When we talk of the best brokerage firms, it includes the best penny stock broker and best Forex broker. It is very important to find a broker that offers low trading costs without compromising customer service. With this you can maximize your investments and get the desired returns or more.
The Top 4 Online Brokers
Today there are many online discount brokerages but amongst them there are four that are constantly branded as the best online brokerage firm. These are Scottrade, OptionsHouse, TradeKing and Zecco.
Let us discuss one by one why these companies are at the top of the ladder when it comes to online brokers.
Scottrade – Scottrade has been operating for over 25 years now and still maintaining a great reputation in the industry of brokerage. They provide local brokers for the convenience of their clients who wants to have face to face consultations with an actual broker. This discount broker is branded as the leader in stock brokerage and customer service. Scottrade also has no annual fees and no inactivity fees.
OptionsHouse – Like Scottrade, OptionHouse has no inactivity fees and maintenance fees – making it an excellent choice. In addition to that they don’t have any minimum deposits and charges no additional fees for broker assisted trades. In the Barron’s Survey of 2009, OptionHouse has been voted No. 1 in stock options trading and trade experience. This company is still young, but their offers and prices are highly competitive with that of TradeKing.
TradeKing – Awarded with the highest rating of 4 stars in the Barron’s 12th Annual Survey of Best Browser-Based Online Brokers, this company specializes in options trading, mutual fund investments, retirement accounts, and stock investments. If you’re looking for fast trade transactions, retirement education, great customer service, and a healthy investment community then TradeKing is the one for you.
Zecco – This firm operates with no minimum funding, no account minimums and no inactivity fees. On top of that, Zecco offers free stock trades because they get their profit from the interest of your money. There will also be no surcharges for penny stocks, extended trading hours and large orders. This company has virtually free or very low commissions, offers free dividend reinvestment and provides a great investment community.
Buying Stocks without a Broker
It is recommended that when it comes to Forex and penny stocks you work side by side with a qualified broker. It is so to speak the most functional and more advantageous way in securing an investment. But there are times that a broker is absolutely not necessary. You can buy stocks without a broker and may want to do this to find a way around brokerage commissions.
You can find companies that offer direct stock purchase plans. This investment has minimum requirements for initial deposits but some may waive it depending on the terms that you agree on like allowing automatic withdrawals from your savings or checking account.
Second is to take advantage of dividend reinvestment plans or DRIP. Within DRIP there is that what we call cash investment option. These plans allow you to invest a little money to a program administrator and they will buy shares for you. With the benefit of being able to buy fractional shares your money can slowly work for you.
When you think of investing on stocks, of course, not only that you need to consider the best brokers but also the best stocks. You can use the internet as reference on what are the best stocks to buy right now. With the right tools for your investments, outstanding returns can readily be expected.