With serious name recognition, Etrade is one of the most likely online brokers that people think of when they want to step into the financial markets for the first time. Can it be the best way to go for day traders? Is it better for regular investors? There are lots of reviews out there that can make a difference in figuring out this question, but this one will answer the most pertinent questions.
The tiered commission structure is something that frequent traders might appreciate. The charges for. At $6.95 per trade, that commision is pretty high for a high volume trader. But the per trade number goes todn to $4.95 if you hit 30 trades per quarter.
The sheer variety of Etrade’s offerings is something to be taken seriously. E-Trade Web is set up for beginner traders and casual investors, with streaming market data, analyst research available at the click of a mouse and a dashboard where you can track your accounts and create watchlists. For someone that has limited experience in the markets this particular platform can allow for easy entry.
In 2016, Etrade acquires OptionsHouse and the company now has it fully meshed with the existing infrastructure. This is where the serious traders operate. Everything moves at top speed and the charting tools available are professional grade. The real key is how fast the trade tickets move, which really has a positive effect on getting moves executed in tiem to be profitable.
E-Trade Pro is for the cream of the crop. It takes $250K just to get access to the platform. But if you have the means and experience, the platform can be a boon to your bottomline. There is idea-generating software in there that can plan strategies and suggest trades.
The mobile capabilities of E Trade are growing as well. The company offers two seperate mobile apps and it is available on all the major mobile operating systems. The capabilities are robust with real-time quotes and streaming financial videos news, in addition to instant execution. The Apple and Android versions of the regular mobile app offer ETF screeners and the option to view educational videos. The advanced features on mobile apps make it an ideal companion to the web based and desktop trading platforms.
Can Etrade be right for you? It all depends on what kind of investor that you want to be. If you are a casual investor, then the retirement planning tools and low barrier to access could be just what you are looking for. The no transaction fee mutual funds are also a check in that column.
High frequency traders might find a happier home with other online brokers, but Etrade has its place among traders and casual investors. It is a well-known name brand with high marks for customer service.
More active traders might not be able to stomach the high commissions, even with the tiered structure. The bottom line is that more casual investors may be enamored with what Etrade has to offer, rather than high frequency traders.