Investing in a stock market is never easy. As a matter of fact, there are plenty of risks that involve in investing in stocks. Sometimes, the market goes up — sometimes, the market goes down. The stock market is really a fickle business, and one must be brave and wise enough and must be ready to face the risks that they might encounter with stock investing, and of course, must be prepared to know what to do when such risks arise.
This is not the only concern that most stock investors have for investing in stocks. Most of the time, even though an investor manages to gain profits, such profits are most often reduced by the trading and investment costs, such as broker’s commissions, transaction and service fees, margin interest, stock broker salary, and subscription to market data. The worse thing is, such reduction is often very significant, that what will be left for us is just a very small amount of gain. This is the reason why stock investors are really advised to find the online stock brokerage firms that offer the lowest fees and best rates, but at the same time, offer reliable and quality customer service as well. However, finding the best and cheapest online broker may be very challenging.
Based on various research that we have made, the following stock broker list is the collection of the best and cheapest online brokerage firms that also provide an excellent service to their clients.
- Scottrade
This brokerage firms usually charge $7 per stock/ETF trade. They provide truly excellent customer service and have more than 500 local branches. This broker is believed to be the perfect broker for first time investors. Initial deposit to open an account is only $500. They do not charge IRA fees such setup fees, termination fees, or annual fees. - OptionsHouse
OptionsHouse charge $3.95 per stock/ETF trade. They provide good trading tools and charts, extensive educational materials, and virtual trading is available. - TradeKing
TradeKing charge $4.95 per stock/ETF trade. They provide great customer service and competitive option tools and pricing. They do not charge IRA setup and annual fees. - OptionsXpress
This brokerage firm charges $9.95 if under 1,001 shares, $0.01 per share if over 1,000 shares per stock/ETF trade. They provide great trading tools and top-rated customer service. They also provide great research amenities and virtual trading is available. They also offer free online classes, and require no initial deposit to open an account. - Zecco
Zecco charge $4.95 per stock trade, and for stocks and ETFs priced under $1, online trades are just $6.95. Zecco is great for OTC and pink sheets trading, thus a very good choice for penny stock brokers. They do not require initial deposit to open an account. - ETrade
ETrade charge $9.99 if 0-149 trades per quarter; $7.99 if more than 150 trades per quarter per stock/ETF trade. They have great trading platform, and no setup or annual IRA fees. - FirstTrade
FirstTrade charge $6.95 per stock/ETF trade. They do not require initial deposit to open an account, and no IRA fees as well. - TradeMonster
This brokerage charges $7.50 per stock/ETF trade. They offer extensive educational resources, and 24/7 help line. Free virtual trading is also available. - Choice Trade
This brokerage has a flat rate plan of $5 per stock/ETF trade. They provide great trading tools, and has low per share commissions. There is no extra charges for penny stocks and OTCBB. - Lightspeed
This brokerage charges $0.0045 per share with $1 minimum per stock/ETF trade for their Per Share plan; $4.50 per stock/ETF trade for their Per Trade plan; and $10 per order for their OTCBB and Pink Sheets plans. They povide fast executions, and best prices on almost all asset class.