As a new investor education is the most important aspect to focus on. Trying to trade stocks won’t do you any good without knowing the basics of trading stocks online. These three trading platforms for beginners offer three main things and they are simplicity, education and a strong variety of educational tools. When I first started to invest in stocks I had absolutely no idea what I was doing. I came across an app called Robinhood through the apple app store. I saw commission-free trading and downloaded the app right away. That one app has changed my life and has also changed the way other brokerages trade.
Best Stock Brokers for beginners
- Robinhood- Simple and user-friendly but no trading tools
- TD Ameritrade- Best overall for beginners
- E-trade- Best online trading platform around
For investors who simply want to just get there feet, wet Robinhood is definitely the way to go. The service is innovative, cutting out nearly all costs that are typically associated with investing. If you are attached to your phone Robinhood is the perfect app for the beginner investor. Robinhood offers analyst ratings from Morningstar, an independent investment research company, as well as lists of top movers, earnings calendars and links to earnings calls. Robinhood falls short on having limited securities. On other online brokerages, you are able to invest and mutual funds and bonds but these are still not supported on Robinhood. Robinhood also lacks an automatic reinvestment program so dividend stocks pay you out cash instead of reinvesting back into the stock. Overall, Robinhood does have its faults but for the beginner investor, it is a great app to learn the basics of the stock market.
E*TRADE is a full-service online broker that charges $0 for stock trades and $.65 per contract for options trades. E*TRADEs platform is one of the best for options trading as well as its elite brokerage app that is very user-friendly. For beginner investors getting into options trading, there is no other platform to star using then E*TRADE. Power E*TRADEs charting engine is powered by Chart IQ, an excellent third-party provider of HTML 5 charts. This includes extremely smooth panning and zooming, integrated Recognia technical analysis, 118 optional technical indicators, and 33 drawing tools. This program gives plenty of tools to become a successful options trader. E-trade offers consensus ratings from three separate companies, including breakdowns from an individual stock analysist. E*TRADEprovides everything an investor would expect from an online brokerage. They offer stocks, options, bonds, banking products and financial planning services. E*TRADE is an industry leader in it’s mobile and options trading offerings and continues to innovate. E*TRADE offers nine free webinars each month for beginner traders. E-trade is a great broker for beginner traders who are trying to day trade and option trade, commissions are free and they have plenty of tools to help you become a profitable successful trader.
TD delivers the best package there is as a free online broker. It has amazing trading platforms with all the market research, mobile apps and education and investor could need. Td’s program thinkorswim is elite compared to all other charting platforms. there are over 400 technical studies available, this is perfect for the beginner just getting into trading and investing or even the expert stock trader. Td has an earning analysis tool for planning ahead for earnings releases and assessing the key takeaways from the companies results afterward. The tool pulls data from WallStreet analystss to estimate what the EPS will be. TD has three research methods one is there TV network which live streams all financial news networks and broadcasts them live everyday from 8:00 to 5:00 pm. Td also offers market commentary in which Content is widespread, covering day-to-day markets as well as general finance, savings, retirement, and trader education. Of all the brokers, TD Ameritrade has the most tech-focused mobile offering. Any investor or trader, new or seasoned, will find TD Ameritrade a great fit for their needs.