Perhaps you are trying to decide if it's time to try an online stock broker for the first time. More people are taking an interest in self-directed online investment then ever before. There has been steady growth in this market over the last 5 years, in spite of the recession. Of course trying something new with your finances can be intimidating, so here are some tips to get started.
The biggest attraction of online investment for many is the lower commission rates. The biggest players – Charles Schwab, E-Trade, Fidelity, Scottrade and TD Ameritrade- are locked in an ongoing price war that has pushed commissions down to between $7 to $10 per trade. Keep in mind some of these brokers require minimum balances, and beyond the pricing you also want to compare what services are available. Similar brokerages may seek to set themselves apart with more unique services.