1st place
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Intro and winners
To help you find the best online brokers for funds, we went ahead and did the research for you. First, we looked at the 103 online brokers that we cover, then we checked and compared their fees, products, trading platforms, deposit and withdrawal conditions, and more.
Let's see the winners!
Our top 5 picks for the best online brokers for funds in 2022:
- Charles Stanley Direct is the best broker for funds in 2022. Low fund fees. Great customer service. Easy deposit and withdrawal.
- Interactive Brokers takes second place. Low trading fees. Wide range of products. Many great research tools.
- Firstrade rounds out the top three. Free stock, ETF, fund and options trading. Solid research tools. Quality educational tools.
- Ally Invest came in fourth. Low trading and non-trading fees. Easy and fully digital account opening. Great education.
- AJ Bell Youinvest just made it to the list at number five. Fast account opening. Easy to use trading platforms. Great customer service.
| Broker | Description | Funds fee class | Number of available fund providers | ||
|---|---|---|---|---|---|
| #1 | Charles Stanley Direct | UK-based stockbroker | Low | 280 | Visit broker |
| #2 | Interactive Brokers | International broker providing all asset classes | Average | 400 | Visit broker |
| #3 | Firstrade | US discount broker | Low | 450 | Visit broker |
| #4 | Ally Invest | US stockbroker | Low | 600 | Visit broker |
| #5 | AJ Bell Youinvest | UK discount broker | Low | 270 | Visit broker |
What makes a good online broker for mutual fund investing?
- Fair fees for funds
- Wide selection of funds
- Safety
- Low or no inactivity fee
We test brokers based on close to 500 criteria with real accounts and real money. We speak from experience.
For a tailored recommendation, check out our broker finder tool. Want more details? Compare brokers with the help of this detailed comparison tool.
And now, let's see the best brokers for fund investors one by one, starting with the winner, Charles Stanley Direct.
#1 Best brokers for funds
Charles Stanley Direct
Charles Stanley Direct is a UK-based stockbroker founded in 1985. It is regulated by the top-tier UK Financial Conduct Authority (FCA). In 2022 it was acquired by Raymond James Financial, Inc., which is an NYSE-listed financial services company, a constituent of the blue-chip S&P 500 index.
Charles Stanley Direct is considered safe because it has a long track record, its parent company is listed on a stock exchange, and is regulated by a top-tier regulator.
| Pros | Cons |
|---|---|
| • Low fund fees | • Limited product portfolio |
| • Great customer service | • Limited education materials |
| • Easy deposit and withdrawal | • Basic research tools |
#1 Charles Stanley Direct
Fees
Charles Stanley Direct has low fees when it comes to buying and selling funds.
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund fee class | Low | Average | Low | Low | Low |
| Mutual fund | $0.0 | $15.0 | $0.0 | $10.0 | $2.1 |
| Inactivity fee | No | No | No | No | No |
Note: We excluded the following fees:
- Ongoing fees (expense ratio)
- Front-load and redemption fees
- Short-term redemption fees
- Performance fees
#1 Charles Stanley Direct
Markets and products
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund providers (#) | 280 | 400 | 450 | 600 | 270 |
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | No |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | No | No | No |
| Futures | No | Yes | No | No | No |
| CFDs | No | Yes | No | No | No |
| Crypto | No | Yes | No | No | Yes |
#2 Best brokers for funds
Interactive Brokers
Interactive Brokers, one of the biggest US-based lowest spread brokers, was founded in 1977. The broker is regulated by several financial authorities globally, including top-tier ones like the UK's Financial Conduct Authority (FCA) and the US Securities and Exchange Commission (SEC).
Given that the broker has licenses from multiple top-tier regulators, has a long track record and publicly disclosed financials while being listed on a stock exchange; it all points towards IB being a safe service provider.
Interactive Brokers recently launched a new app for global stock trading: read our review of IBKR GlobalTrader.
In addition, Interactive Brokers also has an app you can use for ESG investing: read our review of IMPACT by Interactive Brokers.
| Pros | Cons |
|---|---|
| • Low trading fees | • Complicated account opening process |
| • Wide range of products | • Complex desktop trading platform |
| • Many great research tools | • Understaffed customer service |
#2 Interactive Brokers
Fees
Interactive Brokers has average fees when it comes to buying and selling funds.
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund fee class | Low | Average | Low | Low | Low |
| Mutual fund | $0.0 | $15.0 | $0.0 | $10.0 | $2.1 |
| Inactivity fee | No | No | No | No | No |
Note: We excluded the following fees:
- Ongoing fees (expense ratio)
- Front-load and redemption fees
- Short-term redemption fees
- Performance fees
#2 Interactive Brokers
Markets and products
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund providers (#) | 280 | 400 | 450 | 600 | 270 |
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | No |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | No | No | No |
| Futures | No | Yes | No | No | No |
| CFDs | No | Yes | No | No | No |
| Crypto | No | Yes | No | No | Yes |
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#3 Best brokers for funds
Firstrade
Firstrade is a US discount stockbroker regulated by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). The company was founded in 1985 under the name First Flushing Securities.
Firstrade is considered safe because it has a long track record and is overseen by top-tier regulators.
| Pros | Cons |
|---|---|
| • Free stock, ETF, fund and options trading | • No credit/debit cards and electronic wallets for money transfer |
| • Solid research tools | • You can trade only on US markets |
| • Quality educational tools | • No live chat or 24/7 availability |
#3 Firstrade
Fees
Firstrade has low fees when it comes to buying and selling funds.
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund fee class | Low | Average | Low | Low | Low |
| Mutual fund | $0.0 | $15.0 | $0.0 | $10.0 | $2.1 |
| Inactivity fee | No | No | No | No | No |
Note: We excluded the following fees:
- Ongoing fees (expense ratio)
- Front-load and redemption fees
- Short-term redemption fees
- Performance fees
#3 Firstrade
Markets and products
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund providers (#) | 280 | 400 | 450 | 600 | 270 |
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | No |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | No | No | No |
| Futures | No | Yes | No | No | No |
| CFDs | No | Yes | No | No | No |
| Crypto | No | Yes | No | No | Yes |
#4 Best brokers for funds
Ally Invest
Ally Invest is a US stockbroker regulated by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). Its parent company, Ally Financial Inc. dates back to 1911 when its predecessor, General Motors Acceptance Corporation (GMAC) was founded. Ally Financial Inc. is listed on the New York Stock Exchange and has a banking subsidiary, Ally Bank.
Ally Invest is considered safe because it has a long track record and is regulated by top-tier financial authorities.
| Pros | Cons |
|---|---|
| • Low trading and non-trading fees | • You can trade only on US markets |
| • Easy and fully digital account opening | • Forex trading is available through a separate account |
| • Great education | • Lack of proper 2-step authentication |
#4 Ally Invest
Fees
Ally Invest has low fees when it comes to buying and selling funds.
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund fee class | Low | Average | Low | Low | Low |
| Mutual fund | $0.0 | $15.0 | $0.0 | $10.0 | $2.1 |
| Inactivity fee | No | No | No | No | No |
Note: We excluded the following fees:
- Ongoing fees (expense ratio)
- Front-load and redemption fees
- Short-term redemption fees
- Performance fees
#4 Ally Invest
Markets and products
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund providers (#) | 280 | 400 | 450 | 600 | 270 |
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | No |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | No | No | No |
| Futures | No | Yes | No | No | No |
| CFDs | No | Yes | No | No | No |
| Crypto | No | Yes | No | No | Yes |
#5 Best brokers for funds
AJ Bell Youinvest
AJ Bell Youinvest was founded in 1995 and it is one of the biggest discount brokers in the UK. It is regulated by the Financial Conduct Authority (FCA) and it is listed on the London Stock Exchange (LSE).
AJ Bell Youinvest is considered safe because it has a long track record, it's listed on a stock exchange, and is regulated by a top-tier regulator.
| Pros | Cons |
|---|---|
| • Fast account opening | • Limited product offer |
| • Easy to use trading platforms | • Basic technical research tools |
| • Great customer service |
#5 AJ Bell Youinvest
Fees
AJ Bell Youinvest has low fees when it comes to buying and selling funds.
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund fee class | Low | Average | Low | Low | Low |
| Mutual fund | $0.0 | $15.0 | $0.0 | $10.0 | $2.1 |
| Inactivity fee | No | No | No | No | No |
Note: We excluded the following fees:
- Ongoing fees (expense ratio)
- Front-load and redemption fees
- Short-term redemption fees
- Performance fees
#5 AJ Bell Youinvest
Markets and products
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund providers (#) | 280 | 400 | 450 | 600 | 270 |
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Stocks | Yes | Yes | Yes | Yes | Yes |
| Bonds | Yes | Yes | Yes | Yes | No |
| ETFs | Yes | Yes | Yes | Yes | Yes |
| Forex | No | Yes | No | No | No |
| Futures | No | Yes | No | No | No |
| CFDs | No | Yes | No | No | No |
| Crypto | No | Yes | No | No | Yes |
Best online brokers for funds in 2022 - Fee comparison included
What makes a good broker for funds?
Now that we have seen the top 5 brokers for funds, you're probably curious how we put together this list. Let us walk you through the process.
How did BrokerChooser pick the best brokers for funds?
At BrokerChooser, we test online brokers along close to 500 criteria, using real accounts and real money. We don't want to overwhelm you, so we'll list just a few important criteria that we took into consideration to find the best brokers for funds:
- Trading fees charged for funds
- Non-trading fees such as inactivity fee
- Wide range of products, especially mutual funds
- Broker safety
Best online brokers for funds in 2022 - Fee comparison included
Bottom line
You saw the details, now let's zoom out again. Here are the best online brokers for mutual funds:
| Charles Stanley Direct | Interactive Brokers | Firstrade | Ally Invest | AJ Bell Youinvest | |
|---|---|---|---|---|---|
| Fund fee class | Low | Average | Low | Low | Low |
| Fund providers (#) | 280 | 400 | 450 | 600 | 270 |
| Inactivity fee | No | No | No | No | No |
| Overall score | 4.3 | 4.9 | 4.3 | 4.6 | 4.5 |
| Visit broker | Visit broker | Visit broker | Visit broker | Visit broker |
Charles Stanley Direct is our winner, the best online broker for funds. Low fund fees. Great customer service. Easy deposit and withdrawal.
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 our broker finder tool to find the online broker most suitable for you.
