Zacks Trade Logo

Zacks Trade review summary

Zacks Trade is a US-based discount broker and a division of LBMZ Securities. LBMZ Securities was founded in 1978 and is regulated by the top-tier US financial authorities SEC and FINRA.

LBMZ Securities's clearing and execution services are provided through Interactive Brokers, a global stockbroker regulated by many top-tier financial authorities globally.

If you're familiar with the services of Interactive Brokers, you might notice that many of Zacks Trade's services are the same. To sum up:

  • Zacks Trade has its own, different fee structure, product selection, educational tools and customer support. Unlike at Interactive Brokers, trading forex, CFDs and futures is not supported.
  • The account opening and deposit/withdrawal processes, trading platforms and research tools are the same as at Interactive Brokers.

Zacks Trade is considered safe because it has a long track record and is overseen by top-tier regulators.

Since Zacks is more expensive than IB, why would anyone favor Zacks over Interactive Brokers? We found two possible reasons:

  • Zacks falls under SEC regulation and users have SIPC protection, no matter where they live
  • Zacks provides free broker-assisted trading
Recommended for traders and investors looking for comprehensive research tools, a wide product selection and low fees

You can open an account at Zacks Trade if you live in United States. See the best alternative available in your country.

Zacks Trade pros and cons

Zacks Trade has low fees, including low stock/ETF fees and no inactivity fee. The stock and ETF selection is outstanding, covering many international markets. We also liked the speed and professionalism of customer support, especially the live chat support.

On the negative side, the desktop trading platform and research tools are complex, not suitable for beginners. During our testing, account verification was slow while the online registration process itself is not too easy. Lastly, we note that Zacks doesn't offer futures, CFDs and cryptos.

Pros Cons
Low fees Complex desktop platform and research tools
Extensive stock and ETF selection Slow and complicated account opening
Great customer service No futures and forex
Zacks Trade main features and highlights
🗺️ Country of regulation USA
💰 Trading fees class Low
💰 Inactivity fee charged No
💰 Withdrawal fee amount $0
💰 Minimum deposit $0
🕖 Time to open an account >3 days
💳 Deposit with bank card Not available
👛 Depositing with electronic wallet Not available
💱 Number of base currencies supported 20
🎮 Demo account provided Yes
🛍️ Products offered Stock, ETF, Fund, Bond, Options

Zacks Trade review
Fees

4.2
Zacks Trade has low trading and non-trading fees. Its stock, ETF and bond trading fees are especially low, while mutual fund fees are quite high.
Pros Cons
Low stock and ETF fees / Free stock trading High fund fees
No withdrawal fee
No inactivity fee
Zacks Trade fees snapshot
Assets Fee level Fee terms
US stock Low $0.01 per share commission for stocks above $1 share price, or 1% of trade value for stocks below $1 share price. The minimum fee is $1 minimum.
EURUSD - Not available
Mutual fund High $27.50 per transaction
Inactivity fee Low No inactivity fee

How we ranked fees

We ranked Zacks Trade's fee levels as low, average or high based on how they compare to those of all reviewed brokers.

First, let's go over some basic terms related to broker fees. What you need to keep an eye on are trading fees and non-trading fees.

In the sections below, you will find the most relevant fees of Zacks Trade for each asset class. For example, in the case of stock investing the most important fees are commissions.

We also compared Zacks Trade's fees with those of two similar brokers we selected, TradeStation and Fidelity. This selection is based on objective factors such as products offered, client profile, fee structure, etc. See a more detailed rundown of Zacks Trade alternatives.

To have a clear overview of Zacks Trade, let's start with the trading fees.

Zacks Trade trading fees

Zacks Trade has low trading fees. Its fee structure is also transparent and easy to understand.

Stock fees and ETF fees

Zacks Trade has generally low stock and ETF commissions.

Zacks Trade stock and ETF commission of a $2,000 trade
  Zacks Trade TradeStation Fidelity
US stock $1.0 $1.0 $0.0
UK stock $16.8 - $12.6
German stock $14.4 - $22.8

The commissions for trading on different markets are as follows:

Zacks Trade stocks and ETF commissions
Market Commission Minimum fee
North America
United States Stocks with share price above $1: $0.01 per share
Stocks with share price below $1: 1% of trade value
$1
Canada Stocks with share price above $1: CAD 0.02 per share
Stocks with share price below $1: 1% of trade value
CAD 4.5
Mexico 0.3% of the trade value MXN 180
Europe
Austria, Belgium, France, Germany, Italy,
The Netherlands, Spain
0.3% of the trade value €12
Norway 0.1% of the trade value NOK 150
Sweden 1.0% of the trade value SEK 100
Switzerland 0.3% of the trade value CHF 15
United Kingdom 0.3% of the trade value GBP 12
Australia and Asia
Australia 0.3% of the trade value AUD 16
Hong Kong 0.3% of the trade value HKD 120
Japan 0.3% of the trade value JPY 1,200
Singapore 0.3% of the trade value SGD 20
Russia 0.05% of the trade value RUB 95

 If you prefer stock trading on margin, you should check Zacks Trade's margin rates.

What is the margin rate? Margin rates are charged when you trade on margin. This basically means that you borrow money from your broker to trade, for which you have to pay interest.

Margin rates vary based on the amount and the currency of the borrowed money.

Zacks Trade margin rates are low.

Zacks Trade annual margin rates
  Zacks Trade TradeStation Fidelity
USD margin rate 3.6% 9.5% 9.8%
GBP margin rate 3.5% - -
EUR margin rate 3.5% - -

Fund fees

Zacks Trade fund fees are high.

Zacks Trade commission for a $2,000 fund purchase
  Zacks Trade TradeStation Fidelity
Mutual fund $27.5 $15.0 $37.5

Bond fees

Zacks Trade has generally low bond fees.

Zacks Trade commission of a $10,000 government bond trade
  Zacks Trade TradeStation Fidelity
US Treasury bond $5.5 $20.0 $0.0
EU government bond $25.0 - -

Options fees

Zacks Trade options fees are average.  Keep in mind that Zacks Trade customers can only trade with US options though.

Zacks Trade stock index options commission of 10 contracts
  Zacks Trade TradeStation Fidelity
US stock index options $7.8 $10.0 $6.5

Non-trading fees

Zacks Trade has low non-trading fees.

The broker does not charge any account, inactivity or deposit fees. The first withdrawal each month is also free of charge, while subsequent withdrawals carry a fee

Zacks Trade non-trading fees
  Zacks Trade TradeStation Fidelity
Account fee No No No
Inactivity fee No Yes No
Deposit fee $0 $0 $0
Withdrawal fee $0 $0 $0

Zacks Trade review
Account opening

2.5
Zacks Trade has a fully digital account opening for clients all over the world, and there is no minimum deposit. On the negative side, we found the process slow and hard to navigate.
Pros Cons
Fully digital Slow
No minimum deposit Not user-friendly

Can you open an account?

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Zacks Trade is available in many countries around the world. There are some exceptions, however, including countries like Australia, Canada, Japan and Hong Kong, where clients can't open an account with Zacks Trade.

What is the minimum deposit at Zacks Trade?

There is no minimum deposit at Zacks Trade. However, the broker recommends depositing at least $2,500 to start with.

Also, if your account balance is below $2,000, you're not eligible to subscribe to live market data or trade on margin.

Account types

Zacks Trade offers many account types, which fall into two big categories:

  • accounts for individual traders and investors
  • accounts for institutions

As an individual trader or investor, you can choose from many account types. A few of them, like an IRA account, are available only for US clients.

Zacks Trade account types
Account type Short description
Individual Account is owned and used by a single individual
Joint Account is owned and used by two individuals
Trust Account is held by a Trustee (separate legal entity) for your benefit
IRA Individual retirement account, which is only available for US clients
UGMA/UTMA Account for clients who are minors, which is only available for US clients

How to open your account

Zacks Trade's account opening is fully digital but overly complicated. For us, account verification took more than 1 week, which may have been affected by the volatile market environment at the time.

First you have to complete an online registration, which takes roughly an hour. We experienced a few bugs and errors throughout the process, for example, the system froze when we tried to upload our documents.

The 9 steps of Zacks Trade account opening:

  1. Enter your name, email and phone number.
  2. Choose an account type.
  3. Confirm your email address.
  4. Input more personal details like location, address and phone number.
  5. Confirm employment status and income details.
  6. Choose security questions.
  7. Determine your trading goals and experiences.
  8. Upload proof of identification and residency documents (these include copies of a passport, driver's license, residency permit, utility bills or national IDs).
  9. Agree to disclosures and permissions documents.

Zacks Trade review - Account opening

Our best alternatives to Zacks Trade are:

The highest ranking competitors are:

  1. ChoiceTrade full review
  2. TradeStation full review
  3. tastyworks full review
  4. Interactive Brokers full review

Zacks Trade review
Deposit and withdrawal

3.5
Zacks Trade offers one free withdrawal per month for nearly all base currencies. However, you cannot use credit/debit cards or electronic wallets to deposit or withdraw funds.
Pros Cons
Free withdrawal Credit/Debit card not available
No deposit fee
Several account base currencies

Account base currencies

Zacks Trade provides many account base currencies, which is great if you trade with assets in different currencies.

Zacks Trade account base currencies
Australian Dollar British Pound Canadian Dollar Chinese Yuan
Czech Koruna Danish Krone Euro Hong Kong Dollar
Hungarian Forint Israeli Shekel Japanese Yen Mexican Peso
New Zealand Dollar Norwegian Krone Polish Zloty Russian Rouble
Singapore Dollar Swedish Krona Swiss Franc  US Dollar

Zacks Trade compares favorably to its selected competitors in terms of base currencies offered.

Base currencies at Zacks Trade vs similar brokers
  Zacks Trade TradeStation Fidelity
Number of base currencies 20 9 16

Why does this matter? For two reasons. If you fund your trading account in the same currency as your bank account or you trade assets in the same currency as your trading account base currency, you don't have to pay a conversion fee.

A convenient way to save on currency conversion fees is by opening a multi-currency bank account at a digital bankThese usually offer bank accounts in several currencies with great currency exchange rates, as well as free or cheap international bank transfers. Opening an account only takes a few minutes on your phone.

Compare digital banks

Deposit fees and options

Zacks Trade charges no deposit fees. However, deposit options are limited for most customers, as neither credit/debit cards nor electronic wallets can be used.

One popular deposit option can be wire transfer, which is available both for international and US customers. Wire transfers usually take one day in the US and up to 5 days for international transfers.

If you reside in the US, however, you have multiple extra options, such as: 

  • ACH (Automated Clearing House)
  • Check
  • Online bill payment
  • Direct Rollover (IRA accounts only)
  • Trustee-to-Trustee (IRA accounts only)
Zacks Trade deposit options
  Zacks Trade TradeStation Fidelity
Bank transfer Yes Yes Yes
Credit/debit card No No No
Electronic wallets No No Yes

You can also transfer accounts from your previous broker using the ACAT (Automated Client Account Transfer) service.

Zacks Trade review - Deposit and withdrawal - Deposit

Zacks Trade withdrawal fees and options

At Zacks Trade, the first withdrawal each month is free of charge. The fees for subsequent withdrawals depend on the currency and the method you use for withdrawal.

Non-US customers can use only wire transfers, while US clients can also use checks or ACH transfer, as well as wires.

Zacks Trade withdrawal fees and options
  Zacks Trade TradeStation Fidelity
Bank transfer Yes Yes Yes
Credit/debit card No No No
Electronic wallets No No Yes
Withdrawal fee $0 $0 $0

ACH and check withdrawal cost $4 and $1, respectively, while the fee for wire withdrawals depends on the currency, as shown in the table below.

Zacks Trade wire withdrawal fees
Withdrawal currency Fee
USD 10
EUR 8
GBP 7
CAD 12
CNH 60
HKD 95
NZD, SGD, AUD 15
CHF 11
CZK 300
DKK 30
HUF 6,000
ILS 30
JPY 1,600
NOK, SEK 50
MXN 100
PLN 40
RUB 330
ZAR 200

How long does it take to withdraw money from Zacks Trade? We tested the bank transfer withdrawal and it took 2 business days. You can only withdraw money to accounts in your name.

How do you withdraw money from Zacks Trade?

  • First, log in to the Client Portal then click on 'Transfer & Pay' and 'Transfer funds'.
  • Select the account you want to use for the transaction.
  • At the top of the page, click on the 'Withdraw Funds' tab. 
  • Select the currency of your withdrawal, then the withdrawal method.
  • Fill out the required information.
  • Submit your withdrawal request. 
  • You can see the status of your request in 'View Transaction History'. 

Zacks Trade review
Web trading platform

4.0
The Zacks Trade web platform is simple and easy to use even for beginners.
Pros Cons
User-friendly None
Clear fee report
Two-step (safer) login
Zacks Trade platforms to choose from
Trading platform Score Available
Web 4.0 stars Yes
Mobile 3.5 stars Yes
Desktop 3.8 stars Yes

Zacks Trade offers two options for web trading: the Client Portal and Zacks Trader. In this review, we tested the Client Portal since it is more user-friendly and easier to use than Zacks Trader.  

The Client Portal is available in multiple languages: Dutch, English, French, German, Italian, Japanese, Russian, Simplified Chinese, Slovakian, Spanish and Traditional Chinese.

Look and feel

The Client Portal platform is particularly user-friendly and intuitive. It is easy to find every feature even if you just started trading.

However, from time to time, there are some annoying technical glitches. For example, if you have a large number of positions, there are often problems displaying them in sorted order (e.g. from A to Z) while you are scrolling.

Zacks Trade review - Web trading platform

Login and security

Zacks Trade provides a safer, two-step login. You can use several options for two-step authentication:

  • You can use two-step authentication through SMS messaging.
  • You can activate two-step authentication through Zacks Trade's mobile trading app, the Handy Trader.

Search functions

The search function is easy to use.

All you have to do is type in the preferred asset's name, and you will see a list of exchanges and products. The search bar can be found in the upper right corner of the screen. 

Zacks Trade review - Web trading platform - Search

Placing orders

The Client Portal offers many order types. If you prefer more sophisticated orders, you should use the desktop Zacks Trade Pro platform. Available order types are:

  • Limit
  • Market
  • Stop
  • Stop Limit
  • Limit-on-Close
  • Market-on-Close
  • Trailing Stop
  • Trailing Stop Limit

To get a better understanding of these terms, read this overview of order types.

There are also order time limits you can use:

  • Day
  • Good-til-Canceled (GTC)
  • Immediate or Cancel
  • Market-on-Open
  • Limit-on-Open

Zacks Trade review - Web trading platform - Order panel

Alerts and notifications

You can set price alerts using the bell icon.

Portfolio and fee reports

Zacks Trade portfolio and fee reports are transparent. The 'Portfolio' tab gives a clear overview of your performance, including a historical profit/loss balance and the fees you paid.

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Zacks Trade review
Mobile trading platform

3.5
The Zacks Trade mobile trading platform, called Handy Trader, has a lot of functions and a useful chatbot, but its user interface could be better.
Pros Cons
Two-step (safer) login User interface is a bit complex
Good search function
Good variety of order types

You can use Zacks Trade's mobile trading platform, called Handy Trader, both on iOS and Android devices. In this review, we tested the iOS version of the mobile app.

The number of available languages is almost the same as those available on the Client Portal, the only difference is that Slovakian is not supported.

Look and feel

The mobile trading app is handier compared to the web platform. On the other hand, its overall look and user-friendliness lag behind the similar mobile platforms of competitors. 

Zacks Trade review - Mobile trading platform

Login and security

You can use a two-step login, which is safer than a simple login. Furthermore, if your device has a fingerprint sensor, you can also use biometric authentication for convenience.

Search functions

The search function works well, just like at the web trading platform. You can access the search button easily from any menu.

When you type in the product you are looking for, the app lists every asset type as show below in the picture.

Zacks Trade review - Mobile trading platform - Search

After you select the product are you interested in, you will be greeted by an information and trading window, which shows:

  • Asset market information
  • An interactive chart with technical indicators
  • Related news
  • Some fundamental data
  • Summary of the latest analyst report
  • The buy and sell buttons that transfer you to the order panel.

Placing orders

The Handy Trader app has the same order types as the Client Portal, Zacks Trade's web trading platform.

Zacks Trade review - Mobile trading platform - Order panel

Alerts

You can set price alerts using the bell icon.

Special feature – Chatbot

A chatbot, called IBot is provided by Interactive Brokers (IB). You can use the chatbot to execute or close an order, or to get basic info quickly.

Zacks Trade review - Mobile trading platform - Chatbot charting

The chatbot understands basic commands, such as “Apple price” or “buy 1 Apple share”. On top of this, you can also search for company fundamentals, like dividend yields or P/E ratios. Some of the functions, like displaying a chart, are also available via the chatbot.

Zacks Trade review - Mobile trading platform - Chatbot buy

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Zacks Trade review
Desktop trading platform

3.8
The Zacks Trade Pro desktop platform has many customizable options and advanced functions. However, the platform is more suited for advanced traders.
Pros Cons
Clear fee report Not user-friendly
Good customizability (for charts, workspace) Complexity might be overwhelming
Good variety of order types

Zacks Trade's desktop trading platform Zacks Trade Pro is provided by International Brokers. It is so advanced that even a separate review would not be able to cover all of its features.

The system offers literally every feature you can think of, from attaching a delta hedge order to an options order to creating charts for synthetic securities.

There are many trading algos to choose from. One favorite, the ScaleTrader originates from the notion of averaging down or buying into a weak, declining market at ever lower prices as it bottoms - or on the opposite side, selling into a rising market or scaling out of a long position.

Look and feel

This platform is very complex. It is ideal for you if you consider yourself a professional user. If you are a beginner or someone who seeks long-term investments, you may have difficulty navigating all of Zacks Trade Pro's features.

Keep in mind, however, that all the advanced features are optional. If you don't use them, you can easily it just to place orders even if you are an everyday investor.

Despite its complexity, the platform is highly customizable, for example, you can set up and save your own templates and create your own watchlists.

Zacks Trade review - Desktop trading platform

Login and security

Similarly to the web and mobile trading platforms, Zacks Trade Pro provides two-step authentication. This makes the platform safer to use.

Search functions

The search function is great, better than on the other platforms Zacks has.

Zacks Trade review - Desktop trading platform - Search

Placing orders

Zacks Trade Pro provides a lot of order types:

Order types at Zacks Trade Pro
Limit Mid Price Market Market-to-Limit
Stop Stop-Limit Trail Trail-Limit
Relative Retail Price Improvement Snap Market Snap to Midpoint
Snap to Primary Market-on-Close Limit-on-Close IBALGO
Hedge (with Forex, or Pair Stock)      

The order term options also include some special types beyond the usual ones:

  • Good 'till Canceled (GTC)
  • Good-Til-Date (GTD)
  • Market-on-open (MOO)
  • Limit-on-open (LOO)
  • Immediate-or-cancel (IOC)
  • Fill-or-Kill (FOK)
  • Day 'Til canceled (DTC)

If you are not familiar with basic order types, read this overview.

Zacks Trade review - Desktop trading platform - Order panel

Alerts and notifications

Alerts and notifications can be set in the 'Configuration panel'. You can select email, SMS or mobile pop-up notifications.

You can also set additional alerts, such as for price changes, daily profits/losses, executed trades, etc.

Portfolio and fee reports

Portfolio and fee reports on Zacks Trade Pro are very transparent, just like on the web platform.

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Zacks Trade review
Markets and products

3.5
Zacks Trade offers international stocks, ETFs and bonds, which is fairly unique for a US broker, as well as US funds and options. However, you cannot trade futures or forex.
Zacks Trade asset classes
  Zacks Trade TradeStation Fidelity
Stocks Yes Yes Yes
ETFs Yes Yes Yes
Forex No No No
Funds Yes Yes Yes
Bonds Yes Yes Yes
Options Yes Yes Yes
Futures No Yes No
CFDs No No No
Crypto No Yes No

Zacks Trade covers the same asset classes as most US competitors. Within its product range, Zacks Trade has an outstanding selection of stocks, ETFs and options, while its mutual fund and bond offering is average.

Stocks and ETFs

Zacks Trade provides access to a significant number of global stock exchanges. This includes major stock markets like the NASDAQ, the New York Stock Exchange (NYSE) and the London Stock Exchange (LSE), as well as smaller ones such as the Mexican Stock Exchange. Other than regular stocks, penny stocks are also available

Besides stocks, you can also choose from a lot of ETFs to trade. Zacks Trade has an extensive ETF selection compared to its competitors.

Zacks Trade stock and ETF selection
  Zacks Trade TradeStation Fidelity
Stock markets (#) 78 5 25
ETFs (#) 13,000 2,300 80

Zacks Trade provides access to exchanges in the following countries:

North America Europe Asia-Pacific
United States Austria Norway Australia
Canada Belgium Spain Hong Kong
Mexico France Sweden Japan
  Germany Switzerland Singapore
  Italy United Kingdom  
  Netherlands Russia  

Funds

Zacks Trade offers a large number of mutual funds from the US but does not include international providers in its selection.

Zacks Trade mutual fund selection
  Zacks Trade TradeStation Fidelity
Fund providers (#) 260 55 550

Bonds

Zacks Trade's bond selection covers US and European government and corporate bonds. Compared with others, this offer is average. 

Zacks Trade bond selection
  Zacks Trade TradeStation Fidelity
Bonds (#) 60,000 630 115,000

Options

Zacks Trade provides options from US options markets.

Zacks Trade options selection
  Zacks Trade TradeStation Fidelity
Options markets (#) 16 10 9

Zacks Trade review
Research

4.3
Zacks Trade offers nearly limitless research possibilities, but the user interface is complicated, hard to follow and not very well designed.
Pros Cons
Good interactive chart Not user-friendly
Trading ideas
Data on asset fundamentals

The quality of the research available at Zacks Trade is good and you can always choose from various third-party providers as well.

Trading ideas

Zacks Trade offers access to recommendations provided by third parties. These research tools are mostly free, but there are some you have to pay for.

Several prominent news sources, like Thomson ReutersMorningstar, The Motley Fool, Dow Jones and Zacks affiliate company Zacks Investment Research are available for free. 

You can access all these third-party sources in ZacksTrade Pro, the desktop platform, under the drop-down 'Analytical Tools' menu, by selecting 'Analyst Research'.

Zacks Trade review - Research - Recommendations

Fundamental data

Zacks Trade provides a broad selection of fundamental data on all of its platforms. These include income statements for the past six years, a dividend calendar and peer group companies, for example.

Zacks Trade review - Research - Fundamental data

Charting

Zacks Trade has nearly unlimited charting abilities. You can use 120 technical indicators. However, the charting tool itself takes considerable time and effort to learn. The features are not user-friendly, so we recommend using the educational resources to understand the capabilities. 

Zacks Trade review - Research - Charting

Other special technical tools include:

  • Stock/ETF benchmarker: helps you to compare your stock or portfolio to a selected benchmark
  • Mutual fund and ETF replicator
  • Volatility lab
  • Option probability lab: a group of option analysis functions
  • VaR, Sharpe: portfolio performance analyzers

News feed

You have access to:

  • News
  • Daily summaries
  • Multiple economic calendars

It is also provides integrated third-party news and recommendations to the Zacks Trade desktop platform.

Upon entering the platform, you can read daily summaries of the markets through 'Daily Lineup'. This feature helps you to be informed about the latest news and analyst recommendations.

Earnings and economic calendars are also helpful quick shortcuts to start off your day. The Economic Calendar informs you about upcoming events that will have an economic impact. The feature can be accessed separately at any time from the menu, though the design could be better.

Compare research pros and cons

Zacks Trade review
Customer service

4.1
Zacks Trade customer service is quick and useful although we missed the 24-hour support that would help out international customers.
Pros Cons
Phone support No 24/7 support
Live chat
Fast response time

You can contact Zacks Trade via:

  • live chat
  • phone
  • email

Zacks Trade has a very fast live chat. The relevancy of the answers was satisfactory, providing links to more detailed information. However, you can only contact Zacks Trade on the chatbox live during Eastern Standard Time working hours in the United States. Outside of these hours, your best bet is to contact Zacks Trade via email support.

We received clear responses to our emails to customer support within 3 days. Nevertheless, we missed the 24/7 availability.

Phone support is provided only through US local and toll-free numbers. This means that Zacks Trade clients calling from outside the US will be charged at international rates

Zacks Trade review - Customer Service

Contact customer service

Zacks Trade review
Education

2.5
Zacks Trade offers a demo account and videos on how to use its system. However, we missed some educational tools, such as general educational videos or webinars.
Pros Cons
Demo account No educational videos
Trading platform tutorial No webinars

At Zacks Trade you can learn in the following ways:

  • Demo account
  • Platform tutorial videos

To use the free demo account, go to 'Platforms' and then select Zacks Trading Pro. At the bottom of the page, there is a registration to 'Start Paper Trading', which will create a demo account for you.

However, we felt the site is missing basic information on trading and investing which would help out beginners. This reiterates our belief that Zacks Trade is geared towards experienced traders.

Zacks Trade review - Education

Visit education page

Zacks Trade review
Safety

Zacks Trade is regulated by top-tier financial authorities and offers a high level of investor protection, but is not listed on a stock exchange and does not hold a banking license.
Pros Cons
Majority of clients belong to a top-tier financial authority No negative balance protection
High level of investor protection Does not hold a banking license
Not listed on stock exchange

Is Zacks Trade regulated?

Zacks Trade is a division of LBMZ Securities, which is regulated by the US Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).

LBMZ Securities's clearing and execution services are provided through Interactive Brokers, a global stockbroker regulated by many top-tier financial authorities globally.

Is Zacks Trade safe?

To be certain if a brokerage is safe, we highly advise that you check two facts:

  • how you are protected if something goes wrong
  • what the background of the broker is

How you are protected

All accounts at Zacks Trade are served by a US-regulated legal entity. This matters because you are covered by the US investor protection scheme, provided by the Securities Investor Protection Corporation (SIPC).

SIPC investor protection protects against the loss of cash and securities in case the broker goes bust. The limit of SIPC protection is $500,000, which includes a $250,000 limit for cash. A non-US citizen with Zacks Trade is treated by the SIPC the same as a US resident in case something goes wrong. The provided amount is substantially higher than what is covered by most European investor protection schemes. 

On the other hand, Zacks Trade does not provide negative balance protection. If the balance on your account goes into negative, you will not be protected.

Background

Zacks Trade is a division of LBMZ Securities, which was established in 1978. The longer track record a broker has, the more proof we have that it has successfully survived previous financial crises.

Being in operation for a long time, high investor protection and being regulated by top-tier authorities are all great signs for Zacks Trade's safety.

Find your safe broker

Zacks Trade review
Bottom line

Zacks Trade is a great US discount broker. It is a division of LBMZ Securities, which is regulated by the SEC and FINRA.

On the plus side, Zacks Trade has low fees, outstanding stock and ETF selections and great customer service.

There are some drawbacks though, as its desktop trading platform and research tools are quite complex. The account opening is complicated and slow. Unlike Interactive Brokers, Zacks doesn't support trading CFDs, futures and cryptos.

As Zacks Trade provides a demo account and doesn't require any minimum deposit, feel free to try it.

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Zacks Trade review
FAQ

We recommend Zacks Trade for traders and investors looking for comprehensive research tools, a wide product selection and low fees.

Below you can find links to all aspects of Zacks Trade in this comprehensive collection.

Lower fees, lower costs?

We detailed this in our Zacks Trade fees article.

What about the minimum deposit?

Our ultimate guide to the Zacks Trade minimum deposit is updated regularly.

How to start your Zacks Trade account?

Look no further than our evaluation of the Zacks Trade account opening.

How's their trading app?

Here's our expert view after checking the Zacks Trade trading app.

Is the quality of customer service satisfactory?

All you need to know about the Zacks Trade customer service.

Legit or scam?

Is Zacks Trade legit features all the key aspects you need to look at to see if a broker is safe and legit.

Free or premium? Or both?

A glance at actual costs and whether Zacks Trade is really free.

Is this broker good for beginners?

We checked it in Is Zacks Trade good for beginners.

Should you buy your silver bullets on Zacks Trade?

Research for silver bugs in the Silver buy on Zacks Trade guide

I want to trade options, are they available at Zacks Trade?

We explored the topic in Can you trade options on Zacks Trade?

What is the minimum account balance at Zacks Trade?

Check out the current account balance requirements at Zacks Trade in our What is the minimum account balance at Zacks Trade article.

Looking for commission and fees data for Zacks Trade?

We collected them in Zacks Trade commission and fees.

How do you withdraw money from Zacks Trade?

We tested it and collected the options and costs in How to withdraw money on Zacks Trade.

Author of this review

András Iván

Author of this review

Andras has over 5 years of experience in investing and trading equities, options and bonds. He believes that active trading and a more passive investing approach both have merits and everyone can find a strategy that fits their needs. He's eager to help identify the characteristics of specific brokers, so the best match can be found for each client.

András Iván

Broker Analyst

Andras has over 5 years of experience in investing and trading equities, options and bonds. He believes that active trading and a more passive investing approach both have merits and everyone can find a strategy that fits their needs. He's eager to help identify the characteristics of specific brokers, so the best match can be found for each client.

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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