Small traders need to be very careful about minimum factor when choosing between different stock brokerage firms. A no minimum broker is a good way to start on the market. This especially applies to the first time traders. Imagine you are just out of college and want to try your hands on trading. Being a new guy on the street, you are still learning. For that reason you want to go on a slower pace when it comes to investing your money in the stock market. Having a minimum on the number of trades, forces you to do trading even when you don’t want to and you end up paying expensive fees again and again. The list below shows the no minimum broker.
Brokers charging minimum trading per month / quarter are simply not a good fit for small / new traders. If you fall into the category of one of those, please refrain from signing up brokers that enforce a minimum like that. A no minimum broker will not force you a minimum number of trades to be executed in a given time which allows you to make more wise decisions and this also reduces your commissions.
However word of caution, some brokers will enforce a minimum but that minimum will be quite low. For example, it can be 1-2 trades per month. While on the market, most traders do execute that many trades so you need not to worry about it.
For day traders / big investors trading minimums probably do not matter so much. Being a beginner if you consult a frequent trader, you may not get sound advice for your case. Refer to our list of recommended brokerage firms because they do not enforce any minimums on investors and hence are opt for new investors and occasional traders.
Top brokers with no minimum on trading comprise of OptionsHouse, tradeMonster, optionsXpress and TDAmeritrade.
OptionsHouse is known for its extremely low pricing for options trading (0.15/contract). They are currently running a promotion for 100 free trades which is almost few thousand dollars worth. More details about the offer are available from OptionsHouse details.
tradeMonster is also known for one of the best options trading tools available in the industry. Currently they are giving away $250 for signing up. If you are frequent options trader, please be sure to check out tradeMonster Options Trading.
No matter what people say, TDAmeritrade continues to be our favorite broker due to their powerful tools and facilities. TDAmeritrade's web and mobile systems combined with thinkorswim's desktop platform provide a killer combo for traders looking to trade very actively. TDAmeritrade's pricing isn't the cheapest in the industry. That is why our chief editor maintains account with both OptionsHouse and TDAmeritrade. More information about TDAmeritrade is available from TDAmeritrade Fees.
Refer your friends to OptionsHouse and get your choice of $150 or 30 commission-free trades.