U.S. Bank Brokerage Account Review for 2025
U.S. Bancorp brokerage review. U.S. Bank Investments fees, rating, online stock trading
and IRA account minimums, and mutual fund offering.
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U.S. Bancorp Investments Overview
If you’ve been using U.S. Bank for checking and savings, you should also look into its securities trading options. Through U.S. Bancorp Investments, U.S. Bank provides both robo and self-directed investing. The offline version has a higher price but includes a dedicated financial advisor.
U.S. Bancorp Investments offers self-directed and advisory accounts, both full-service and online. Full-service accounts come with more features but cost more, while online accounts have fewer features but cost less. You can open a low-cost account online in either an advisory (robo) or self-directed format. This review will focus on the budget-friendly online program.
Online accounts have fewer services but much lower costs. You can open a low-cost online account as either advisory or self-managed. The advisory side is a robo service.
Is U.S. Bank Brokerage Safe?
U.S. Bancorp Investments is registered with FINRA and the SEC both as a broker-dealer (handling its brokerage accounts) and as an investment advisor (managing its advisory accounts). Its FINRA ID is 17868, and its SEC ID is 801-68122.
The company has been registered since 1986, with 25 disclosures on its FINRA profile—small for a 37-year span. It is licensed in all 50 states plus Washington, D.C. and Puerto Rico.
Besides regulatory coverage, U.S. Bancorp Investments is a member of SIPC. SIPC provides insurance up to plan limits on both self-directed and managed accounts.
U.S. Bancorp Automated Investor
One choice for U.S. Bancorp Investments clients is Automated Investor, the company’s robo service. It uses a software system to trade ETFs with low expense ratios. There is no human advisor attached, so the annual fee is just 0.24%, which is much cheaper than a full-service account (which can be as high as 2.05%). Automated Investor requires only $1,000 to start.
ETF trades inside the account do not have commissions, so the 0.24% fee is the total cost. Automatic rebalancing and tax-loss harvesting come at no extra charge.
Examples of ETFs used include:
Vanguard FTSE Developed Markets – VEA
iShares Russell Mid-cap – IWR
SPDR Portfolio Aggregate Bond – SPAB
Any cash dividends earned by the ETFs go toward buying more shares.
The robo account can be opened in several account types, such as individual taxable, joint, Roth IRA, Traditional IRA, SEP IRA, and Rollover IRA. Only IRA owners can add beneficiaries.
U.S. Bank Self-Directed Investing
Clients who want more freedom can get a bigger selection of ETFs (including every American-listed ETF), with zero minimum balance, by managing their own trades. Beyond ETFs, other products are offered:
- Stocks
- Mutual funds (over 10,000)
- Options
- Bonds
However, there are trading fees now. Stocks, ETFs, and options are $4.95 each. Options also carry $1 per contract. Mutual funds with a load cost $25 per trade.
Currently, the brokerage is offering 100 free stock and ETF trades per year for self-directed traders who enroll in paperless statements and open a U.S. Bank Smartly Checking account (which may have a monthly fee).
A self-directed account has a $50 annual charge. This fee is removed for clients with more than $250,000 in household assets.
The same account types mentioned for the robo service are also available in the self-directed program.
FDIC-Sweep Program
A self-managed account with unused cash can opt to have the funds swept into U.S. Bank, where they are covered by the FDIC. Since only one bank is used, the maximum insurance is $250,000. Any funds in other U.S. Bank accounts reduce this coverage. Interest is paid on swept cash. Full-service clients can also use this feature. Note that free cash in a robo account is invested in ETFs.
Margin
Self-directed accounts at U.S. Bancorp Investments can use margin. Rates are quite favorable right now. The highest rate is 9.75% and the lowest is 7.75%.
Digital Tools
U.S. Bancorp Investments accounts can be managed on the company’s website and mobile app. There are handy features on both, such as a goal-planning tool, a risk questionnaire, and a simulator that compares different investment possibilities.
Additional Services
Fractional Shares: Only whole shares of stocks and ETFs can be bought or sold in a self-managed account. Mutual funds can still be traded in dollar amounts.
DRIP Availability: U.S. Bancorp Investments offers automatic dividend reinvesting for stocks and funds.
Initial Public Offerings: Not available.
Extended Hours Trading: Only regular trading sessions are offered.
Periodic Mutual Fund Investing: Automatic purchases of mutual funds can be set up in a self-directed account.
U.S. Bank Investments Review Judgement
U.S. Bancorp Investments has an okay discount service for online traders, though not exceptional. The $50 annual fee on self-directed accounts is not competitive, but the 0.24% annual charge for the robo program is appealing. The FDIC sweep only uses one bank, so extra FDIC coverage isn’t possible. Trading fees in self-managed accounts can add up, but the robo option is a good deal overall.
Updated on 3/17/2025.
Chad Morris is a financial writer with more than 20 years experience
as both an English teacher and an avid trader. When he isn’t writing
expert content for Brokerage-Review.com, Chad can usually be found
managing his portfolio or building a new home computer.
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