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Best brokers for beginners in 2019

Dec 2018
Top 2 brokers for European beginners
eToro
66% of retail CFD accounts lose money
DEGIRO
Best brokers for beginners in 2019

To find the best online brokers for beginners in 2019, we went ahead and did the research for you. We made interviews with newbies, without any trading experience. We tested 20 brokers and five made it to the top. They confirmed these top five. And now without further ado...

The best online brokers for beginners in 2019 are:

  1. Robinhood is the best broker for beginners in 2019. Only for US and Australian clients. Great mobile app and zero fees.
  2. eToro is the runner-up, best social trading experience, and a great trading platform. eToro is not for US clients.
  3. Degiro is placed number three, the best discount broker. Low fees, a good platform.
  4. Swissquote is number four, good educational tools, a good platform. Pricey.
  5. tastyworks made it to the best broker for beginner list. It has amazing educational courses and a super live channel. Mostly for options trading.
Best brokers for beginners in 2019
Broker Info Best in
#1 Robinhood US zero-fee discount broker Best for beginners
#2 eToro Global social trading broker Best social trading
#3 DEGIRO Dutch discount broker Best discount broker
#4 Swissquote Swiss investment bank Best for funds
#5 tastyworks US options and stockbroker Best for options

All five brokers are considered safe. They are regulated by top-tier regulators from the UK, US, Switzerland, or the Netherlands.

What makes a good broker for beginners? Two things above all: keep it simple and guide the client. The trading platform needs to be clean, and understandable. Fair fees are also important (learn more about brokerage fee here). Have great educational tools, like a demo account, provide webinars or coursesIt must be easy to open an account and to deposit.

Easy to list, but hard to figure it out. We are testing brokers along ~100 criteria with real accounts and real money. We know what's up.

Not sure which broker? For a tailored recommendation, check out the broker finder tool. You can enter your country and it will show only the relevant brokers. Want more details? Compare brokers with this detailed comparison table.

Boring, but important stuff: eToro, Degiro and Swissquote offer CFD products. They are complex and very risky, thus not suitable for everyone. You can easily lose all of your invested money. If you don't have clue what a CFD is, start with these CFD trading tips

And now, let's see the best online brokers for beginners in 2019 one by one. Starting with the winner, Robinhood.

#1 Best broker for beginners
Robinhood

4.1 4 stars

Best for beginners

Robinhood logo

Robinhood is a US zero-fee or discount broker established in 2013. If you don't know what discount broker means, read this overview about the best discount brokers in 2018.

Robinhood is considered safe because it is supervised by FINRA, the US regulator and provides a maximum of $500,000 investor protection including a $250,000 limit for cash.

Recommended for beginners and buy and hold investors focusing on the us stock market

Pros
  • Commission-free US stock trading
  • Great mobile and web trading platforms
  • Fast and fully digital account opening
Cons
  • Available only for US and Australian clients
  • Weak customer support
  • Limited product portfolio

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#1 Robinhood
Web trading platform 5 stars

Robinhood provides a well-designed and user-friendly web trading platform.
Pros
  • User-friendly
  • Clear fee report
  • Looks nice
Cons
  • Customizability is missing
Best brokers for beginners - Robinhood trading platform
Robinhood trading platforms
Robinhood eToro DEGIRO Swissquote tastyworks
Web platform score 5 stars 4 stars 4 stars 3 stars 4 stars
Mobile platform score 5 stars 5 stars 4 stars 3 stars 4 stars
Desktop platform score - - - - 4 stars

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#1 Robinhood
Fees 4 stars

US stock trading is free at Robinhood. There are no inactivity fee and withdrawal fees. On the flip side, Robinhood has really high commission for non-US stocks.
Pros
  • No withdrawal fee
  • No inactivity fee
  • Commission-free US stock trading
Cons
  • High financing rate
  • High trading fees of non-US stocks
Robinhood fees
Robinhood eToro DEGIRO Swissquote tastyworks
Apple benchmark fee $0.0 $0.0 $1.4 $30.2 $5.2
Vodafone benchmark fee $100.0 $0.0 $5.2 $73.0 -
EURUSD benchmark fee - $19.1 - $18.9 -

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.
Position sizes: $2k for stocks, and $20k for FX

More Visit broker

#1 Robinhood
Education 0 stars

Robinhood does not provide education tools or a demo account.
Pros
None
Cons
  • No demo account
  • No trading platform tutorial videos
  • No educational videos

More Visit broker

#1 Robinhood
Account opening 5 stars

Robinhood account opening is seamless and fully digital. Your account will be opened within a day. On the flip side, the account opening is only available for US and Australian clients.
Pros
  • Fast account opening
  • Fully digital account opening
  • No minimum account balance
  • User-friendly
Cons
  • It is only availalbe for the US and the Australian clients
Robinhood minimum deposit and time to open an account
Robinhood eToro DEGIRO Swissquote tastyworks
Minimum deposit $0 $200 $0 $0 $0
Time to open account 1 day 1 day 1 day 1 day 1-3 days

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#1 Robinhood
Deposit and withdrawal 3 stars

Robinhood deposit and withdrawal are very easy and user-friendly. On the flip side, you can only use bank transfer.
Pros
  • No deposit fee
  • User-friendly
  • Instant deposit up to $1,000 per week
Cons
  • Credit/Debit card deposit and withdrawal not available
  • Lengthy deposit if you don't use the instant deposit
Robinhood withdrawal fee and options
Robinhood eToro DEGIRO Swissquote tastyworks
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No Yes No No No
Electronic wallets No Yes No No No
Withdrawal fee $0 $25 $0 $10 $45

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#1 Robinhood
Verdict

Robinhood fees are great. US stocks trading is commission-free, and there is no withdrawal or inactivity fee. Robinhood has awesome, user-friendly mobile and web trading platforms. The account opening is easy, fully digital, and fast.

Robinhood has some drawbacks though. It is available only for US and Australian clients. The customer support is poor, you can only reach them via e-mail and it takes time to get an answer. Most products you can trade with are just from the US market. 

If you want to trade with US stocks for free and prefer an easy-to-use platform, Robinhood is the best choice. 

Robinhood
Summary Robinhood is a US-based zero commission broker. It is regulated by FINRA, the top-tier US regulator.
Fees score 4 stars
Recommended for Beginners and buy and hold investors focusing on the US stock market

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#2 Best broker for beginners
eToro

4.5 5 stars

Best social trading

eToro logo

eToro is a well-known fintech startup, an Israeli social trading broker established in 2007. eToro serves UK clients by an FCA regulated entity and Australians by an Australian entity. All other customers are served by a Cypriot entity. eToro is not listed on any exchange, does not disclose its annual report on its site and does not have a bank parent. It is also one of the 5 best trading platforms for Europeans.

eToro is considered safe because it's UK arm is regulated by a top tier regulator and it is a well-known fintech startup.

eToro is a multi-asset platform which offers primarily CFDs, but you can also invest in stocks and crypto assets. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 66% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Recommended for traders and those interested in social trading (copying other traders’ trades)

Pros
  • Free stock and ETF trading in the EU
  • Seamless account opening
  • Social trading experience
Cons
  • Poor customer service
  • Trading platform outages
  • Limited educational tools

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66% of retail CFD accounts lose money

#2 eToro
Web trading platform 4 stars

eToro’s web trading platform is nice looking and easy-to-use. Getting your fee report is a bit of a pain.
Pros
  • User-friendly
  • Looks nice
  • Social trading
Cons
  • No clear fee report available
  • Cannot be customized
Best brokers for beginners - eToro trading platform
eToro trading platforms
Robinhood eToro DEGIRO Swissquote tastyworks
Web platform score 5 stars 4 stars 4 stars 3 stars 4 stars
Mobile platform score 5 stars 5 stars 4 stars 3 stars 4 stars
Desktop platform score - - - - 4 stars

More Visit broker
66% of retail CFD accounts lose money

#2 eToro
Fees 4 stars

eToro offers free stock trading in Europe and has low fees for non-EU clients. On the negative side, the non-trading fees and financing rates are high.
Pros
  • Free stock and ETF trading in the EU
  • Low fees for non-EU clients
  • Transparent fee structure
Cons
  • High financing rate
  • $25 withdrawal fee
  • $10 monthly inactivity fee
eToro fees
Robinhood eToro DEGIRO Swissquote tastyworks
Apple benchmark fee $0.0 $0.0 $1.4 $30.2 $5.2
Vodafone benchmark fee $100.0 $0.0 $5.2 $73.0 -
EURUSD benchmark fee - $19.1 - $18.9 -

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.
Position sizes: $2k for stocks, and $20k for FX

More Visit broker
66% of retail CFD accounts lose money

#2 eToro
Education 3 stars

Education is not strong, there are medium quality videos about investing.
Pros
  • Demo account
  • Intro guide to the platform
Cons
  • No educational videos
Best brokers for beginners - eToro education

More Visit broker
66% of retail CFD accounts lose money

#2 eToro
Account opening 5 stars

Account opening is enjoyable and super fast.
Pros
  • Fast account opening
  • No minimum account balance
  • User-friendly
Cons
None
eToro minimum deposit and time to open an account
Robinhood eToro DEGIRO Swissquote tastyworks
Minimum deposit $0 $200 $0 $0 $0
Time to open account 1 day 1 day 1 day 1 day 1-3 days

More Visit broker
66% of retail CFD accounts lose money

#2 eToro
Deposit and withdrawal 4 stars

It is easy to deposit with a lot of options, including credit cards. However, there is a withdrawal fee, and only USD accounts are available.
Pros
  • Credit/Debit card deposit and withdrawal
  • No deposit fee
  • User-friendly
Cons
  • High withdrawal fee
  • Only one account base currency
eToro withdrawal fee and options
Robinhood eToro DEGIRO Swissquote tastyworks
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No Yes No No No
Electronic wallets No Yes No No No
Withdrawal fee $0 $25 $0 $10 $45

More Visit broker
66% of retail CFD accounts lose money

#2 eToro
Verdict

When looking back, eToro was a bit unreliable in 2017 because of the huge demand for cryptos. It had problems in customer support and the platform sometimes froze. In our latest test eToro improved.

On the plus side, eToro has zero-commission stock trading in Europe. The account opening is really fast and seamless. It has also a lot of innovative features, like social trading.

It has some drawbacks though. Customer service was a letdown, the platform did not work on multiple occasions. Also, it has a tight product range which includes stocks and CFDs. Non-trading fees are high.

To sum up, we recommend eToro for social trading and cheap stock trading.

Risk disclaimer

eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFD assets.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 66% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Cryptoassets are volatile instruments which can fluctuate widely in a very short timeframe and therefore are not appropriate for all investors. Other than via CFDs, trading cryptoassets is unregulated and therefore is not supervised by any EU regulatory framework.

Past performance is not an indication of future results.

eToro
Summary eToro is a global social trading broker. It is regulated by top-tier regulators, like the UK FCA.
Fees score 4 stars
Recommended for Traders and those interested in social trading (copying other traders’ trades)

More Visit broker
66% of retail CFD accounts lose money

#3 Best broker for beginners
DEGIRO

4.7 5 stars

Best discount broker

DEGIRO logo

DEGIRO is a trending Dutch online discount broker. It is privately owned and was established in 2013 by former employees of another brokerage company.

DEGIRO is considered safe as it is regulated by top-tier financial regulators, the Dutch AFM and DNB. It is registered with the Chamber of Commerce and Industry in Amsterdam under number 34342820.

Recommended for price-sensitive buy and hold investors and traders looking for only execution

Pros
  • One of the lowest fees in the market
  • Broad access to international markets
  • Easy to use web and mobile platform
Cons
  • Limited research and education
  • No forex trading
  • No credit/debit card deposit and withdrawal

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#3 DEGIRO
Web trading platform 4 stars

DEGIRO’s web platform is simple and easy to use. Even beginners can easily navigate it and buy stocks. On the negative side, it is a bit complicated to customize.
Pros
  • User-friendly
  • Two-step (safe) login
  • Looks nice
Cons
  • Limited customizability (for charts, workspace)
  • No price alerts
Best brokers for beginners - DEGIRO trading platform
DEGIRO trading platforms
Robinhood eToro DEGIRO Swissquote tastyworks
Web platform score 5 stars 4 stars 4 stars 3 stars 4 stars
Mobile platform score 5 stars 5 stars 4 stars 3 stars 4 stars
Desktop platform score - - - - 4 stars

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#3 DEGIRO
Fees 5 stars

DEGIRO has low trading and non-trading fees. In most asset classes, it is the best in the market. There are some ETFs which you can trade free once per month. It's a great offer for buy-and-hold investors.
Pros
  • Low trading fees
  • Low non-trading fees
  • No withdrawal fee
  • At some ETFs, one free trade per month
Cons
  • Yearly service fee for mutual funds
  • Higher trading fees for Asian and smaller European stock exchanges
DEGIRO fees
Robinhood eToro DEGIRO Swissquote tastyworks
Apple benchmark fee $0.0 $0.0 $1.4 $30.2 $5.2
Vodafone benchmark fee $100.0 $0.0 $5.2 $73.0 -
EURUSD benchmark fee - $19.1 - $18.9 -

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.
Position sizes: $2k for stocks, and $20k for FX

More Visit broker

#3 DEGIRO
Education 2 stars

Education can be improved. It provides limited educational tools and they are available only through the Dutch and UK websites.
Pros
  • Trading platform tutorial videos
  • Educational videos
Cons
  • No demo account
  • Only in the UK and NL
  • Missing educational texts
Best brokers for beginners - DEGIRO education

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#3 DEGIRO
Account opening 5 stars

DEGIRO has an easy and fast account opening process. Also, there is no minimum deposit.
Pros
  • Fully digital account opening
  • No minimum account balance
  • User-friendly
Cons
None
DEGIRO minimum deposit and time to open an account
Robinhood eToro DEGIRO Swissquote tastyworks
Minimum deposit $0 $200 $0 $0 $0
Time to open account 1 day 1 day 1 day 1 day 1-3 days

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#3 DEGIRO
Deposit and withdrawal 3 stars

DEGIRO deposit and withdrawal is free of charge via bank transfer. On the other hand, you cannot deposit with credit or debit card.
Pros
  • Free withdrawal
  • No deposit fee
  • Several account base currencies
Cons
  • Credit/Debit card deposit and withdrawal not available
DEGIRO withdrawal fee and options
Robinhood eToro DEGIRO Swissquote tastyworks
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No Yes No No No
Electronic wallets No Yes No No No
Withdrawal fee $0 $25 $0 $10 $45

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#3 DEGIRO
Verdict

DEGIRO is a good choice if you want a simple platform and don’t want to spend a fortune on fees.

It is far cheaper than its big European competitors and only Interactive Brokers can compete with DEGIRO fees. DEGIRO also has great access to international markets and trading products. And it is als one of the best trading platforms for Europeans.

However, cheapness comes with some shortfalls. Education and research tools are limited, there is no forex trading and limited deposit and withdrawal options.

All in all, it is a great online broker. As there is no minimum deposit and no inactivity fee, feel free to try it out.

DEGIRO
Summary DEGIRO is a Dutch discount broker established in 2008. It is regulated by the Dutch FMA.
Fees score 5 stars
Recommended for Price-sensitive buy and hold investors and traders looking for only execution

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#4 Best broker for beginners
Swissquote

4.5 5 stars

Best for funds

Swissquote logo

Swissquote is a Swiss investment bank, established in 1996. It has two main arms: 

The Swiss arm for stocks, funds, options, and futures

The UK arm for CFDs, and FX

Formally, Swissquote Bank Ltd is based in Switzerland and regulated by FINMA, the Swiss financial regulator. This one offers stocks, funds, bonds, futures and options. The other, Swissquote Ltd is UK based, regulated by the FCA, the UK financial regulator, and offers CFDs and FX.

Swissquote is considered safe because Swissquote Bank Ltd has a banking license, it is listed on the Swiss stock exchange, and discloses detailed financials regularly.  

For clarity, we will call the Switzerland Swissquote for stocks "Swissquote (CH)", and the UK Swissquote for CFDs and FX "SwissquoteForex (UK)".

Recommended for affluent investors valuing safety and being ok with higher fees

Pros
  • Extensive market and product access
  • High investor protection amount
  • Digital account opening
Cons
  • High trading fees
  • Overcomplicated trading platform
  • Better part of the research not free

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#4 Swissquote
Web trading platform 3 stars

The Swissquote (CH) platform has a lot of functions, even too many. It can get complicated. SwissquoteForex (UK)' MetaTrader 4 is a well thought out platform.
Pros
  • Two-step (safe) login
  • Price alerts
  • Available in several languages
Cons
  • Poor search function
  • Limited order types
Best brokers for beginners - Swissquote trading platform
Swissquote trading platforms
Robinhood eToro DEGIRO Swissquote tastyworks
Web platform score 5 stars 4 stars 4 stars 3 stars 4 stars
Mobile platform score 5 stars 5 stars 4 stars 3 stars 4 stars
Desktop platform score - - - - 4 stars

More Visit broker

#4 Swissquote
Fees 2 stars

Swissquote has high trading fees and average non-trading fees. As a plus, there is no inactivity fee.
Pros
  • No inactivity fee
Cons
  • High trading fees
  • Withdrawal fee
Swissquote fees
Robinhood eToro DEGIRO Swissquote tastyworks
Apple benchmark fee $0.0 $0.0 $1.4 $30.2 $5.2
Vodafone benchmark fee $100.0 $0.0 $5.2 $73.0 -
EURUSD benchmark fee - $19.1 - $18.9 -

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.
Position sizes: $2k for stocks, and $20k for FX

More Visit broker

#4 Swissquote
Education 5 stars

Swissquote provides understandable and professional educational videos, webinars, and seminars.
Pros
  • Demo account
  • Trading platform tutorial videos
  • Easy to understand
Cons
None
Best brokers for beginners - Swissquote education

More Visit broker

#4 Swissquote
Account opening 5 stars

Swissquote offers a fast, easy, and fully digital account opening. Also, there is no minimum account balance requirement for Swissquote (CH).
Pros
  • Fast account opening
  • Fully digital account opening
  • No minimum deposit for Swissquote (CH)
Cons
  • Video identification of documents may not be available for some locations
  • High minimum deposit for SwissquoteForex (UK)
Swissquote minimum deposit and time to open an account
Robinhood eToro DEGIRO Swissquote tastyworks
Minimum deposit $0 $200 $0 $0 $0
Time to open account 1 day 1 day 1 day 1 day 1-3 days

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#4 Swissquote
Deposit and withdrawal 4 stars

The depsoit is fast and user-friendly. On the flip side, you can only withdraw by bank transfer.
Pros
  • No deposit fee
  • Several account base currencies
  • Credit/Debit card deposit
Cons
  • Credit card withdrawal is not available
  • Withdrawal is not user-friendly
Swissquote withdrawal fee and options
Robinhood eToro DEGIRO Swissquote tastyworks
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No Yes No No No
Electronic wallets No Yes No No No
Withdrawal fee $0 $25 $0 $10 $45

More Visit broker

#4 Swissquote
Verdict

Swissquote has a rock solid background. It is Swiss, it is listed, it is a bank. It has two entities, one in the UK and one in Switzerland. If you open an account at the London-based entity, you can trade with forex and CFDs, while the Swiss entity gives you access to a wide range of asset classes from stocks to options.

Swissquote has an easy and fast account opening. We really liked its market and product coverage. There are lot of stocks, mutual funds, and a lot of different type of products from bonds to cryptos.

However, nothing comes for free. The trading fees are relatively high. 

All in all, Swissquote is a great provider. As there is no minimum deposit requirements and no inactivity fee, feel free to try it out.

Swissquote
Summary Swissquote is Swiss online broker with its own banking background. It is listed on the Swiss exchange and regulated several authorities globally, including the top-tier FCA.
Fees score 2 stars
Recommended for Affluent investors valuing safety and being ok with higher fees

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#5 Best broker for beginners
tastyworks

4.5 5 stars

Best for options

tastyworks logo

tastyworks is a young, upcoming US broker focusing on options trading.

The people behind tastyworks are proven experts who built thinkorswim, now operated by TD Ameritrade.  tastyworks is privately owned, established in 2017 and headquartered in Chicago.

tastyworks is considered safe as it is regulated by a top-tier regulator, the US FINRA.

Recommended for price sensitive equity and option traders focusing on the us

Pros
  • Low options trading fees
  • Great education materials
  • Very good customer service
Cons
  • Only US options, futures, and stocks
  • Can be intimidating for beginners
  • Trading platforms have some bugs

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#5 tastyworks
Web trading platform 4 stars

Tastyworks web trading platform feels like entering the cockpit of a plane. It looks organized, but also complicated at first sight.
Pros
  • Clear fee report
  • Good search function
  • Great options trading panel with embedded strategies
Cons
  • Limited customizability (for charts, workspace)
  • Can be intimidating for beginners
Best brokers for beginners - tastyworks trading platform
tastyworks trading platforms
Robinhood eToro DEGIRO Swissquote tastyworks
Web platform score 5 stars 4 stars 4 stars 3 stars 4 stars
Mobile platform score 5 stars 5 stars 4 stars 3 stars 4 stars
Desktop platform score - - - - 4 stars

More Visit broker

#5 tastyworks
Fees 4 stars

tastyworks has low trading fees and average non-trading fees. Its options fees are very low as well.
Pros
  • Low trading fees
  • No inactivity fee
  • Transparent fee structure
Cons
  • Withdrawal fee
  • High financing rate
tastyworks fees
Robinhood eToro DEGIRO Swissquote tastyworks
Apple benchmark fee $0.0 $0.0 $1.4 $30.2 $5.2
Vodafone benchmark fee $100.0 $0.0 $5.2 $73.0 -
EURUSD benchmark fee - $19.1 - $18.9 -

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.
Position sizes: $2k for stocks, and $20k for FX

More Visit broker

#5 tastyworks
Education 5 stars

tastyworks has superb educational materials on options trading. Great quality and very enjoyable. However, there is no demo account.
Pros
  • Educational videos
  • Easy to understand
  • Good production quality
Cons
  • No demo account
Best brokers for beginners - tastyworks education

More Visit broker

#5 tastyworks
Account opening 4 stars

tastyworks account opening is user-friendly and fully digital. You can open your account without a required minimum. On the flip side, it can be more days until your account is approved.
Pros
  • Fully digital account opening
  • No minimum account balance
  • User-friendly
Cons
  • Can take 3 business days
tastyworks minimum deposit and time to open an account
Robinhood eToro DEGIRO Swissquote tastyworks
Minimum deposit $0 $200 $0 $0 $0
Time to open account 1 day 1 day 1 day 1 day 1-3 days

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#5 tastyworks
Deposit and withdrawal 2 stars

tastyworks deposit and withdrawal can be improved. The account can be opened only in USD. Also, non-US citizens can only use bank transfer, and there is high withdrawal fee.
Pros
  • No deposit fee
  • User-friendly
Cons
  • Credit/Debit card deposit and withdrawal not available
  • High withdrawal fee
  • Only one account base currency
tastyworks withdrawal fee and options
Robinhood eToro DEGIRO Swissquote tastyworks
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No Yes No No No
Electronic wallets No Yes No No No
Withdrawal fee $0 $25 $0 $10 $45

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#5 tastyworks
Verdict

tastyworks is an excellent broker for options trading. It could be a bit complicated if you want to trade stocks only.  

tastyworks is a US broker, hence investor protection scheme is excellent. Options fees are very low, among the bests. Its trading platform is aimed at experienced options traders, it can be intimidating for starters.

As there is no minimum deposit, no inactivity or monthly fee, and the account open is seamless, feel free to try it.

 

tastyworks
Summary Tastyworks is a young US options and stockbroker. It is regulated by FINRA, the top-tier US regulator.
Fees score 4 stars
Recommended for Price sensitive equity and option traders focusing on the US

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Best brokers for beginners
What makes a great broker for beginners

Now you know the best best brokers for beginners. Curious how we came up with this list? Let's go through two points. Are they safe? How did we compile the list?

Are these brokers safe?

Yes, they are considered safe. You can be sure none of them is a scam. They are regulated by top-tier regulators. Some of them are also listed on an exchange, and some have a banking background.

However, also brokerage companies can go down. Remember Lehman Brothers? In these cases, it is important to know what happens with your securities and cash. These are usually held in segregated accounts, so even in case of a broker bankruptcy, you are safe.

If everything goes very bad and for example, the broker steals your assets, then you have a last resort, the compensation fund of the country where the broker is regulated. 

How did Brokerchooser pick the best brokers for beginners?

At Brokerchooser we test online brokers along ~100 criteria, with a real account and real money. Not to overwhelm you we list the five most important criteria for brokers for beginners:

5 most important criteria for the best brokers for beginners in 2019
1. Web trading platform A user-friendly and well-equipped trading platform can significantly increase your trading comfort.
2. Fees The overall cost of a typical trade can be 10-15 times higher at one broker compared to another. Worth to check the fees.
3. Education You are not familiar with concepts like spread or leverage? Good educational tools help you understand the basics of trading.
4. Account opening Some online brokers require a minimum to invest, others don't set a minimal first-time deposit. Check out what the best online brokers require.
5. Deposit and withdrawal Withdrawing money from your account can be 5 times longer and more expensive at one broker compared to another.

Best brokers for beginners
Start your learning

When you are a beginner the best way to start your journey is to learn.

Find below some very useful learning materials to start with.

If you are considering starting.  Check our learning page, a lot of great materials. You can learn about the pros and cons of investing your money on your own or the difference between trading vs investing. Also go to the learn section if you want to figure out whether you can open a foreign account. 

For beginner buy and hold investors we recommend to read the how to buy shares. Have a six-step approach on how to buy shares online.

For beginners who want to learn to trade, we can provide even more. Robert, a professional trader, wrote on how to become a trader. Most of the beginner traders start with forex. If you don't anything about this topic, start with the forex 101. The CFDs also have become very popular. They are very risky. Start learning about CFDs with this CFD greenhorn and continue with the pros and cons of CFD trading.

Cryptos were among the hottest topics in 2017. Also super risky. Tibor dug in into it and found out the safest ways to invest in Bitcoin. A very interesting read, highly recommended if you are considering cryptos.

When more experienced and starting to explore futures options, you should definitely check out Gery's article on the topic.

 

Best brokers for beginners
Bottom line

You saw the details, now let's zoom out. Here are the best brokers for beginners in 2019:

Best brokers for beginners in 2019
Robinhood eToro DEGIRO Swissquote tastyworks
Award Best for beginners Best social trading Best discount broker Best for funds Best for options
Fees score 4 stars 4 stars 5 stars 2 stars 4 stars
Account opening score 5 stars 5 stars 5 stars 5 stars 4 stars
Deposit and withdrawal score 3 stars 4 stars 3 stars 4 stars 2 stars
Markets and products score 1 stars 3 stars 3 stars 5 stars 1 stars
Web platform score 5 stars 4 stars 4 stars 3 stars 4 stars
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Robinhood is our winner, the best broker for beginners in 2019. Only for US and Australian clients. For non-US clients, eToro is great, the runner up. It has a great social trading platform. Next is Degiro, the best discount broker. Swissquote is placed four, good for buy and hold, can be expensive. tastyworks is also on the bestlist. It has amazing video courses. 

All are considered safe, and a great choice. Pick the winner, or any runner-up and take the next step in your investment journey. Let us know what you think in the comment section.

Still unsure? Use the broker finder and find the best broker for you.

 

AUTHOR

Gergely Korpos
Gergely Korpos
Co-founder, CPO
Gergely's aim is to bring more clarity into personal investing. He has 10 years of experience in financial markets with GE Money, KPMG and MOL. He concluded thousands of trades as a commodity trader and financial portfolio manager
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