To help you to find the best online IRA brokers, we went ahead and did the research for you. First, we looked at 84 quality online brokers, then we checked and compared their fees, products, trading platforms, deposit and withdrawal conditions and more. We dug deep, so you won't have to.
In the end, 5 brokers made it to the top. We highly recommend all 5 to you. And now, without further ado...
Our top 5 picks for the best online IRA brokers:
- Firstrade is the winner. Free stock, ETF, fund and options trading. Solid research tools. Quality educational tools.
- E*TRADE takes second place. Low trading fees (free stock and ETF trading). User-friendly mobile trading platform. Great research tools.
- Charles Schwab rounds out the top three. Free stock and ETF trading. Outstanding research. Great customer service.
- Fidelity came in at number four. Commission-free US stocks and ETFs. Great trading platforms and research. US and international stocks.
- TD Ameritrade just made it to the list, at number five. Low trading fees (free stock and ETF trading). Superb desktop trading platform. Great customer support.
| Broker | Description | Overall score | Award | |
|---|---|---|---|---|
| #1 | Firstrade | US discount broker | 4.4 | Best IRA broker |
| #2 | E*TRADE | US stockbroker | 4.9 | Best broker for bonds |
| #3 | Charles Schwab | US discount broker | 4.8 | |
| #4 | Fidelity | US stockbroker | 4.9 | Best broker for ESG |
| #5 | TD Ameritrade | US-based stockbroker | 4.9 |
All of these 5 brokers are considered safe, as they are all regulated by top-tier financial authorities.
What makes a good online IRA broker? First, they need to offer fair fees for stock and ETF trading, while mutual fund and bond fees are also relevant. Second, the inactivity fee shouldn't be too high. Finally, we rated it as a positive if the broker provides a wide range of products to trade.
All that is easy to list, but hard to figure out. That's why we are testing brokers along nearly 500 criteria, using real accounts and real money. We know what's up.
Not sure which broker is best for you? For a tailored recommendation, check out our broker finder tool. Just enter your country and it will narrow down the list of brokers to those that are available where you live. Want more details? Compare brokers with the help of our in-depth comparison tool.
And now, let's see the best online IRA brokers one by one, starting with the winner, Firstrade.
#1 Best IRA brokers
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 of First Flushing Securities.
Firstrade is considered safe because it has a long track record and is overseen by top-tier regulators.
Recommended for beginners and investors looking for zero-commission trading, focusing on the us market
| 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 |
#1 Firstrade
Fees
Firstrade has low fees. It offers free stock, ETF, funds, and options trading with low non-trading fees. However, margin rates are high.
| Pros | Cons |
|---|---|
| • Low trading fees | • High margin rates |
| • Low non-trading fees | |
| • Free stock, ETF, fund and options trading |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock and ETF fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 4.8 stars | 5.0 stars |
| Mutual fund fee scores | 5.0 stars | 2.4 stars | 1.7 stars | 0.1 stars | 0.0 stars |
| Bond fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars |
| US stock fee* | $0.0 | $0.0 | $0.0 | $0.0 | $0.0 |
| Inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee |
*Commissions for opening/closing a $2,000 stock/ETF position
#1 Firstrade
Markets and products
Firstrade offers a good variety of asset classes, from stocks to options. However, the products cover only the US market and you cannot trade futures or forex.
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock markets (#) | 5 | 5 | 4 | 22 | 4 |
| ETFs (#) | 2,300 | 2,300 | 2,300 | 80 | 2,300 |
| Fund providers (#) | 450 | 520 | 600 | 550 | 740 |
| Bonds (#) | 38,500 | 88,000 | 60,000 | 108,000 | 40,000 |
#1 Firstrade
Account opening
Account opening is fully digital and user-friendly, and is open to international customers. On the flip side, the process was slow for us, taking almost 3 business days.
| Pros | Cons |
|---|---|
| • Fully digital | • Slow account verification |
| • No minimum deposit | |
| • Low minimum deposit |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $0 | $0 | $0 |
| Time to open account | 1-3 days | 1-3 days | 1 day | 1-3 days | 1-3 days |
#1 Firstrade
Deposit and withdrawal
We liked Firstrade's user-friendly deposit and withdrawal process. There is no deposit fee and transferring money is easy. At the same time, there is still room for improvement: you can use only bank transfers and a high fee is charged for wire transfer withdrawals.
| Pros | Cons |
|---|---|
| • No deposit fee | • Credit/Debit card not available |
| • User-friendly | • Only one account base currency |
| • High outgoing wire transfer fee |
| Firstrade | E*TRADE | Charles Schwab | 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 |
#1 Firstrade
Verdict
Firstrade is one of the biggest discount US stockbrokers, and is regulated by top-tier regulators.
Firstrade offers free stock, ETF, mutual funds, and options trading. It doesn't charge inactivity and account fees, and there are lots of quality research and educational tools you can use.
There are some drawbacks, though. Firstrade doesn't accept credit/debit cards and electronic wallets for money tranfer. The product portfolio covers only the US market. Customer service is only available 24/5 and you can't contact them via live chat.
As it has low fees and no inactivity fee is charged, feel free to try Firstrade.
| Firstrade | |
|---|---|
| Summary | Firstrade is a US discount broker regulated by the top-tier SEC and FINRA. |
| Overall score | 4.4 |
| Recommended for | Beginners and investors looking for zero-commission trading, focusing on the US market |
#2 Best IRA brokers
E*TRADE
E*TRADE is a US-based stockbroker founded in 1982. It is regulated by top-tier financial authorities like the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).
E*TRADE is considered safe because it has a long track record, is listed on a stock exchange, has a banking background, discloses its financials, and is overseen by top-tier US regulators.
In February 2020, E*TRADE was acquired by Morgan Stanley. To find out more about the motives behind the acquisition and about the wider market context, check out this article we wrote about the deal.
Recommended for investors and traders looking for solid research and a great mobile trading platform
| Pros | Cons |
|---|---|
| • Low trading fees (free stock and ETF trading) | • Only US markets, no forex |
| • User-friendly mobile trading platform | • Only bank transfer |
| • Great research tools | • Slow live chat |
#2 E*TRADE
Fees
E*TRADE offers free trading of stocks, ETFs, and some bonds and mutual funds. Non-trading fees are also low. On the negative side, fees for mutual funds that aren't free are high.
| Pros | Cons |
|---|---|
| • Free stock and ETF trading | • High fees for non-free mutual funds |
| • Some mutual funds and bonds are free | |
| • Low non-trading fees |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock and ETF fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 4.8 stars | 5.0 stars |
| Mutual fund fee scores | 5.0 stars | 2.4 stars | 1.7 stars | 0.1 stars | 0.0 stars |
| Bond fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars |
| US stock fee* | $0.0 | $0.0 | $0.0 | $0.0 | $0.0 |
| Inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee |
*Commissions for opening/closing a $2,000 stock/ETF position
#2 E*TRADE
Markets and products
You can trade plenty of asset classes at E*TRADE from stocks to futures, but only on the US market; in addition, forex trading is not available.
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock markets (#) | 5 | 5 | 4 | 22 | 4 |
| ETFs (#) | 2,300 | 2,300 | 2,300 | 80 | 2,300 |
| Fund providers (#) | 450 | 520 | 600 | 550 | 740 |
| Bonds (#) | 38,500 | 88,000 | 60,000 | 108,000 | 40,000 |
#2 E*TRADE
Account opening
Account opening at E*TRADE (only available for US clients) is fully digital and user-friendly, but the account verification process is slow.
| Pros | Cons |
|---|---|
| • Fully digital | • Slow account verification |
| • No minimum deposit | |
| • User-friendly |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $0 | $0 | $0 |
| Time to open account | 1-3 days | 1-3 days | 1 day | 1-3 days | 1-3 days |
#2 E*TRADE
Deposit and withdrawal
E*TRADE charges no deposit fees, and transferring money is easy. On the flip side, you can only use 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 fee for wire transfer withdrawal |
| Firstrade | E*TRADE | Charles Schwab | 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 |
#2 E*TRADE
Verdict
E*TRADE is one of the biggest US stockbrokers, and is regulated by top-tier authorities.
At the end of 2019, riding the commission-free trading trend in the US, E*TRADE introduced zero commission on stock and ETF trades. E*TRADE's research functions are of high quality and channel a lot of tools, including trading ideas and strategy builders. We liked the easy handling and the customizable features of the mobile trading platform.
E*TRADE has some drawbacks though. It doesn't accept credit/debit cards and electronic wallets for money transfers, and its product portfolio covers only US markets. In addition, live chat support is slow.
As trading fees are generally low, research tools are great and no inactivity fee is charged, you should feel free to try E*TRADE.
| E*TRADE | |
|---|---|
| Summary | E*TRADE is a US stockbroker regulated by top-tier authorities SEC and FINRA. The company is listed on NASDAQ and has a banking background. |
| Overall score | 4.9 |
| Recommended for | Investors and traders looking for solid research and a great mobile trading platform |
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#3 Best IRA brokers
Charles Schwab
Charles Schwab is a US discount broker that was founded in 1971 and is listed on the New York Stock Exchange.
It is regulated by several top-tier financial authorities, such as the US Securities and Exchange Commission (SEC), the Financial Industry Regulatory Authority (FINRA) and the UK's Financial Conduct Authority (FCA).
Recommended for investors and traders looking for solid research, low fees and great customer service
| Pros | Cons |
|---|---|
| • Free stock and ETF trading | • High fees for some mutual funds |
| • Outstanding research | • Only US/Canada markets available |
| • Great customer service | • Poorly-structured educational platform |
#3 Charles Schwab
Fees
Charles Schwab offers free stock and ETF trading, some mutual funds and bonds are also free, while non-trading fees are low. On the negative side, some mutual fund fees are high.
| Pros | Cons |
|---|---|
| • Free stock/ETF trading | • High fees for non-free mutual funds |
| • Some mutual funds and bonds are free | |
| • Low non-trading fees |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock and ETF fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 4.8 stars | 5.0 stars |
| Mutual fund fee scores | 5.0 stars | 2.4 stars | 1.7 stars | 0.1 stars | 0.0 stars |
| Bond fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars |
| US stock fee* | $0.0 | $0.0 | $0.0 | $0.0 | $0.0 |
| Inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee |
*Commissions for opening/closing a $2,000 stock/ETF position
#3 Charles Schwab
Markets and products
At Charles Schwab, you can trade a lot of different asset classes, from stocks to futures. Unfortunately, the product portfolio covers only US and Canadian markets.
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock markets (#) | 5 | 5 | 4 | 22 | 4 |
| ETFs (#) | 2,300 | 2,300 | 2,300 | 80 | 2,300 |
| Fund providers (#) | 450 | 520 | 600 | 550 | 740 |
| Bonds (#) | 38,500 | 88,000 | 60,000 | 108,000 | 40,000 |
#3 Charles Schwab
Account opening
Opening an account at Charles Schwab is easy, fast and fully digital. There is no minimum deposit for US clients, but other clients have to transfer a $25,000 minimum to start.
| Pros | Cons |
|---|---|
| • Fast | • $25,000 minimum deposit for non-US clients |
| • Fully digital | |
| • No minimum deposit |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $0 | $0 | $0 |
| Time to open account | 1-3 days | 1-3 days | 1 day | 1-3 days | 1-3 days |
#3 Charles Schwab
Deposit and withdrawal
Funding your account is easy and user-friendly at Charles Schwab and there is no deposit fee. However, you can only use bank transfer and there is a high fee for wire withdrawals.
| Pros | Cons |
|---|---|
| • No deposit fee | • High fee for wire (bank transfer) withdrawals |
| • User-friendly |
| Firstrade | E*TRADE | Charles Schwab | 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 |
#3 Charles Schwab
Verdict
Charles Schwab is one of the biggest discount US brokers, regulated by top-tier authorities.
It was one of the first brokers, starting in late 2019, to charge no commissions for stock and ETF trades. Its research is outstanding, covering many tools, including trading ideas, Morgan Stanley analyst reports on equities, and detailed fundamental data. Customer service is great, providing relevant answers within a short time.
It does have some drawbacks, though. Except for the around 4,000 mutual funds that are free to trade, mutual fund costs are high and the product portfolio covers only US and Canadian markets. Lastly, the educational platform is not well-structured.
As trading and non-trading fees are generally low, research tools are great and the account opening is seamless, feel free to try Charles Scwhab.
| Charles Schwab | |
|---|---|
| Summary | Charles Schwab is a US discount broker, regulated by top-tier US authorities the SEC and FINRA. The company is listed on the New York Stock Exchange and holds a banking license. |
| Overall score | 4.8 |
| Recommended for | Investors and traders looking for solid research, low fees and great customer service |
#4 Best IRA brokers
Fidelity
Fidelity is a US stockbroker founded in 1946. It is regulated by top-tier authorities 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 financial authorities.
Recommended for investors and traders looking for solid research and great trading platforms
| Pros | Cons |
|---|---|
| • Commission-free US stocks and ETFs | • High mutual fund fees and margin rates |
| • Great trading platforms and research | • Slower account verification |
| • US and international stocks | • Slow live chat |
#4 Fidelity
Fees
Fidelity has low trading and non-trading fees, including commission-free stock trading. On the negative side, margin rates and fees for some mutual funds can be high.
| Pros | Cons |
|---|---|
| • Free stock and ETF trading | • High fees for non-free mutual funds |
| • Low bond fees | • High margin fees |
| • No inactivity fee |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock and ETF fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 4.8 stars | 5.0 stars |
| Mutual fund fee scores | 5.0 stars | 2.4 stars | 1.7 stars | 0.1 stars | 0.0 stars |
| Bond fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars |
| US stock fee* | $0.0 | $0.0 | $0.0 | $0.0 | $0.0 |
| Inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee |
*Commissions for opening/closing a $2,000 stock/ETF position
#4 Fidelity
Markets and products
Fidelity offers a lot of different trading products, from stocks to options, including international stocks. However, forex and futures trading is not available.
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock markets (#) | 5 | 5 | 4 | 22 | 4 |
| ETFs (#) | 2,300 | 2,300 | 2,300 | 80 | 2,300 |
| Fund providers (#) | 450 | 520 | 600 | 550 | 740 |
| Bonds (#) | 38,500 | 88,000 | 60,000 | 108,000 | 40,000 |
#4 Fidelity
Account opening
Opening an account at Fidelity is easy and there is no minimum deposit. You can also choose among many account types. However, account verification is a bit slow.
| Pros | Cons |
|---|---|
| • No minimum deposit | • Slower account verification |
| • User-friendly | • Not fully digital in some cases |
| • Many account types |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $0 | $0 | $0 |
| Time to open account | 1-3 days | 1-3 days | 1 day | 1-3 days | 1-3 days |
#4 Fidelity
Deposit and withdrawal
Fidelity offers an exceptionally wide range of base currencies. On the negative side, credit/debit cards are not accepted.
| Pros | Cons |
|---|---|
| • Free withdrawal | • Credit/Debit card not available |
| • No deposit fee | |
| • Several account base currencies |
| Firstrade | E*TRADE | Charles Schwab | 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 |
#4 Fidelity
Verdict
Fidelity is one of the biggest US stockbrokers and is regulated by top-tier authorities.
Fidelity offers commission-free US stocks and ETFs. The trading platforms and research are outstanding, with many tools including trading ideas and detailed fundamental data. The offered range of products includes international stock exchanges in addition to the US market, which is not common among US brokers.
Fidelity has some drawbacks, though. Some mutual funds have high fees, and the margin rates are high as well. The account verification process and live chat support are both a bit slow.
As it has great research tools, a user-friendly web trading platform, and charges no inactivity fee, feel free to try Fidelity's services.
| Fidelity | |
|---|---|
| Summary | Fidelity is a US stockbroker. It is regulated by top-tier authorities SEC and FINRA. |
| Overall score | 4.9 |
| Recommended for | Investors and traders looking for solid research and great trading platforms |
#5 Best IRA brokers
TD Ameritrade
TD Ameritrade was founded in 1975 and is one of the biggest US-based stockbrokers. It is regulated by top-tier authorities like the Securities and Exchange Commission (SEC), the 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 overseen 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 on US markets |
| • Superb desktop trading platform | • Accounts mostly limited to US residents |
| • Great customer support | • No credit/debit cards and electronic wallets for money transfer |
#5 TD Ameritrade
Fees
TD Ameritrade offers free stock and ETF trading, while forex, bond and options fees are also low. On the other hand, it charges high fees for mutual funds and futures.
| Pros | Cons |
|---|---|
| • Low trading fees | • High fund fees |
| • Low non-trading fees | |
| • Free stocks and ETFs |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock and ETF fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 4.8 stars | 5.0 stars |
| Mutual fund fee scores | 5.0 stars | 2.4 stars | 1.7 stars | 0.1 stars | 0.0 stars |
| Bond fee scores | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars | 5.0 stars |
| US stock fee* | $0.0 | $0.0 | $0.0 | $0.0 | $0.0 |
| Inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee | No inactivity fee |
*Commissions for opening/closing a $2,000 stock/ETF position
#5 TD Ameritrade
Markets and products
You can trade many asset classes, from stocks to futures and forex, while nice extras include social trading and robo-advisory. On the other hand, only the US market is covered.
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Stock markets (#) | 5 | 5 | 4 | 22 | 4 |
| ETFs (#) | 2,300 | 2,300 | 2,300 | 80 | 2,300 |
| Fund providers (#) | 450 | 520 | 600 | 550 | 740 |
| Bonds (#) | 38,500 | 88,000 | 60,000 | 108,000 | 40,000 |
#5 TD Ameritrade
Account opening
TD Ameritrade offers many different account types, and there is no minimum deposit for US citizens.
| Pros | Cons |
|---|---|
| • Fully digital | None |
| • No minimum deposit | |
| • Many account types |
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Minimum deposit | $0 | $0 | $0 | $0 | $0 |
| Time to open account | 1-3 days | 1-3 days | 1 day | 1-3 days | 1-3 days |
#5 TD Ameritrade
Deposit and withdrawal
TD Ameritrade has user-friendly account funding with no deposit fees, but USD is the only available base currency, and wire transfers incur a high fee.
| Pros | Cons |
|---|---|
| • Free withdrawal | • Credit/Debit card not available |
| • No deposit fee | • Only one account base currency |
| • User-friendly | • High withdrawal fee for wire transfers |
| Firstrade | E*TRADE | Charles Schwab | 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 |
#5 TD Ameritrade
Verdict
TD Ameritrade is one of the biggest US online brokers. It charges no commission on stock and ETF trades.
Research and education are outstanding at TD Ameritrade, offering you many useful tools. The 'thinkorswim' desktop trading platform is one of the best on the market. Customer service is great, you will get relevant answers within a short time.
TD Ameritrade has some drawbacks, though. It charges high financing (margin) rates, and it doesn't accept credit/debit cards and electronic wallets for money transfers. Furthermore, the product portfolio covers only the US markets.
TD Ameritrade offers great education tools including a demo account, so we definitely recommend giving them a try.
| TD Ameritrade | |
|---|---|
| Summary | TD Ameritrade is a US stockbroker regulated by top-tier authorities SEC and FINRA. The company is listed on NASDAQ and has a banking background as part of the TD Group. |
| Overall score | 4.9 |
| Recommended for | Investors and traders looking for solid research and a well-equipped desktop trading platform |
Best online IRA brokers
What makes a good online IRA broker?
Now you know who the top 5 online IRA brokers are. You're probably curious about how we put together this list, so let's quickly go through a few points. What is an online broker? Why do we believe these brokers are safe? What were the most important factors we considered when selecting the best online brokers?
What is an online broker?
Thirty years ago, if you wanted to buy a stock, you had to pick up the phone and call your broker, who executed the transaction in return for a commission. Brokers were like in the movie "The Wolf of Wall Street": constantly checking stock prices while holding a phone and shouting. Everything changed after the internet appeared. Nowadays, if you want to buy Apple shares, you open an account online, deposit money and place the order through the broker's online platform. These brokers are called online brokers. Online brokers help you to buy and sell securities like stocks. After placing your order, the online broker executes it immediately. Everything is done online.
Are these brokers safe?
Yes, all of these brokers are considered safe. You can be sure none of them is a scam. They are regulated by top-tier financial authorities. Some of them are also listed on an exchange, and some have a banking background.
Nevertheless, brokerage companies can sometimes go bust. Remember Lehman Brothers? In these cases, it is important to know what happens to your securities and cash. They are usually held in segregated accounts, so even in case of a broker bankruptcy, your money is safe.
If a worst-case scenario comes true 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 international online brokers?
At BrokerChooser, we test online brokers along nearly 500 criteria, using real accounts and real money. In order not to overwhelm you, here are just the five most important criteria for online brokers:
| 1. Fees | The trading fee of a typical US stock trade can be 50 times higher at one online broker compared with another. So it's worth checking fees closely. |
| 2. Products and markets | You want to invest in Amazon stock and Bitcoin? They might not be available everywhere. Check the broker's product coverage before opening an account. |
| 3. Account opening | Some online brokers require a minimum first-time deposit, others don't. Check out the conditions of the best online brokers. |
| 4. Deposit and withdrawal | Transferring money in and out of your account can be five times longer and more expensive at one online broker than at another. |
| 5. Trading platform | A user-friendly and well-equipped trading platform can significantly increase your comfort with trading. |
Best online IRA brokers
Bottom line
You've seen the details, now let's zoom out. Here are once again the best online IRA brokers:
| Firstrade | E*TRADE | Charles Schwab | Fidelity | TD Ameritrade | |
|---|---|---|---|---|---|
| Overall score | 4.4 | 4.9 | 4.8 | 4.9 | 4.9 |
| Award | Best IRA broker | Best broker for bonds | Best broker for ESG | ||
| Stock fee class | Low | Low | Low | Low | Low |
| Fund fee class | Low | High | High | High | High |
| Bond fee class | Low | Low | Low | Low | Low |
| Markets and products score | 2.8 stars | 3.1 stars | 3.3 stars | 3.9 stars | 4.0 stars |
| Account opening score | 4.4 stars | 4.4 stars | 4.4 stars | 3.6 stars | 3.6 stars |
| Deposit and withdrawal score | 2.0 stars | 2.2 stars | 2.2 stars | 3.8 stars | 2.2 stars |
| Web platform score | 4.3 stars | 4.5 stars | 4.3 stars | 4.5 stars | 4.3 stars |
| Visit broker | Visit broker | Visit broker | Visit broker | Visit broker |
Firstrade is our winner, the best online IRA broker. Free stock, ETF, fund and options trading. Solid research tools. Quality educational tools.
All the other brokers in the top five are considered great choices as well. Pick any of them 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 to find the best online broker for you, or learn more about investing your money.
