E-Trade Review

E-Trade

E-Trade

us.etrade.com

  • Leverage: Margin Trading

  • Regulation: SEC, FINRA, CFTC, SIPC, NFA, FDIC

  • Min. Deposit: $0

  • HQ: USA

  • Platforms: Power E*TRADE web, Power E*TRADE app, E*TRADE app, E*TRADE web

  • Found in: 1982

E-Trade Licenses:

  • MORGAN STANLEY - authorized by SEC & FINRA (USA) CRD#: 149777/SEC#: 801-70103,8-68191
  • Morgan Stanley Smith Barney LLC - member of SIPC (USA)
  • E*TRADE SECURITIES LLC - authorized by SEC & FINRA (USA) CRD#: 29106/SEC#: 8-44112
  • E*TRADE Futures LLC - authorized by CFTC (USA) NFA ID 0401545
  • E*TRADE Futures LLC - member of NFA (USA)
  • Morgan Stanley Private Bank, National Association - member of FDIC (USA)

Top 3 Forex Brokers

  1. What is E-Trade?
  2. E-Trade Pros and Cons
  3. Is E-Trade Safe or a Scam?
  4. Margin Trading
  5. Accounts
  6. Products
  7. Fees
  8. Commission
  9. Deposits and Withdrawals
  10. Trading Platform
  11. Customer Support
  12. Education
  13. Conclusion

Our Review Method

  • 55Brokers Financial Experts with over 10 years of experience in Stock and Forex Trading check all trading conditions, regulations and licenses, fees, spreads, platforms, customer service, and placed traders to see proposals fully to give expert opinions about E-Trade.

What is E-Trade?

E-Trade, a subsidiary of Morgan Stanley, operates as a Stock trading company, allowing individual investors and traders to buy and sell various financial products, including Stocks, Options, Mutual Funds, ETFs, Futures, Bonds, and CDs.

Based on our research, the firm adheres to strict regulatory oversight by the US SEC, FINRA, and CFTC. Also, it is a member of the National Futures Association (NFA), the Securities Investor Protection Corporation (SIPC), and the Federal Deposit Insurance Corporation (FDIC).

Overall, the brokerage offers favorable trading conditions and an intuitive interface for clients to manage their investment portfolios, access market research, and execute trades.

Is E-Trade Stock Broker?

Yes, E-Trade is a Stock Trading brokerage firm. The company became part of the global financial institution Morgan Stanley in 2020, integrating its online brokerage services into the broader suite of financial services offered by Morgan Stanley.

E-Trade Pros and Cons

Per our findings, the broker comes with its set of advantages and drawbacks. On the positive side, it offers a user-friendly interface, competitive trading conditions, and a diverse range of financial products for investors. The platform’s integration with Morgan Stanley adds financial stability and access to a broader suite of services. Additionally, E-Trade offers extensive research and educational resources to empower investors in making informed decisions.

For the cons, the fees and commissions might be comparatively higher, and despite its user-friendly interface, beginners may still find the platform somewhat complex, especially if they are new to investing and trading.

AdvantagesDisadvantages
SEC, FINRA, and CFTC regulation and overseeNo 24/7 customer support
$0 minimum depositNot suitable for beginners
Good education and research
US traders and investors
Competitive trading conditions
Paper trading
Advanced trading platforms
Secure investing environment

E-Trade Review Official Website

E-Trade Review Summary in 10 Points
🏢 HeadquartersUSA
🗺️ RegulationSEC, FINRA, CFTC, SIPC, NFA, FDIC
🖥 PlatformsPower E*TRADE web, Power E*TRADE app, E*TRADE app, E*TRADE web
📉 Trading ProductsStocks, Options, Mutual Funds, ETFs, Futures, Bonds and CDs
💰 Stock CommissionFrom $0
🎮 Paper Trading/ Demo AccountAvailable
💳 Minimum Deposit$0
💰 Base CurrenciesUSD
📚 EducationProvided
☎ Customer Support24/5

Overall E-Trade Ranking

According to our analysis, the broker provides competitive investment solutions, a broad range of financial products, and the backing of Morgan Stanley for enhanced financial stability. However, we recommend considering the specific investment needs, preferences, and potential limitations of the platform before making a decision.

  • E-Trade Overall Ranking is 8 out of 10 based on our testing and compared to over 500 brokers, see Our Ranking below compared to other industry-leading brokers.
RankingE-TradeTradeStationMerrill Edge
Our Ranking ⭐⭐⭐⭐⭐⭐⭐⭐⭐⭐⭐⭐⭐⭐
AdvantagesTrading ConditionsTrading PlatformsTrading Products

E-Trade Alternative Brokers

While the company offers competitive trading conditions for investors, other stock trading firms may offer additional benefits such as a wider range of trading products, trading platforms, etc. So, we have compiled a list of alternatives for you to consider.

Is E-Trade Safe or Scam?

No, E-Trade is not a scam. It is a reliable Stock trading broker that follows the strict rules and guidelines established by the SEC, FINRA, and CFTC. These Top-Tier regulations safeguard client assets and provide low-risk trading.

Is E-Trade Legit?

Yes, E-Trade is a legitimate and regulated investing firm. It is authorized by reliable US financial authorities and has a good reputation in the financial market.

Additionally, the broker does not offer services in offshore zones, emphasizing its commitment to operating within regulated jurisdictions and providing transparency to investors.

See our conclusion on E-Trade Reliability:

  • Our Ranked E-Trade Trust Score is 8.7 out of 10 for the good reputation and services provided, as well as not holding licenses in offshore zones and its regulation by respected authorities.
E-Trade Strong PointsE-Trade Weak Points
Top-tier licensesNone
Member of NFA, SIPC, and FDIC
Professional investing environment
Multi-factor authentication

Client Trading Protection

E-Trade places a high emphasis on safeguarding clients’ investments by following regulatory standards and industry best practices. This commitment includes implementing measures to prevent fraud, unauthorized account access, and stringent identity verification processes.

Additionally, being a member of SIPC, the company protects customer accounts up to $500,000 (including $250,000 for cash only), providing an extra level of security. However, traders should remain cautious, regularly monitor their investments, and practice safe online habits to enhance their trading protection further.

E-Trade Review License

Margin Trading

E-Trade provides margin trading options, allowing investors to borrow funds against their existing securities to potentially amplify their trading positions. While margin trading can enhance returns, it also involves increased risk, and investors should carefully consider their risk tolerance and market conditions before engaging in margin trading on the broker’s platform.

E-Trade Margin Levels are offered according to SEC, FINRA, and CFTC regulations:

  • US traders may use a maximum of up to 1:50 for major currency pairs.

E-Trade Review Margin Rates

E-Trade Account

Based on our findings, the broker offers a variety of account types tailored to meet diverse investor needs, including Individual Brokerage accounts, Retirement accounts like IRAs, and Education Savings accounts such as 529 plans. This range allows investors to choose accounts that offer E-Trade bonuses and align with their financial goals and preferences, providing flexibility in managing their investments on the platform.

ProsCons
Fast and easy account openingNone
Variety of account types
No minimum deposit

How to Open E-Trade Live Account?

Opening an account with a broker is considered quite an easy process, as you can log in and register within minutes. Just follow the opening account or E-Trade login page and proceed with the guided steps:

  • Select and Click on the “Open an Account” page
  • Enter the required personal data (Name, email, phone number, etc.), E-Trade promo code
  • Verify your data by uploading documentation (residential proof, ID, etc.)
  • Complete the electronic quiz confirming your trading experience
  • Once your account is activated and proven, follow with the money deposit.

E-Trade Review Accounts

Trading Products

The broker offers a comprehensive range of trading products, including stocks, options, mutual funds, ETFs, bonds, futures, and certificates of deposit (CDs). This diverse selection enables investors to build well-rounded portfolios and engage in various trading strategies based on their financial objectives and risk preferences.

  • E-Trade Markets Range Score is 8.7 out of 10 for trading products overall which we rank high also for offering some unique opportunities and investment options.

E-Trade Review Trading Products

E-Trade Fees

According to our findings, the company employs a commission-based fee model for its trading services. While the platform provides competitive pricing, investors should be aware of potential charges like transaction fees and margin interest rates, which can differ depending on the account type and trading activity.

  • E-Trade Fees are ranked average with an overall rating of 7.9 out of 10 based on our testing and compared to over 500 other brokers for all fees applied. Some services are free of charge and others may apply some charges. See more comparison details below:
FeesE-Trade FeesTradeStation FeesMerrill Edge Fees
Deposit feeYesYesYes
Withdrawal feeYesYesYes
Inactivity feeNoYesNo
Investment PlansYesYesYes
Fee rankingAverageAverageAverage

E-Trade Review Fees

Trading Commission

Based on our test trade, E-Trade charges commissions for various trading services, including options contracts, futures contracts, and bonds trades.

Traders should review the detailed commission schedule provided by the broker to accurately assess the costs associated with their specific trading preferences.

  • E-Trade Commission is ranked good with an overall rating of 8 out of 10 based on our testing comparison to other brokers. We found fees are competitive, transparent, and suitable for investment.
Asset/ PairE-Trade CommissionTradeStation CommissionMerrill Edge Commission
Stocks FeesFrom $0From $0From $0
Fractional SharesNoNoNo
Options FeesFrom $0,65From $0,60From $0,65
ETFs FeesFrom $0From $0From $0
Free StocksYesYesYes

E-Trade Review Commissions

E-Trade Trading Hours

We found that broker generally follows the standard trading hours of major U.S. stock exchanges, allowing users to execute trades during regular market hours from 9:30 AM to 4:00 PM Eastern Time, Monday through Friday.

Additionally, the platform may offer extended hours of trading, enabling investors to trade before the market opens and after it closes, providing greater flexibility for those looking to respond to pre-market or after-hours market movements.

Deposits and Withdrawals

The broker offers various funding methods to enable users to deposit funds into their accounts conveniently. These methods typically include electronic funds transfers (ACH), wire transfers, mobile check deposits, and account transfers from external financial institutions.

By providing multiple funding options, E-Trade accommodates diverse preferences and allows traders to fund their trading and investment activities on the platform efficiently.

  • E-Trade Funding Methods we ranked good with an overall rating of 8 out of 10. Fees are low, and you can also benefit from various funding methods.

Here are some good and negative points for E-Trade funding methods found:

AdvantageDisadvantage
Fast digital depositsNo credit/debit cards for funding
Variety of funding methods

E-Trade Minimum Deposit

The broker does not have a strict minimum deposit requirement for opening a brokerage account. However, traders should be aware that certain account types and trading activities may have specific funding or balance requirements.

E-Trade minimum deposit vs other brokers

E-Trade Most Other Brokers
Minimum Deposit $0 $500

E-Trade Withdrawals

Per our analysis, the broker provides users with flexibility in withdrawing funds from their accounts through various methods. Investors can typically withdraw funds via electronic funds transfer (ACH), wire transfer, or by requesting a check, offering multiple options to accommodate individual preferences and needs.

Withdraw Funds from E-Trade

To initiate a withdrawal fund from your trading account, the firm provides a set of typical steps that can be followed:

  1. Login to your account
  2. Select Withdraw Funds’ in the menu tab
  3. Enter the withdrawn amount
  4. Choose the withdrawal method
  5. Complete the electronic request with the requirements
  6. Confirm withdrawal information and Submit
  7. Check the current status of withdrawal through your Dashboard

E-Trade Review Funding Methods

Trading Platforms

E-Trade provides a comprehensive suite of trading platforms to suit different investor preferences and needs. Power E*TRADE web offers advanced features with real-time market data and intuitive charting tools for seamless online trading. Power E*TRADE app extends these capabilities to mobile devices, allowing users to manage portfolios and execute trades on the go.

The E*TRADE app and E*TRADE web platforms offer user-friendly interfaces, providing accessibility and convenience for investors of all levels. With a range of options, the broker ensures that traders can engage with the financial markets through platforms that align with their preferences.

  • E-Trade Platform is ranked good with an overall rating of 8.5 out of 10 compared to over 500 other brokers. We mark it as good since the broker offers advanced trading platforms.
PlatformsE-Trade PlatformsTradeStation PlatformsMerrill Edge Platforms
MT4NoNoNo
MT5NoNoNo
cTraderNoNoNo
Own PlatformsYesYesYes
Mobile AppsYesYesYes

E-Trade App

According to our findings, the E-Trade app is a mobile platform that empowers traders to manage their investment portfolios and execute trades conveniently from their smartphones or tablets. With a user-friendly interface, the app provides real-time market data, intuitive navigation, and secure access to account information.

Investors can stay connected to the financial markets, monitor positions, and take advantage of trading opportunities on the go, making the app a versatile tool for mobile trading.

E-Trade Review Trading Platforms

Customer Support

The broker offers 24/5 customer support to assist users with inquiries, technical issues, and account-related concerns. The support channels typically include phone support, email assistance, and social media channels, providing traders with multiple options to seek help and guidance.

  • Customer Support in E-Trade is ranked good with an overall rating of 8 out of 10 based on our testing. We got fast and knowledgeable responses, and also easy to reach during the working days.

See our find and ranking on Customer Service Quality:

ProsCons
Quick responsesNo 24/7 customer support
Relevant answersNo live chat

E-Trade Education

In the end, the broker provides a range of educational resources to empower investors with knowledge and insights into financial markets. These resources include articles, videos, webinars, and interactive tools designed to enhance users’ understanding of trading strategies, market analysis, and investment concepts.

  • E-Trade Education ranked with an overall rating of 8.5 out of 10 based on our research. We found that the firm provides good educational materials and research that are beneficial for traders looking to improve their understanding of trading strategies.

E-Trade Review Education

E-Trade Review Conclusion

In conclusion, E-Trade stands as a reputable online brokerage platform offering a user-friendly experience, competitive trading conditions, and a diverse range of trading products. Additionally, the broker provides comprehensive educational resources, equipping users with the knowledge and tools necessary to make informed investment decisions.

Overall, we found that E-Trade provides a robust suite of tools and features for investors looking to actively engage in the financial markets. However, we advise conducting your research and evaluating whether the broker’s offerings suit your specific trading requirements.

Based on Our findings and Financial Expert Opinions E-Trade is Good for:

  • Traders from the US
  • Investing
  • Stocks and Options trading
  • Advanced traders
  • Professional trading
  • Commission based trading
  • Paper trading
  • Competitive investment environment
  • Good educational materials and research

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