Which zero-commission brokerage should you consider using in 2021?

by | Jun 26, 2023 | Fidelity IRA | 32 comments




Which $0 commission brokerage is the best for beginners in 2021 and which should you use?
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Which $0 Commission Brokerage Should You Use in 2021?

In recent years, the financial industry has seen a shift towards commission-free trading, giving investors the opportunity to trade stocks, ETFs, and options without incurring any fees. This trend has been particularly attractive to small investors and beginners who want to dip their toes in the world of investing without large capital requirements. With numerous commission-free brokerages on the market, the question arises: which one should you use in 2021?

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1. Robinhood:

Robinhood is often considered the pioneer in commission-free trading. Launched in 2013, it quickly gained popularity due to its user-friendly interface and zero-commission model. Robinhood allows investors to trade stocks, ETFs, options, and even cryptocurrencies without paying any commissions. It also offers a cash management feature and fractional shares, allowing users to diversify their portfolios with smaller investment amounts.

However, Robinhood has faced scrutiny for its lack of advanced trading tools and occasional service outages during high-volume trading periods. Nevertheless, it remains a viable option for entry-level investors who prioritize simplicity and ease of use.

2. Webull:

Webull is another commission-free brokerage that has gained attention in recent years. Unlike Robinhood, Webull provides more advanced trading tools and features, making it suitable for both beginner and intermediate investors. It offers in-depth analysis tools, real-time market data, and extended trading hours. Additionally, Webull provides a paper trading feature, allowing users to practice and familiarize themselves with investing strategies without risking real money.

Webull does not support fractional shares, which may be a drawback for some investors. However, its robust trading platform and breadth of features make it an attractive choice for individuals looking to take their trading to the next level.

3. Fidelity:

While not traditionally known as a commission-free brokerage, Fidelity has adapted to the changing landscape by offering $0 commissions on stocks, ETFs, and options trades. Fidelity is widely recognized for its exemplary customer service and extensive research and educational resources. It provides a user-friendly platform, ensuring that investors of all experience levels can easily navigate and execute trades.

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Additionally, Fidelity offers a wide array of investment options, including mutual funds and retirement accounts, which may be appealing to individuals seeking a more comprehensive financial solution.

Conclusion:

Choosing the right commission-free brokerage for your investing needs largely depends on your priorities and level of experience. If simplicity and user-friendliness are paramount, Robinhood may be a suitable choice. For those looking for more advanced trading tools and features, Webull offers a more comprehensive platform. Meanwhile, Fidelity stands out for its established reputation, exceptional customer service, and additional investment options.

Remember, while commission-free trading is undoubtedly appealing, it’s crucial to consider other factors such as research tools, customer support, and account options when selecting a brokerage. Conduct thorough research, evaluate your investment goals, and choose the brokerage that aligns best with your needs to make the most informed decision for your portfolio in 2021.

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32 Comments

  1. Addie M

    That was a really good video. Exactly what we were looking for and totally helped. Thanks!

  2. Maurizio Locatelli

    Thank you for setting up and explaining.
    What is your take on Acorn?
    How does it stack up against the rest?

  3. Trezn

    I’m thinking M1 finance and or fidelity

  4. Owen Lassiter

    Merril edge > E*Trade

  5. sueboo

    Would I be able buy etfs like qqq and schd on fidelity or vanguard, or should I use a platform like M1 finance?

  6. Comtac038

    Why is interactive brokers not mentioned ?

  7. Shrikant Chambhare

    That was very informative video. Which one should I choose for as international (Fidelity or Morgen Stanley).

  8. galtryand

    Any of this will be good here in the Philippines?

  9. Lukonga Luwabelwa

    Hi thanks Arvabelle. Could you do a video on Etoro?

  10. Paul Rai

    Nice one

  11. Joseph Glover

    2022: Cash App is the best broker for small traders:
    – market, buy when +, buy when -, & auto invest.
    – invest as little as $1
    – instant settlement (you don't have to wait 2 days).
    – interesting charts (hold down on chart for a more detailed chart)
    – banking services / debit card / atm / cash deposits.

    Obviously not the best choice if you can afford 20 shares of anything.

  12. texasRoofDoctor

    Great video. I am leaning toward TD because they seem to be the best of all worlds based upon yours and other reviews.

  13. Amir elpaco

    Just a question!
    can i join Vanguard or any of these if Im living in Europe, or do i need to find Brokerages here??

  14. Nick

    Did you do another review for 2022?

  15. bin4ry_d3struct0r

    Which brokerage(s) would you recommend for algorithmic trading?

  16. Charles Moon

    Do I have pay for commission when I purchase stocks? If so, frequent purchasing is not good. right?

  17. parthiban thangaraj

    Can a person outside the US invest using these brokerage and the commission is same ?

  18. MD ZIAUL KARIM

    Can i open an account with robinhood brokerage house from bangladesh by mobile.

  19. мустафае

    Can you please tell us witch brokers are allowed to work with in Africa? Morocco precisely?

  20. Beautiful HI

    Im from Kauai. I don't know anything about investing, but really need to start.

  21. Shawn-Rae Morris

    Finally a real review, most people just regurgitate what’s on the website…

  22. James Haack

    Add SoFi next time u do this

  23. Lil Namey

    My immediate thoughts: wow what a good camera

  24. John Smith

    What about FxSway?

  25. Musa

    Really good, thanks for sharing

  26. A.S.

    M1 is the goat!

  27. Harikrishnan Chandramohan

    @Arvabelle. Can non-us citizens use Td Ameritrade. It asks for social security number. But I have a different id in my country

  28. Livvvid

    2:05.

    BINGO. Thats literally why im here. Its been SIX DAYS and my money is still "in transit" to my robinhood account… That's completely ridiculous. I'm done with it and never even used lol.

  29. jay fox

    Charles Schwab do charge trading stock fees.

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