About the online brokerage business, there is a lot to learn. Many investors have to learn this the hard way, though.
Since there are so many choices, picking the right broker is just as important as picking the right investment.
For years, investors were used to paying $9.95 or more per trade, depending on how much money they had in their account or how often they traded. Those times are over now, though.
When judging brokers, you should think about the following:
- Does the broker offer good customer service?
- What kind of technology does the broker use?
- How quickly can the broker make my trade happen?
- How much will I have to pay the broker for each trade?
Because the new online trading market is so competitive, commission rates for all investors have gone down. Brokers like Ameritrade and ETrade still charge around $10 per trade, but smaller firms can do it for less than $3.
Investors who look beyond the industry leaders may find that smaller brokers like RushTrade have more to offer in areas like customer service, order routing, and trading technology.
RushTrade has made a name for itself as the best online broker for fast, reliable trading and good customer service. With the increase in competition among online brokers, RushTrade has structured its commissions to attract every type of investor.
