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ChoiceTrade Review

ChoiceTrade vs TradeKing



ChoiceTrade vs TradeKing: Trading Fees and Investments




TradeKing


ChoiceTrade

  • Stocks and ETFs: $4.95 (for stocks/etfs priced over $1)
  • Options: $4.95 plus $0.65 per contract (for up to 8 contracts) OR $8.95 plus $0.15 per contract (for over 8 contracts)
  • Short options valued at 5 cents or less, can be bought to close these positions for no charge (commission free)
  • Multiple legs will only be charged one base price of either $4.95 or $8.95, depending on how many total contracts are involved
  • Mutual Funds: $9.95
  • Bonds: $4.95 per bond ($14.95 minimum)
  • Treasuries: $24.95 per transaction
  • Certificates of Deposit (CDs): $24.95 per transaction
  • Investments: stocks, options, mutual funds, bonds, CDs, treasuries, ETFs
  • Minimum to open TradeKing account: $0
  • All TradeKing fees

  • Stocks and ETFs (not direct access): $5 per trade
  • Stocks and ETFs (direct access): $0.005 per share, $1 minimum per trade
  • Stocks and ETFs (broker-assisted): $30 per trade
  • Options: $5 plus $0.15 per contract
  • Mutual funds: $25 per trade
  • Investment products: stocks, options, mutual funds, Forex, ETFs
  • Minimum to open Choicetrade account: $0 for cash account, 2,000 for margin account
  • All Choicetrade fees




TradeKing vs ChoiceTrade: Pros



TradeKing


ChoiceTrade

  • Great commissions
  • No minimums, maintenance or hidden fees
  • Free real time quotes
  • Award-winning trading tools
  • Best rated customer service
  • Low margin rates
  • Best online investor community
  • Fee-free IRAs
  • Extensive educational resources

  • Direct access trading with lowest per share commissions
  • Very low flat-rate commissions
  • Powerful trading platforms
  • No account minimum, maintenance or inactivity fees
  • Free paper trading
  • Investor community




TradeKing vs ChoiceTrade: Cons



TradeKing


ChoiceTrade

  • Additional $0.01 per share on the entire order of stocks priced less than $1
  • $50 annual inactivity fee if BOTH apply to an account(s):
    • Combined account value of the household account(s) is less than $2,500
    • No commission-charged trades have been executed in the account(s) during the last 12 months

  • While web-based trading platform with delayed quotes is free, more advanced platforms and streaming quotes are not: web-based Choicestreamer is $14.95/month, ChoiceTrader Direct pro is $49/month, Choicetrader Select with eSignal is $126/month
  • Extended hours stock trades have $0.005 per share surcharge
  • 1% surcharge of the total dollar value of the order in addition to the normal commission of $5 per trade to all stock orders of more than 500,000 shares
  • High mutual fund commissions




ChoiceTrade vs TradeKing: Comparison Summary



When it comes to stock and ETF commissions, Tradeking (Tradeking Review) and Choicetrade (Choicetrade Review) have the same $5 per trade rate. TradeKing offers better commissions on mutual funds and options but it also has a surcharge on penny stocks. Choicetrade charges additional $0.005 per share on after-hours stock trading.

Both ChoiceTrade and TradeKing do not have maintenance fees, as well as no volume or minimum number of trades requirements. They also don't charge IRA fees except for ChoiceTrade's annual custodial IRA fee of $30 and therefore are great for a No Fee IRA account.

TradeKing is much friendlier brokerage for new investors: it has lots of learning materials and very helpful online trader community. If you are new to investing we would strongly recommend TradeKing.

Both brokerages are excellent. TradeKing has much better trading tools, customer service and trading community and therefore it is clearly better broker out of the two. We also included it in our list of Best Online Brokerage Companies in 2012.

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