An online discount broker is the way to go for investors who prefer to do a lot of things for themselves and do not need a financial advisor to make decisions for them. While some low-cost online brokerage firms offer some educational tools and research information, the investor can still choose which investments to make and run for himself.

Keep in mind that since this type of broker firm does not offer all the advantages of a full service broker, they can charge much less and do not charge for unnecessary fees.

If you already have a brokerage account and want to switch to a better, lower-cost one, look for one that pays the transfer fee for you. However, check the minimum amount requirement; You may be expected to have a certain amount of money in your account to qualify for the free transfer to the new company.

Even if you’re a DIY enthusiast when it comes to trading, you’ll want access to a tool-rich workstation that includes real-time analytics, video tutorials, reports, and more.

Low cost brokerage with great security

Safety and security are paramount also with regard to low-cost brokerage services. Your account details must be kept protected with state-of-the-art encryption technology, whether you log into your account via the web, the Android app, the Apple app, the tablet, or any other device. 128-bit SSL encryption is a good choice when selecting a brokerage solution.

There are also the types of investments you can make. Just because a brokerage is low-cost doesn’t mean you have to focus on penny stocks. It is nice to have more options such as bonds, options, mutual funds, options, and even Forex for those interested in currency exchange. It is an added advantage if the company offers insured accounts protected by organizations like Securities Investor Protection Corporation (or SPIC).

Since these types of discount brokers operate primarily over the Internet, they do not need to hire large sales forces to knock on doors. They simply rely on their low prices to attract customers and they don’t have the need to charge you commissions for every purchase or sale you make. You can do it in all the user friendly interface.

There should be no minimum account to worry about when it comes to a low cost brokerage firm. Even if there is, it shouldn’t be too much. It’s still a good idea to invest at least $ 500 if you can afford it to get the most out of online trading.

In general, there are several low-cost brokerage services to choose from on the internet, but the one you may want to check out first is Zack’s Trade. Accounts are protected by the SPIC for up to $ 500,000. The resources and tools are easy to use.