planning, stock market basics and analyzing your trade opportunities. You can also take a look at a large catalog of online courses to further your stock trading education.
By offering both advanced and easy-to-use features, E-Trade is excellent for both experienced and new traders. At $6.95, E-Trade’s commissions are in-line or lower compared to other online trading platforms, but access to the pro account requires a hefty $250,000 account balance. Despite these costs, E-Trade’s intuitive platforms and informative resources are worth considering, especially if you're looking for a Solo 401k.