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Accounts for Non-U.S. International Residents at Fidelity Investments in 2021



Fidelity For Non-U.S. Residents


Because of laws and regulations introduced in the recent years it became increasingly difficult for U.S. brokerage firms to maintain international investors who are non-U.S. citizens or residents. That is the reason American brokerage companies don't accept new account applications from non-U.S. residents (even from European Union citizens and expats).

Fidelity is one of the companies that do not accept account applications from non-U.S. residents aliens (including EU citizens).

Fortunately, there is a U.S. brokerage firm that welcomes international investors - ZacksTrade.


Open ZacksTrade Account


Open ZacksTrade Account



Overview of ZacksTrade


ZacksTrade (member of SIPC) is an online broker in the United States. It has the distinction of being one of the best brokers for global investors (it offers trading in 120 markets, 26 countries, and 22 currencies).


Mutual Funds


Despite ZacksTrade's focus on stock and option trading, the broker-dealer does offer mutual funds. In fact, it offers more than 10,000 of them. Nearly 9,000 carry zero load. Over 4,100 funds have no transaction fee. Some of the no-transaction-fee funds carry loads.

There are many fund families on the ZacksTrade platform. These include Allianz, Invesco, Wells Fargo, BlackRock, and Fidelity.

ZacksTrade customers pay $27.50 for funds that aren't on the NTF list.


ETF's


ZacksTrade has an ETF screener and ETF research materials. We didn't find any ETF learning materials, however.


ZacksTrade Commissions, Fees, and Account Requirements


The broker starts off this section with zero account fees. There is no annual fee or any charge for a low balance or inactivity. The broker-dealer does require a $2,500 deposit to open a securities account.

Equity transactions cost 1¢ per share with a $1 minimum. The stock or ETF price must be at least $1 to qualify for this rate. Penny stocks cost 1% of trade value with the same $1 minimum. Amazingly, there is no additional charge for using a live broker to submit an order.

For options, ZacksTrade charges $1 for the first contract and 75¢ for each additional derivative. A great feature we really liked about ZacksTrade is that the broker charges absolutely nothing for option exercises and assignments.

Bonds are available at Zacks, and they cost 0.1% of face value plus $3 per individual bond. After reaching $10,000 of face value, the rate goes down to 0.025%. These prices are for corporate debt. U.S. Treasuries cost 0.025% of face value for the first million dollars; after reaching that level, the price drops to 0.005%. The same $3 per-bond charge is applied.

ZacksTrade doesn't charge a dime for its software. However, the broker does charge for data, and we found the prices to be rather steep. For example, U.S. stock and futures data cost $10 per month. This charge will be waived if you trade at least $30 in commission per month. Data from NYSE and Nasdaq costs anywhere from $1 per month up to $25, depending on the specific package you need. Bond data is free. Data on foreign exchanges also comes with fees. Professional traders face steep prices on both domestic and foreign exchanges.

Sticking with its budget model, ZacksTrade has very low margin rates. At the high end of the scale, the APR is 3.59%, and at this rate, you can borrow up to $100,000.


Open ZacksTrade Account


Open ZacksTrade Account



Trading Platform


Buying and selling financial instruments takes place on IB's desktop platform Trader Workstation. This software offers a lot of advanced features, and as such, it does take time to learn and master.

In the upper-left corner sits the order ticket. Typing in a ticker symbol produces a drop-down menu with several choices. For example, when we typed in ‘AEP' for American Electric Power, we got selections for stocks, futures, options, CFD's, and bonds. We also saw selections for Atlas Engineered Products and Anglo-Eastern Plantations on the London Stock Exchange.


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Below the ticker box are buy and sell buttons. Sell is represented by red, although blue is used for buy. The bid-ask spread is shown, and below here sits more trading attributes. Quantity can be specified. The default order type is limit, but this can be changed to a variety of others, such as market, stop, trailing, adaptive, on-close, snap, and a few others.

Time in force can be set to day or GTC. There is also an option for ‘fill outside RTH,' which fills the order outside of regular trading hours. An order can also be set to fill only during the pre-market session.

Below the order ticket sits a brief summary of a ticker symbol's vital data. This includes the day's high-low range and the 52-week range. There is earnings information (specifically EPS and P/E) along with valuation figures.

Equity orders can be routed to specific exchanges or you can use IB's default choice, which is SMART. Some of the specific choices include CBOE, EDGEA, NYSE, and ARCA.

To the right of the summary sits a medium-sized chart. It can be expanded to fill the width of the screen, and this helps immensely to perform technical analysis. There are several studies available; we counted over 100. Some of the available choices include fast stochastics and MA crossover.

We found Trader Workstation’s charting program easy to use and customize. One nice feature is the ability to right-click on a chart and get a menu with several selections, including buy and sell buttons.


Interactive Brokers Trading Review


One feature on Trader Workstation that we really found helpful was the integration of iBot. We were able to issue commands, such as ‘FB chart,' and it would show us a chart of Facebook and give us several time frames to choose from. We could also type in something like ‘account balance,' and it would return the correct figure. This is a helpful feature if you're new to the platform and can't find something.

Speaking of not being able to find anything, we weren't able to find option chains, but eventually found them in the order ticket. In the upper-right corner, there is a selection of choices for the entered ticker symbol. Choosing ‘option chains' produces a pop-out window of open interest.


Interactive Brokers Charting Review


Calls and puts are displayed with bid and ask prices and sizes. Volume is also shown. There is a strategy builder at the bottom that has several multi-leg strategies. We found the tool difficult to use. Instead of an entire iron butterfly being automatically populated, for example, you have to click on each contract. This requires you to have a good knowledge of where the legs should be. There's a small payoff chart displayed next to the legs, and option orders can be sent to specific venues (as with stocks).

In the same menu where we found option chains, there is Market Depth. This is similar to Level II quotes. We found ECN's and market makers with bid and ask sizes at specific bid and ask prices. Horizontal lines are color-coded for easier viewing. Clicking on a bid or ask price within this window creates an order ticket where an order can be quickly submitted.


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Countries Accepted


If you are an international investor from one of these countries - Belgium, China, France, Germany, Ireland, Israel, Italy, Japan, South Korea, Mexico, New Zealand, Poland, Singapore, Taiwan, United Kingdom (Great Britain), Argentina, Austria, Azerbaijan, Bahamas, Bahrain, Bangladesh, Barbados, Belarus, Belize, Benin, Bermuda, Bhutan, Bolivia, Bosnia and Herzegovina, Brazil, Brunei Darussalam, Bulgaria, Canada, Cayman Islands, Chile, Colombia, Comoros, Costa Rica, Croatia, Cuba, Cyprus, Czech Republic, Denmark, Dominican Republic, Estonia, Finland, Greece, Hungary, Iceland, India, Indonesia, Iran, Iraq, Jordan, Kazakhstan, Kuwait, Latvia, Liechtenstein, Lithuania, Luxembourg, Malaysia, Monaco, Mongolia, Netherlands, New Zealand, Norway, Oman, Pakistan, Palau, Panama, Paraguay, Peru, Philippines, Portugal, Puerto Rico, Qatar, Romania, Russian Federation, Saudi Arabia, Singapore, Slovakia, Slovenia, South Africa, Spain, Sri Lanka, Sweden, Switzerland, Thailand, Turkey, Ukraine, United Arab Emirates, Vietnam - then go to ZacksTrade »


Open ZacksTrade Account


Open ZacksTrade Account