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ETrade vs. Scottrade - Compare ETrade | Compare ScottradeIf you are interested in stock trading or are an experienced trader who is maybe looking to transfer brokers, two of the online brokers you will want to look at are ETrade and Scottrade. To find out how they match up, take a look at this comparison of Scottrade vs. ETrade.
Also look at the chart below to compare
ETrade and compare Scottrade to other top online
brokers. The chart includes a comparison of trading
fees as well as ratings from respected third party
publications, listed with the lowest cost
broker first. Compare Scottrade vs. ETrade
Scottrade Costs:
Scottrade Service Offerings:
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Trade free up to
60 days and get up to $500 cash credits
- Open a new account with at least $2,000 deposit. Accounts opened
with $250,000 or more will receive $500. Open an E-Trade Account Today! |
| Online Broker | Trading Fees
/ Account Minimums |
Service Quality Recognitions |
Summary of Broker Comparison |
Overall Rating = 4.5 Stars  OptionsHouse |
 $3.95 per trade ============= No Account Minimum (Fund your account with any amount) |
 Barron's * Overall Rating of "4 Stars" in 2010 * Rated "Best" for Options Traders in 2009 and 2010. * Awarded "4 Stars" for Trade Experience, Research Amenities and Customer Service & Education |
- Very low-cost stock trading. |
Overall Rating = 5 Stars  TradeKing |
$4.95 per trade* ============= No Account Minimum (Fund your account with any amount) |
SmartMoney WSJ Magazine * Rated # 5 discount broker in 2010 * Rated "Best" in Customer Service * Rated #4 Overall Broker in 2009 Barron's "Top-Rated" among web-based brokers |
- Best combination of low cost trading and
high customer service ratings. |
Overall Rating = 4 Stars  Scottrade |
$7.00 per trade*** ============= $500 Account Minimum |
SmartMoney WSJ Magazine * Rated #6 discount broker in 2010 J.D. Power and Associates * Rated highest in Investor Satisfaction with Self-Directed Services" in 2008 |
- Offers competitive
pricing and is solid in most rating categories. - Targets the experienced trader with foreign market trading, local branch offices and investment products. |
Overall Rating = 4 Stars E-Trade |
 Tiered from $9.99-$7.99 per trade** ============= $2,000 Account Minimum |
SmartMoney WSJ Magazine * Rated #2 discount broker in 2010 * Rated "Best" in Banking Services * Rated #1 Overall Broker in 2009 Barron's Received 4 of 5 stars in ranking of the best online brokers. |
- One
of the highest rated online brokers in most categories. - Mid-tier pricing but sophisticated traders are willing to pay extra. |
Overall Rating = 4 Stars Schwab |
$8.95 per trade ============= $1,000 Account Minimum |
SmartMoney WSJ Magazine * Rated #4 discount broker in 2010 * Rated "Best" in Research J.D. Power and Associates * Rated highest in Investor Satisfaction with Self-Directed Services" in 2009 |
- Targets the the investor
with mutual funds, bonds, banking services and branch offices. - Pricing is competitive with other high-end online broker category. |
Overall Rating = 3.5 Stars  TD Ameritrade |
$9.99 per trade ============= $2,000 Account Minimum |
SmartMoney WSJ Magazine * Rated #3 discount broker in 2010 * Ranked "Best" in quality of trading tools in 2009 |
- High ratings for
investment products and research capabilities and middle of
the pack customer service ratings. - Offers multiple types of trading platforms and are a broker for most advanced traders. |
Information on Added Costs Per Trade
* TradeKing -
$4.95 per trade except add $0.01 per share for stocks priced
$1.00 or less. $100 minimum per order
in OTCBB and Pink Sheet stocks.
** ETrade -
Per Trade pricing tiered from $9.99 to $7.99 based on number of
trades per quarter
*** Scottrade - $7.00 per trade
except for stocks priced under $1, add ½% of the principal
value. Most foreign and
pink sheet stocks must be traded with broker assistance for a
$27 commission.
This Online Broker Comparison Chart looks at the most
prominent online brokers from the perspective of a new trader or
beginning trader. While there are many ways to compare online brokers,
including availability of investment products, banking services
or sophistication of its trading platform, a beginner especially should be
concerned at first with cost factors and overall service quality
ratings.
Cost Factors
In order
to get a complete view of total cost when you compare online
brokers, look at all factors including trading fees (the cost
to the trader for executing a single trade, whether a "buy" or
"sell" trade. This can be misleading at first because buying a
stock and then later selling it involves two trades. So a broker
with $5.00 per trade fee will cost you $10.00 to buy and sell. A
broker with a $10.00 per trade fee will cost you $20.00. After
you sell a stock is when you determine your profit or loss and
these fees must be included in your accounting. When you compare
online brokers, there are also
some "additional" fees that are charged based on specific types
of trades and these are outlined in the broker comparison chart above. "Per Trade"
fees may also vary depending upon the number or volume of trades
executed over a defined time period, with lower fees charged as
trading volume increases. A "Flat-Rate" broker is one that
charges the same "per trade" fee regardless of the type of trade
or the volume of trades executed over a defined time period.
"Minimum Balance" and "Required Funding Amounts" are not a
cost to you, but they take money out of your pocket and are a
factor to be considered. One broker may require a minimum
balance be in your account in order to maintain it while another
may have no minimum balance. When you are setting up your
account, this could mean the difference between depositing $400
into your trading account because that is what you want to start
with, or having to deposit $2,500 in your account. A beginning
trader may not want to deposit that much into their account
initially, so that can be an important decision criteria when
selecting your trading broker. The broker comparison includes
these costs for you to compare brokers with complete
information.
Quality Factors
An online broker's service quality is also important when
you compare brokers. There is a broad range of quality across these
brokers, but it is hard to determine these without direct
experience. This online broker review, therefore, relies on the
broker comparison ratings given by established and highly regarded financial
publications including SmartMoney - The Wall Street Journal
Magazine, Barron's, J.D. Power and Associates. These
publications conduct annual broker reviews rating the brokers
across a variety of service factors including the quality of
customer support.
Since these publications conduct these
trading broker reviews each year, there is a year-over-year
comparative capability. This means that you can not only use
their rating for the current year, but you can also see how that
rating has changed since previous years. This can give you a
good idea of how that broker is trending and areas where they
are improving their service.
This review is primarily fact-based, reporting the brokers
pricing schedule and fees policies and ratings given by the
named publications. Based on the totality of the Cost Factors
and the Quality Factors, a star rating is given to summarize
that particular online broker's performance in that category
relative to its competitors. The overall star rating can be used
to directly compare online brokers by combining
the Cost and Quality Factor ratings, using equal weighting (50%
given to each) to arrive at a summary rating that can be used to
choose a broker you want to open a trading account with.
Return to the home page to continue to compare online brokers.
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