From beginners to advanced traders looking for options trading, international exposure, and alternative investments, there is a brokerage firm for every investor across all levels of experience, income, and risk tolerance. Learn how brokers work and which ones are the best for you.

Investopedia Best Brokers and Trading Platforms

Investopedia / Alice Morgan

Best Brokers for 2024

Investopedia’s experts put 26 companies through a rigorous evaluation process to identify the best online brokerages for you. We collected over 2,314 data points and used our subject matter expertise to develop a process for finding the best brokers, focusing on costs, range of offerings, trading technology, and more.

Winners

Frequently Asked Questions
  • Are Brokerage Accounts FDIC-Insured?

    Brokerage accounts are not FDIC-insured like deposit accounts at banks. Instead, the money you have in a brokerage account may be insured by the Securities Investor Protection Corporation (SIPC). The SIPC doesn't insure you against losses resulting from market activity or fraud. The SIPC will reimburse investors for up to $500,000, including $250,000 in cash, in the event of a firm's insolvency. The SIPC only covers member firms.

  • Can I Open a Brokerage Account for My Child?

    Yes. Because minors are not eligible to open their own brokerage account, parents and guardians can open and manage a custodial account in a child's name. Funding options for custodial accounts include cash, stocks, and mutual fund transfers. The process of opening a custodial account involves providing personal and banking information and completing a series of forms online.

  • How Do You Open a Brokerage Account?

    Find the best brokerage firm and account that satisfies your investing style and needs. Then evaluate how a brokerage can help you manage risk. Apply for and set up the account and then fund the account. Before investing your money in the brokerage account, consider educating yourself about how stocks and other investments work (remember, investing always comes with the risk of losing your principal deposit).

  • What Is Brokerage Cash?

    Brokerage cash is a top-line cash total in your investing account. It's the cash amount before stripping out items like unsettled trades and collateral. Not all of your brokerage cash is immediately available for trading or withdrawing. That would be a bottom-line number which may be called buying power, cash available for withdrawal, or something similar. Cash in these accounts can be parked to collect interest, reinvested, or withdrawn for paying bills.

  • What’s the Difference Between a Taxable Brokerage and an IRA?

    Brokerage accounts are taxable investment accounts through which you can buy and sell stocks and other securities. IRAs are designed for retirement savers and allow tax-free or tax-deferred growth on the investments you hold in the account. Unlike brokerage accounts, IRAs have strict contribution limits, and withdrawals may trigger a penalty. Brokerage accounts and IRAs are taxed differently, which can be a deciding factor when choosing an account.

Key Terms

Businessman reading financial stock market analysis
How to Buy Fractional Shares on Webull
Business man holding phone option trading
How to Trade Options on Webull
Close-up of woman trading stock online on mobile phone
How to Buy Fractional Shares on Fidelity Investments
Man and woman count cash on their counter
6 Best Investment Accounts for Handling Uninvested Cash
Two people sitting inside a cafe discussing opening a cash management account.
What Is a Cash Management Account?
Woman using smartphone to trade fractional shares at a coffee shop
How to Buy Fractional Shares
Over the shoulder view of Asian woman holding smartphone, analyzing investment trading data on crypto graph with smartphone and laptop while working at home. Cryptocurrency, bitcoin, digital ledger
How to Automate Your Investing
Financial advisor meeting in a bank office.
Who Insures Your Investment in the Stock Market
Investing in the stock market
How to Invest in Web 3.0
Elegant brownstones and townhouses in the Fort Greene area of Brooklyn for Rent
Best Ways to Earn Passive Income
Gold bars are placed on United States banknote
How to Invest in Gold and Silver
A man and a woman sit at a desk looking at a computer screen with charts and graphs on it
eToro vs. Webull
Over the shoulder view of Asian woman using NFT investment wallet on smartphone in city street
Robinhood vs. Webull
Interactive Brokers vs Webull
Interactive Brokers vs. Webull
Image shows eToro logo in the center of a purple background.
eToro Review 2024
J.P. Morgan Chase Wealth Management Review
J.P. Morgan Self-Directed Investing Review
Wealthsimple Review
Wealthsimple Self-Directed Investing Review
A man works at a laptop and reviews stock charts from an online broker.
Do I Need a Broker to Buy Stocks?
Before You Open a Brokerage Account, Here Are Some Things To Consider
Should You Have Multiple Brokerage Accounts?
Cash Accounts versus Margin Accounts
What Is Brokerage Cash? And How Should I Use Mine?
Image shows "Best Broker Awards" in the top left corner, with desktop and mobile trading apps on the right side.
Best Online Brokers for Beginners of 2024
Image shows "Best Broker Awards" in the top left corner, with an investor using charts and graphs to analyze dollar-based investments on the right.
Best Day Trading Platforms of 2024
Image shows "Best Broker Awards" in the top left corner, with an investor researching investments on a computer, along with a bar graph and currencies floating above.
Best Discount Brokers of 2024
Custom illustration for Investopedia shows "Best Broker Awards on the top left with people handling a phone showing an investment app on the right. The images is pink and white.
6 Best Investment Apps for October 2024
Custom illustration for Investopedia shows "Best Roth IRAs" on the top left with a folder, bar graph, upward arrow and dollar signs on the right. The images is pink and white.
Best Roth IRA Accounts for October 2024
Image shows "Best Broker Awards" in top left corner, with different forms of currency floating around a globe outline to the right.
Best Brokers for International Trading
Image shows "Best Broker Awards" in the top left corner, with one person looking at a computer as another person holds a piece of paper and a pencil. Above them are images of pennies.
Best Brokers for Penny Stocks of 2024
Image shows "Best Broker Awards" in the top left corner, with two investors reviewing investments on their electronic devices.
Best Options Trading Platforms
Charles 'Chuck' Schwab
Chuck Schwab on Zero Commissions
Considering factors other than commissions
Online Broker Battlefield Shifts from Costs to Execution Quality
Image shows "Best Broker Awards" in top left corner, with an investor using a magnifying glass to examining financial documents on the right side.
Best IRA Accounts for October 2024
Placing a trade
Who Wins a Brokerage Price War?
A man holding a pen pointing to a stock market chart on a tablet.
How Do You Transfer Common Stock From One Broker to Another?
Charles Schwab vs Vanguard
Charles Schwab vs. Vanguard
Best-brokers-for-etfs-4587875
Best Brokers for ETFs of 2024
How Long Does It Take for Brokers to Confirm a Trade?
How a Broker Can Avoid a Market-Maker's Tricks
A financial statement with glasses and calculator on the desk.
Uncovering the Securities Firm and How They Work
Ninjatrader Review
NinjaTrader Review
Scottrade Center exterior, 2012
What Happened to Scottrade?
Full-Service Brokerage or DIY Investing?
Before you decide to invest in the stock market, it is important to understand the primary relationships you'll have with your broker and brokerage firm, the fees you may incur, the types of brokerage accounts, your brokerage statements, and more.
5 Truths About Discount Brokers
A shot of a young couple consulting a financial advisor.
Why Do Brokers Ask Investors for Personal Information?
Broker
How Brokerage Fees Work
Man meeting with his broker
What Is a Debit Balance in a Margin Account?
Margin Loan Availability: What it Means, How it Works
American Code For Information Interchange (ASCII) Overview
Exchange broker speaking on phone
Adjusted Debit Balance: What it Means, How it Works
Arm's Length Market
How Financial Spread Betting Companies Make Money
Free Credit Balance: Meaning, Regulations, Examples
Consulting auditors auditing financial report on computer screen, business charts
Audit Trail: Definition, How It Works, Types, and Example
Two colleagues review information on a computer.
Broker or Trader: Which Career Is Right for You?
Margin Account: What it is, How it Works, Example
Stock exchange trading floor
Seat: What It Means, How It Works, Purpose
Lame Duck: What It Means and how It Works
Hand of a Stockbroker Buying and Selling Shares Online
Bond Broker: What it is, What They do, Certifications
Young woman analyzing computer data
Application Programming Interface (API): Definition and Examples
Business People Shaking Hands, Finishing up a Papers Signing
Initial vs. Maintenance Margin for a Futures Contract: What's the Difference?
The index of gasoline down
What Is the National Commodity and Derivatives Exchange (NCDEX)?