What is a discount broker?

A discount broker is an online stock broker with rock-bottom pricing — generally, discount brokers charge no commission to buy or sell stocks. Here, we’ve sorted through our top online brokers to surface the ones with the best no-fee discount brokerage accounts.

What are the best discount brokers for active traders?

Webull has one of the best discount brokers for active traders as well as investors looking for the cheapest trading costs. The firm charges $0 commission of stock, ETF and mutual fund trades.

Which banks offer discount brokerage services?

Some popular ones include E-Trade, Charles Schwab, Fidelity, TD Ameritrade, Vanguard, and Ally Invest. Some established banks have started offering discount brokerage services. These include Capital One Investing, Bank of America’s Merrill Edge, and YouInvest from JPMorgan Chase.

Should you choose a discount broker or a full-service broker?

Whether an investor opts for a discount broker or a full-service broker depends on their investing knowledge, market experience, financial goals, and current financial status. Since commissions typically take a healthy chunk out of investment and trading returns, some individuals opt to go for products offered by discount brokers instead.