Best discount brokers in 2020

DEGIRO
4.7
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TradeStation Global
4.5
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Revolut
4.2
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Best discount brokers in 2020

Choose the best discount broker in 2020, we did the research for you. Fees, fees, and fees. We do not like them and surely you do not either. Checking carefully, we uncovered all the hidden fees. After testing 57 brokers, 5 made it to the top. And now, without further ado...

The top 5 picks for the best discount brokers in 2020:

  1. DEGIRO is the best discount broker in 2020. Low trading and non-trading fees, one free ETF trading per month.
  2. TradeStation Global is the second. Low trading and non-trading fees, high fund fees.
  3. Revolut rounded out the top three. Low trading and non-trading fees, free stock and ETF trading. Third place.
  4. Fidelity in the fourth place. Low trading and non-trading fees, high fund fees.
  5. TD Ameritrade. Low trading and non-trading fees, high fund fees. Just made it to the list with being number five.
Best discount brokers in 2020
Broker Accepts clients from Fees score
#1 DEGIRO Europe 5.0
#2 TradeStation Global Globally 4.0
#3 Revolut Europe 5.0
#4 Fidelity US 4.0
#5 TD Ameritrade US 4.0

What makes a good discount broker? Certainly, damn low fees. This holds for commissions, financing rates, and a lot of people forget, non-trading fees like inactivity or withdrawal fees. Besides low fees, it also should offer access to a lot of markets and products.

Easy to list, but hard to figure it out. We are testing brokers along more than 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.

And now, let's see the best discount brokers in 2020 one by one, starting with the winner, DEGIRO.

DEGIRO Logo

#1 Best discount broker
DEGIRO

4.7

DEGIRO is a Dutch online discount broker. It is privately owned and was established in 2008 by former employees of another brokerage company.

DEGIRO is regulated by top-tier financial authorities, the Netherlands Authority for the Financial Markets (AFM) and the Dutch Central Bank (DNB). It is registered with the Chamber of Commerce and Industry in Amsterdam.

Disclaimer: Investing involves risk of loss.

Recommended for price-sensitive buy-and-hold investors and traders looking only to carry out transactions

Pros Cons
One of the lowest fees on the market Limited research and education
Fast and seamless account opening No forex trading
Easy to use web and mobile trading platform No credit/debit card deposit and withdrawal

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#1 DEGIRO
Fees
5.0

DEGIRO has low trading and non-trading fees. In most asset classes, it is the best on the market. There are some ETFs that you can trade once a month for free, which is a great deal for buy-and-hold investors.
Pros Cons
Low trading fees Higher trading fees for Asian and smaller European stock exchanges
Low non-trading fees
Low stock and ETF fees
DEGIRO trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
US stock $0.6 $1.5 $0.0 $0.0 $0.0
UK stock $2.5 $2.4 - $10.8 -
EURUSD benchmark fee - $17.9 - - $13.0
Mutual fund $10.3 $25.0 - $37.5 $50.0
US Treasury bond - $7.5 - $0.0 $0.0
US stock index options $6.5 $15.0 - $6.5 $6.5
DEGIRO non-trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Account fee No No No No No
Inactivity fee No No No No No
Withdrawal fee $0 $0 $0 $0 $0

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#1 DEGIRO
Account opening
5.0

DEGIRO has an easy and fast account opening process. No minimum deposit is required.
Pros Cons
Fast None
Fully digital
No minimum deposit
DEGIRO minimum deposit and time to open an account
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Minimum deposit $0 $1,000 $0 $0 $0
Time to open account 1 day 1 day 1 day 1-3 days 1-3 days

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#1 DEGIRO
Deposit and withdrawal
3.0

DEGIRO deposits and withdrawals are free of charge via bank transfer. On the other hand, you cannot deposit with credit or debit card.
Pros Cons
Free withdrawal Credit/Debit card not available
No deposit fee
Several account base currencies
DEGIRO withdrawal fee and options
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No No No No
Electronic wallets No No No Yes No
Withdrawal fee $0 $0 $0 $0 $0

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#1 DEGIRO
Markets and products
4.0

At DEGIRO you can access many markets and trade with a lot of different products. CFD and forex are not available.
DEGIRO markets and products
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Stock Yes Yes Yes Yes Yes
ETF Yes Yes No Yes Yes
Forex No Yes No No Yes
Fund Yes Yes No Yes Yes
Bond Yes Yes No Yes Yes
Options Yes Yes No Yes Yes
Futures Yes Yes No No Yes
CFD No Yes No No No
Crypto Yes Yes Yes No No

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#1 DEGIRO
Web trading platform
4.0

DEGIRO's web platform is simple and easy to use. Even beginners can easily navigate it and buy stocks. On the negative side, you cannot set price alerts.
Pros Cons
User-friendly Limited customizability (for charts, workspace)
Clear fee report No price alerts
Two-step (safer) login
Best discount brokers - DEGIRO trading platform
DEGIRO trading platforms
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Web platform score 4.0 4.0 - 5.0 4.0
Mobile platform score 5.0 4.0 4.0 5.0 4.0
Desktop platform score - 3.0 - 4.0 5.0

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#1 DEGIRO
Verdict

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

It is far cheaper than its big European competitors and only Interactive Brokers comes close to competing with DEGIRO's fees. The account opening process is also fast, you will usually have your account ready to use within a day. It is also one of the best trading platforms for Europeans.

However, its low prices come with some shortfalls. Education and research tools are limited, there is no forex trading, and you can only deposit and withdraw money by bank transfer.

All in all, DEGIRO is a great online broker. There is no minimum deposit and no inactivity fee, so feel free to go ahead and give it a try.

DEGIRO
Summary DEGIRO is a Dutch discount broker established in 2008. It is regulated by the Dutch FMA.
Fees score 5.0
Recommended for Price-sensitive buy-and-hold investors and traders looking only to carry out transactions

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TradeStation Global Logo

#2 Best discount broker
TradeStation Global

4.5

TradeStation Global is the brand of TradeStation International, which is based in the UK and regulated by the top-tier FCA. TradeStation International is the subsidiary of TradeStation, while introducing broker of Interactive Brokers (IB).  

Therefore, TradeStation Global is a combined product of TradeStation and IB. You can reach IB's markets almost at IB's fees. You can trade on both IB's and TradeStation's desktop platform. The customer service is by TradeStation. 

Both Interactive Brokers and TradeStation are reputable brokers, regulated by top-tier financial authorities. While Interactive Brokers is listed on NASDAQ, TradeStation itself is not: only TradeStation's parent company Monex is listed on the Tokyo Stock Exchange.

 

Recommended for traders and investors looking for low fees and a wide selection of products

Pros Cons
Low trading fees Not user-friendly deposit and withdrawal
Wide range of products Complicated account opening
Fast and relevant customer service Limited education materials

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#2 TradeStation Global
Fees
4.0

TradeStation Global has low trading fees, especially for stock and ETF. It's also great that there is no inactivity fee and the first withdrawal in each month is free of charge. On the other hand, mutual fund fees are high.
Pros Cons
Low trading fees High fund fees
Low non-trading fees
Low stock and ETF fees
TradeStation Global trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
US stock $0.6 $1.5 $0.0 $0.0 $0.0
UK stock $2.5 $2.4 - $10.8 -
EURUSD benchmark fee - $17.9 - - $13.0
Mutual fund $10.3 $25.0 - $37.5 $50.0
US Treasury bond - $7.5 - $0.0 $0.0
US stock index options $6.5 $15.0 - $6.5 $6.5
TradeStation Global non-trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Account fee No No No No No
Inactivity fee No No No No No
Withdrawal fee $0 $0 $0 $0 $0

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#2 TradeStation Global
Account opening
3.0

TradeStation Global's account opening is fully digital and fast. On the negative side, the process is complicated and there is a high, $1,000 minimum required deposit.
Pros Cons
Fast Minimum deposit is higher than $500
Fully digital Not user-friendly
TradeStation Global minimum deposit and time to open an account
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Minimum deposit $0 $1,000 $0 $0 $0
Time to open account 1 day 1 day 1 day 1-3 days 1-3 days

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#2 TradeStation Global
Deposit and withdrawal
3.0

TradeStation Global offers many account base currency options and one free withdrawal per month. The main drawbacks are that you can only use bank transfer and the process is not user-friendly.
Pros Cons
No deposit fee Credit/Debit card not available
Several account base currencies Not user-friendly
No charge for the first withdrawal every month.
TradeStation Global withdrawal fee and options
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No No No No
Electronic wallets No No No Yes No
Withdrawal fee $0 $0 $0 $0 $0

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#2 TradeStation Global
Markets and products
5.0

With TradeStation Global, you can access the same range of product types and exchanges as at Interactive Brokers. This selection is one of the widest among online brokers.
TradeStation Global markets and products
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Stock Yes Yes Yes Yes Yes
ETF Yes Yes No Yes Yes
Forex No Yes No No Yes
Fund Yes Yes No Yes Yes
Bond Yes Yes No Yes Yes
Options Yes Yes No Yes Yes
Futures Yes Yes No No Yes
CFD No Yes No No No
Crypto Yes Yes Yes No No

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#2 TradeStation Global
Web trading platform
4.0

You can use Interactive Brokers' web trading platforms. Client Portal is simple and easy to use even for beginners. On the negative side, it is not customizable.
Pros Cons
User-friendly Limited customizability (for charts, workspace)
Clear fee report Difficult to set the alerts
Two-step (safer) login
Best discount brokers - TradeStation Global trading platform
TradeStation Global trading platforms
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Web platform score 4.0 4.0 - 5.0 4.0
Mobile platform score 5.0 4.0 4.0 5.0 4.0
Desktop platform score - 3.0 - 4.0 5.0

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#2 TradeStation Global
Verdict

TradeStation Global has low trading fees, has access to a lot of products and markets, and has great customer support. The TradeStation Global desktop platform has great charting tools, and plenty of indicators highly customizable watchlists (Radar Screen), and visualized order placing (Matrix).

On the other hand, the deposit and withdrawal process is not user-friendly and you can use only a bank transfer. The account opening is complicated and for full account verification, a minimum deposit of $1,000 is needed. Lastly, the education section could be extended with more materials, as of now, it is limited.

If you prefer low fees with IB's product range, feel free to try TradeStation Global.

TradeStation Global
Summary TradeStation Global is an introducing broker for EU clients. It is regulated by the top-tier UK FCA.
Fees score 4.0
Recommended for Traders and investors looking for low fees and a wide selection of products

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Revolut Logo

#3 Best discount broker
Revolut

4.2

Revolut is a fast-growing fintech startup founded in 2015 and it's mainly known for its banking and payment services. In 2019, the company also launched its commission-free stock trading which is provided by Revolut Trading Ltd. 

Revolut is considered safe because it is regulated by a top-tier regulator, the Financial Conduct Authority (FCA), it offers a high amount of investor protection and also has a banking license.

Recommended for beginners looking for free trading and a great mobile-only trading platform

Pros Cons
Free stock trading Limited product portfolio
Fast and easy account opening Basic research and missing educational tools
Great mobile trading platform Poor customer service

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#3 Revolut
Fees
5.0

Besides trading stocks for free with Revolut, you don't have to pay any inactivity or withdrawal fee. There is only a 0.01% annual custody fee.
Pros Cons
Low trading fees None
Low non-trading fees
Free stock trading
Revolut trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
US stock $0.6 $1.5 $0.0 $0.0 $0.0
UK stock $2.5 $2.4 - $10.8 -
EURUSD benchmark fee - $17.9 - - $13.0
Mutual fund $10.3 $25.0 - $37.5 $50.0
US Treasury bond - $7.5 - $0.0 $0.0
US stock index options $6.5 $15.0 - $6.5 $6.5
Revolut non-trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Account fee No No No No No
Inactivity fee No No No No No
Withdrawal fee $0 $0 $0 $0 $0

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#3 Revolut
Account opening
5.0

Revolut has an easy, fast, and fully digital account opening and there's no minimum account balance.
Pros Cons
Fast None
Fully digital
No minimum deposit
Revolut minimum deposit and time to open an account
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Minimum deposit $0 $1,000 $0 $0 $0
Time to open account 1 day 1 day 1 day 1-3 days 1-3 days

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#3 Revolut
Deposit and withdrawal
4.0

Revolut offers several deposit options and both deposits and withdrawals are free even with wire transfers. On the negative side, you can only use USD-based accounts for trading.
Pros Cons
Credit/Debit card available Only USD-accounts for trading
Free withdrawal
No deposit fee
Revolut withdrawal fee and options
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No No No No
Electronic wallets No No No Yes No
Withdrawal fee $0 $0 $0 $0 $0

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#3 Revolut
Markets and products
2.0

Revolut has a limited product portfolio as you can only trade with certain US stocks and cryptos. It lacks other popular asset classes, like mutual funds, bonds, options, etc.
Revolut markets and products
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Stock Yes Yes Yes Yes Yes
ETF Yes Yes No Yes Yes
Forex No Yes No No Yes
Fund Yes Yes No Yes Yes
Bond Yes Yes No Yes Yes
Options Yes Yes No Yes Yes
Futures Yes Yes No No Yes
CFD No Yes No No No
Crypto Yes Yes Yes No No

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#3 Revolut
Web trading platform

Revolut doesn't offer a trading platform on the web, it's available only on mobile. Offering a web-based application is very common today as it is convenient to use and accessible from all devices. This is a drawback.
Revolut trading platforms
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Web platform score 4.0 4.0 - 5.0 4.0
Mobile platform score 5.0 4.0 4.0 5.0 4.0
Desktop platform score - 3.0 - 4.0 5.0

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#3 Revolut
Verdict

Revolut's fees are great. With all three types of accounts, you can trade US stocks for free. The account opening is easy, fully digital, and fast. You can use an awesome and user-friendly mobile trading platform.

Revolut has some drawbacks though. The product portfolio covers only stocks from the US market. There are only a few research, while educational tools are totally missing. The customer service could be improved

If you want to trade with US stocks for free and prefer an easy-to-use mobile platform, Revolut is a great choice.

Revolut
Summary Revolut is UK-based fintech startup that offers commission-free stock trading. Revolut Trading Ltd is regulated by the FCA.
Fees score 5.0
Recommended for Beginners looking for free trading and a great mobile-only trading platform

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Fidelity Logo

#4 Best discount broker
Fidelity

4.9

Fidelity  US stockbroker, founded in 1946. It is regulated by top-tier regulators like the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).

Fidelity is considered safe because it has a long track record and is regulated by top-tier regulators.

Recommended for investors and traders looking for solid research and great trading platforms

Pros Cons
Solid research tools Not fully digital account opening
Great web trading platform High mutual fund fees
US and international stocks Financing rates are high

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#4 Fidelity
Fees
4.0

Fidelity has low trading fees and low non-trading fees. There are no commissions for stock trading which is great. On the negative side, fees for some mutual funds and financing rates can be high.
Pros Cons
Low non-trading fees High financing rate
Free stock and ETF trading Higher fees for non-free mutual funds
Some mutual funds are free
Fidelity trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
US stock $0.6 $1.5 $0.0 $0.0 $0.0
UK stock $2.5 $2.4 - $10.8 -
EURUSD benchmark fee - $17.9 - - $13.0
Mutual fund $10.3 $25.0 - $37.5 $50.0
US Treasury bond - $7.5 - $0.0 $0.0
US stock index options $6.5 $15.0 - $6.5 $6.5
Fidelity non-trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Account fee No No No No No
Inactivity fee No No No No No
Withdrawal fee $0 $0 $0 $0 $0

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#4 Fidelity
Account opening
3.0

Opening an account at Fidelity is easy and fast, but not fully digital. The application had to be mailed with the relevant ID's photocopy.
Pros Cons
No minimum deposit Not fully digital
Low minimum deposit
User-friendly
Fidelity minimum deposit and time to open an account
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Minimum deposit $0 $1,000 $0 $0 $0
Time to open account 1 day 1 day 1 day 1-3 days 1-3 days

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#4 Fidelity
Deposit and withdrawal
4.0

Fidelity offers an exceptionally wide range of base currencies. Credit/debit cards are not accepted and the wire withdrawals are charged.
Pros Cons
Free withdrawal Credit/Debit card not available
No deposit fee $10 for outgoing wire transfers
Several account base currencies
Fidelity withdrawal fee and options
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No No No No
Electronic wallets No No No Yes No
Withdrawal fee $0 $0 $0 $0 $0

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#4 Fidelity
Markets and products
4.0

Fidelity offers a lot of asset classes, from stocks to options. There are international stocks too, not just US stocks. Forex and futures are missing.
Fidelity markets and products
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Stock Yes Yes Yes Yes Yes
ETF Yes Yes No Yes Yes
Forex No Yes No No Yes
Fund Yes Yes No Yes Yes
Bond Yes Yes No Yes Yes
Options Yes Yes No Yes Yes
Futures Yes Yes No No Yes
CFD No Yes No No No
Crypto Yes Yes Yes No No

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#4 Fidelity
Web trading platform
5.0

Fidelity's web platform is easy to use, has a lot of order types, and provides a two-step authentication. On the negative side, the web trading platform is not customizable.
Pros Cons
User-friendly Limited customizability (for charts, workspace)
Clear fee report
Two-step (safer) login
Best discount brokers - Fidelity trading platform
Fidelity trading platforms
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Web platform score 4.0 4.0 - 5.0 4.0
Mobile platform score 5.0 4.0 4.0 5.0 4.0
Desktop platform score - 3.0 - 4.0 5.0

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#4 Fidelity
Verdict

Fidelity is one of the biggest US stockbrokers regulated by top-tier regulators.

Fidelity's research is outstanding and covers many tools, including trading ideas and detailed fundamental data. The web trading platform is easy to use and offers advanced order types. The product offer covers international stock exchanges besides the US market, not common among the US brokers.

Fidelity has some drawbacks though. The account is not fully digital, fees for mutual funds are quite high, also financing rate.

As the research tools are great, the web trading platform is user-friendly, and no inactivity fee is charged, feel free to try Fidelity.

Fidelity
Summary Fidelity is a US stockbroker. It is regulated by top-tier authorities the SEC and FINRA.
Fees score 4.0
Recommended for Investors and traders looking for solid research and great trading platforms

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TD Ameritrade Logo

#5 Best discount broker
TD Ameritrade

4.8

TD Ameritrade was founded in 1978 and it is one of the biggest US-based stockbrokers. It is regulated by top-tier regulators like the Securities and Exchange Commission (SEC), Financial Industry Regulatory Authority (FINRA) and the Commodity Futures Trading Commission (CFTC).

TD Ameritrade is considered a safe broker since it has a long track record, is listed on a stock exchange, has a banking background, discloses its financials, and is regulated by top-tier regulators.

Recommended for investors and traders looking for solid research and a well-equipped desktop trading platform

Pros Cons
Low trading fees (free stock and ETF trading) You can trade only in the US markets
Superb desktop trading platform Slow and not fully digital account opening
Great customer support No credit/debit cards and electronic wallets for money transfer

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#5 TD Ameritrade
Fees
4.0

TD Ameritrade provides free stock and ETF trading. The forex, bond, and options fees are low as well. On the other hand, they charge high fees for mutual funds.
Pros Cons
Low trading fees High fund fees
Low non-trading fees
Free stocks and ETFs
TD Ameritrade trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
US stock $0.6 $1.5 $0.0 $0.0 $0.0
UK stock $2.5 $2.4 - $10.8 -
EURUSD benchmark fee - $17.9 - - $13.0
Mutual fund $10.3 $25.0 - $37.5 $50.0
US Treasury bond - $7.5 - $0.0 $0.0
US stock index options $6.5 $15.0 - $6.5 $6.5
TD Ameritrade non-trading fees
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Account fee No No No No No
Inactivity fee No No No No No
Withdrawal fee $0 $0 $0 $0 $0

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#5 TD Ameritrade
Account opening
3.0

As a new client, you can change from many different account types at TD Ameritrade and as US citizen you will face no minimum deposit. Unfortunately, the process is not fully digital.
Pros Cons
No minimum deposit Not fully digital
Many account types
TD Ameritrade minimum deposit and time to open an account
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Minimum deposit $0 $1,000 $0 $0 $0
Time to open account 1 day 1 day 1 day 1-3 days 1-3 days

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#5 TD Ameritrade
Deposit and withdrawal
2.0

TD Ameritrade has user-friendly account funding and charges no deposit fees, but are several drawbacks as well. You can use only bank transfer and a high fee is charged for wire transfer withdrawals.
Pros Cons
No deposit fee Credit/Debit card not available
User-friendly High withdrawal fee for wire transfers
TD Ameritrade withdrawal fee and options
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No No No No
Electronic wallets No No No Yes No
Withdrawal fee $0 $0 $0 $0 $0

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#5 TD Ameritrade
Markets and products
4.0

At TD Ameritrade you can trade with a lot of asset classes, from stocks to futures and forex. We also liked the additional features like social trading and the robo-advisory service. On the other hand, the offered products cover only the U.S. market.
TD Ameritrade markets and products
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Stock Yes Yes Yes Yes Yes
ETF Yes Yes No Yes Yes
Forex No Yes No No Yes
Fund Yes Yes No Yes Yes
Bond Yes Yes No Yes Yes
Options Yes Yes No Yes Yes
Futures Yes Yes No No Yes
CFD No Yes No No No
Crypto Yes Yes Yes No No

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#5 TD Ameritrade
Web trading platform
4.0

TD Ameritrade offers a good web-based trading platform with a clean design. On the flip side, there is no two-step login and the platform is not customizable.
Pros Cons
User-friendly No two-step (safer) login
Clear fee report Limited customizability (for charts, workspace)
Good variety of order types
Best discount brokers - TD Ameritrade trading platform
TD Ameritrade trading platforms
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Web platform score 4.0 4.0 - 5.0 4.0
Mobile platform score 5.0 4.0 4.0 5.0 4.0
Desktop platform score - 3.0 - 4.0 5.0

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#5 TD Ameritrade
Verdict

TD Ameritrade is one of the biggest US online brokers. Reflecting the wave of introducing commission-free trading at the end of 2019, TD Ameritrade now charges no commission of stock and ETF trades.

Research and education are outstanding and covers a lot of tools. The Thinkorswim desktop trading platform is one of the best on the marketThe customer service is great, you will get relevant answers within a short time.

It has some drawbacks though. It charges high financing (margin) rates and it doesn't provide credit/debit cards and electronic wallets for money transfers. Furthermore, the product portfolio covers products only from U.S. markets. 

As there are great education tools including a demo account, feel free to try it.

TD Ameritrade
Summary TD Ameritrade is a US stockbroker, regulated by top-tier authorities the SEC and FINRA. The company is listed on NASDAQ and has a banking background as part of the TD Group.
Fees score 4.0
Recommended for Investors and traders looking for solid research and a well-equipped desktop trading platform

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Best discount brokers
What makes a good discount broker?

Now you know the top three discount brokers. You are probably curious about how we came up with this list. Let's go over three points:

  1. What is a discount broker?
  2. Why do we think these brokers are safe?
  3. What are the most important factors when selecting the best discount brokers?

What is a discount broker?

A discount broker is a brokerage company that executes your buy and sell orders at a low trading fee. Discount brokers' fees can be lower since they don't provide extra services like research, personal investment advice, tax planning or robo-advisory as the full-service brokers.

Discount brokers were appearing with the internet and the online broker services. Brokerage companies started to provide their service online and fully automatized. This was the rise of online trading platforms. An online trading platform is basically a website, where you can insert your own orders and you get only a customer support, no investment advice.

The distance between the full-service brokers and discount brokers has been narrowing in the last years. Discount brokers started to provide extra services as well, like research, while full-service brokers started to lower their fees. The full brokerage and wealth management industry is under fee pressure thanks to the more and more cost-effective online broker companies.

Nowadays, the new discount brokers are the free-trade brokers. These provide commission-free trading and charge an extra fee for ancillary services, like after hour trading. The biggest free-trade online broker in the US is Robinhood. In the UK, Freetrade launched its trading app in 2018. Stay tuned, we will come out with the Freetrade broker reviews soon.

Are these brokers safe?

You can be sure none of them is a scam. They are regulated by at least one top-tier regulator.

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 discount brokers?

At Brokerchooser, we test online brokers along more than 100 criteria, with a real account and real money. When we selected the best discount brokers, the primary selection criteria were fees.

We made the rank based on the trading fees of all asset classes, such as stock fees, and the fees not related to trading, like the withdrawal fees. We also scored positively if the broker provides a wide range of asset classes, because providing low fees in more than one asset class is not an easy job.

Best discount brokers
Bottom line

You saw the details, now let's zoom out. Here are best discount brokers in 2020:

Best discount brokers in 2020
DEGIRO TradeStation Global Revolut Fidelity TD Ameritrade
Fees score 5.0 4.0 5.0 4.0 4.0
Account opening score 5.0 3.0 5.0 3.0 3.0
Deposit and withdrawal score 3.0 3.0 4.0 4.0 2.0
Markets and products score 4.0 5.0 2.0 4.0 4.0
Web platform score 4.0 4.0 - 5.0 4.0
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DEGIRO is our winner, the best discount broker in 2020. Low trading and non-trading fees, one free ETF trading per month.

All brokers are considered a great choice. Pick the winner, or any runner-up and save a lot of money on fees. Let us know what you think in the comment section.

Still unsure? Use the broker finder and find the best broker for you or learn more about investing your money.

Tibor Bedő

Tibor Bedő

Co-founder, CEO

Author of this article

Tibor believes having a good stockbroker is everybody's privilege. He worked extensively in the financial industry, including at Morgan Stanley and at The Boston Consulting Group (BCG). He advised leading European banks on strategy, finance and risk management.

Everything you find on Brokerchooser is based on reliable data and unbiased information. We combine our 10+ years finance experience with readers feedback. Read more about our methodology

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