Is Etrade good for beginners?
E-Trade is an award-winning online brokerage firm that is the logical choice for many beginner investors. But is it good for novice investors? With a plethora of educational materials available,
competitive prices as well as access to finance professionals, it is one of the most popular companies for brokerage, investing and banking services.
When investing your hard earned money, it is always a good idea to have options. E-Trade offers several options for investing: by yourself, with help or professionally managed. If you're a beginner and wish to invest on your own, it's a good idea to review the online investing courses offered and to utilize the four-step investment process that E-Trade outlines: plan your strategy, allocate assets, choose investments wisely and monitor your portfolio. If you choose to invest with help, or have your portfolio professionally managed, E-Trade has experienced traders and brokers at your service, as well as an abundance of educational material at your disposal to keep you up to speed on the investing process.
The E-Trade website is easy to use and is extremely intuitive, making it a great resource for beginners who may be a bit “skiddish” when it comes to investing online for
the first time. Users have access to a ton of free trading tools such as E-Trade 360, E-Trade Pro and E-Trade Mobile. You can also track your portfolio, view up to the minute
market data and even create an action plan for your retirement money.
If you're an advanced user, E-Trade Pro allows you to chart and track your investments, and it provides you with daily trends. E-Trade mobile may be one of the
most helpful features of all as it allows you to stay connected to your investments on the go. You can scan barcodes of products you may be interested in and learn
about the company behind the product---a great way to invest in a potentially successful start-up!
E-Trade is known for their excellent customer service and they do a pretty great job at keeping their customers satisfied. They provide users with a ton of online resources like FAQs, forums, online courses, blogs, and even a toll-free number should you need to speak to a person in real time. You may also utilize their chat function where you can speak with an E-Trade team member during normal trading hours to get advice and fix account issues.
With so much educational material available for beginner investors, it isn't hard to see that E-Trade really wants their customers to be knowledgeable before and during the investing process. With interactive support, tutorials and tons of free trading tools available to all customers, getting started with E-Trade is quick and easy, regardless if you're a novice or seasoned investment professional.
The E-Trade's biggest downside is that it's expensive. As an example, its biggest competitor, Scottrade,
charges $7 for stock and ETF trades which is significantly less than E-Trade's $9.99 rate. For this reason investors are advised to shop around to get the best deal in
online investing. Brokerage Reviews is a good place to start.
Review of Etrade
Best brokers for beginners
Etrade or Scottrade: which is better?
So how does one buy/sell stock, ETF or a mutual fund on E-Trade?
The process of buying or selling stock, ETF or a mutual fund on E-Trade is quite simple. Here are the steps:
1. Open an E-Trade account. You will be asked to provide your financial information as well as contact information. You will also need to set up a user name and password in order to create and access your portfolio. Be sure to set up a secure password that only you will know.
2. Deposit money into your account via your bank account or credit card. This money will be used to fund your portfolio where you will buy/trade stocks.
3. Familiarize yourself with the E-Trade website, read some of their educational materials, listen to a webinar and contact support if you have questions or need help.
4. Take a look at advisor advice and stock charts for recommendations. Go to “Trading and Portfolios” option in the menu. There you can either search
or enter the stock symbol for the company which you wish to buy.
5. Decide on the number of shares you wish to purchase. Enter in the amount into the Order menu tab. In order to complete your transaction, a $9.99 commission fee will
be applied to your account.
6. If you wish to sell stock, go to the “Trading and Portfolios” menu in order to see a stock you'd like to sell. Simply chose the “trade” option and enter “sell” to signify the order type. Type the number of shares you want to sell of the particular stock, select “market” save your changes and you're finished.
Open Etrade Account
Updated on 5/23/2016.