Best Online Trading Accounts

Day traders and first-time investors know that a good online trading account can be hard to find. Every financial firm uses generous start-up incentives such as reduced costs for broker assistance and free trades to keep enrollment numbers high. An investor interested in finding the perfect online trading account should understand his aims on the market. Day traders need low trade costs, and investors planning on keeping stocks for years need low account maintenance fees. The trading accounts listed below are beneficial to novices without large cash reserves, active day traders and long-term investors.

E*Trade Financial

E*Trade Financial offers an excellent online trading account because it has been one of the leaders in online trading since the 1980s. The company's online account offers trading in unusual financial vehicles such as 529 plans and convertible bonds unavailable elsewhere. The typical market trade through E*Trade Financial costs $6.99 once an account holder passes the 500 trade mark. E*Trade users can also access 20 offices throughout the United States if they want to meet directly with a broker.

optionsXpress

OptionsXpress has been voted by Barron's magazine as the top online trading platform for the last four years due to its flexible trading options. The company's trading platform is affordable for novices with no-fee option trades and $9.95 for broker-assisted orders. OptionsXpress also keeps novices from keeping their income and dividends in the market by allowing zero balances in trading accounts.

Tradeking

With the help of Tradeking's Account Concierge Service, traders can access affordable trading in domestic and foreign markets. Tradeking users do not have to pay an account maintenance fee each year and can keep as much or little in their trading accounts as desired. The Tradeking trading fees range from 65 cents for a contract trade to $4.95 for standard stock trades. The website's user forum is unprecedented in the online trading world, giving investors the chance to vent frustrations and offer advice to fellow investors.

Merrill Lynch

Merrill Lynch is likely the most recognizable name on this list with 600 offices worldwide and a powerful online trading tool. The company's $29.95 charge for standard trades may seem excessive compared to other trading accounts but it encourages investors to choose their stocks wisely. Merrill Lynch users get the benefit of sage advice online from brokers and use the company's online trading account due to its reputation in the financial world.

MB Trading

The MB Trading Navigator is a simple online trading tool that gives novice and experienced investors the opportunity to make quick trades. MB Trading has priced its standard trades at $4.95 to encourage buyers and sellers to move shares quickly based on real-time information. Experienced investors looking at the options market can get involved without any trading fees, encouraging risk-averse traders to short their options when the market is down.

Resources

• E*Trade Financial
• optionsXpress
• Tradeking