Tips for Top Stock Brokers: What Benefits Do Top Online Brokers Offer to Mid-Level Traders?

Before you start looking for the best stockbroker, you should first make sure you understand the two main types of orders when buying stocks: market and limit. When a market order is placed, it will be executed immediately at the prevailing market price. For example, if you enter to buy 5 shares of Apple, the transaction will be completed by matching you with someone who wants to sell Apple shares, albeit not at a known price. With a limit order, the trade will only be filled at a certain price. For example, if you want to buy 20 shares of Target at $50 per share, the order will only be filled if the broker can fill it at a price of $50 per share.

Stick to market orders if you need to fill an order as soon as possible. Limit orders are best if you’re on a budget and only want to spend so much per share. If you are lucky and get a good broker, you might get your limit order at a fair price anyway.

How to choose the best stockbroker?

Speaking of brokers, how can you choose a good one? To find the best stockbroker for beginners, consider the following:

• Achievable minimums: A great advantage of online trading is that there is an opportunity to start small. If you’re not ready to do it all yet, look for a broker who is willing to work with those who are new to investing and don’t have a lot of money to start with.

• Reasonable prices – don’t just look for low commissions, look for a service that allows you to create and maintain an account without charging too many fees. You should never be charged any hidden and unnecessary fees.

• Educational Tools – The best broker will truly provide their clients with the tools and resources they need to help them learn about trading on their own to help them make better decisions in the future. Having access to tons of resources can be a very valuable asset.

• Range of Options – Don’t choose a “stock” broker that is just that and nothing more. Look for one that offers you the option to invest in more than individual stocks. What about the bonuses? EFT? What happens if you decide to start a CD account?

• Associations and reputation: It pays to do a background check on online brokerage firms before making a decision. Do the obvious things like reading reviews and checking for fraud alerts. Be sure to choose the services of someone who is a member of organizations like SPIC and FINRA.

Final remarks

There is at least one organization that ticks all of these boxes for the best stock broker: Zacks Trade. It offers a wealth of learning materials for new and mid-level operators, and an intuitive workstation for more advanced operators. There are many positive Zacks Trade reviews from leading industry sites.