Competitors to the TD Ameritrade app | finder.com

Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.

5 key TD Ameritrade competitors

TD Ameritrade is known for its powerful research tools and low fees, but it has its drawbacks. Here are 5 alternatives to TD Ameritrade that pick up the slack.

Our pick for beginner investors: Robinhood

Robinhood logo
  • $0 commissions
  • Download the app or trade online
  • Start trading right away with instant deposits
Go to site

TD Ameritrade is known for its powerful research tools and low fees, but it has its drawbacks. Here are 5 alternatives to TD Ameritrade that pick up the slack.

TD Ameritrade is one of the most well-known brokers, but it has its disadvantages. Other brokers let you buy portions of stocks for as little as $5, which Ameritrade doesn’t. They also offer similar research tools, low fees and other benefits. Here are five apps like TD Ameritrade.

Brokerages like TD Ameritrade

These trading platforms are some of TD Ameritrade closest competitors.

Fidelity Investments

  • Best for: Active investors and beginners
  • Consider switching from TD Ameritrade if: You want a low-fee automated investing platform (robo-advisor) but also want access to an active trading account with advanced research tools.

A popular choice, Fidelity Investments stands out for low fees, robust research tools and various services tailored to different investors. Fidelity charges no commissions on stocks, ETFs and options.

It also offers more than 3,000 index funds that charge no expense ratios and have no investment minimums. While TD Ameritrade offers low-cost funds, some investors would be very satisfied with Fidelity funds that waive expense ratios. Plus, you can purchase fractional shares through Fidelity Mobile. However, Fidelity doesn’t offer cryptocurrency to retail investors.

Fidelity allows you to invest on your own or open an account with Fidelity Go, the firm’s robo-advisor. TD Ameritrade also offers an automated platform, but it requires a minimum deposit of $500 and an advisory fee of 0.35%. Fidelity Go lets you get started with $10, and the management fee is waived for accounts holding less than $10,000.

Active Fidelity investors have a library of research tools to choose from, including stock screeners with more than 140 criteria. You’ll also have access to third-party research from leading providers like Thomson Reuters.

Fees

  • $0 investment minimum
  • Zero commissions on stock, ETF and options trades
  • Thousands of no-expense-ratio mutual funds
  • Fidelity Go management fee
    • No advisory fee for a balance under $10,000
    • $3 per month for a balance of $10,000–$49,999
    • 0.35% annual management fee for a balance of $50,000 or more
  • Inactivity fee: None

SoFi

  • Best for: Beginner investors
  • Consider switching from TD Ameritrade if: you want to take a hands-off approach to investing

While TD Ameritrade offers various services aimed at different investors, SoFi Invest may be one of the top brokerages for beginners.
You can open an account through SoFi Invest with as little as $1.

Like other discount brokers, SoFi lets you trade stocks and ETFs without paying a commission. But SoFi also offers an automated investing account or robo-advisor with no annual management fee –– a rarity in the broker world.

After answering a few questions about your finances, SoFi recommends a diversified portfolio built with low-fee ETFs. From there, the robo-advisor automatically rebalances it overtime to stay on track with your goals. TD Ameritrade’s robo-advisor requires a 0.35% management fee.

However, SoFi falls short when it comes to investment options. It doesn’t offer options trading, futures, forex or mutual funds.

Fees

  • $1 investment minimum
  • Zero commissions on stock and ETF trades
  • 0% annual management fee for automated investing
  • 1.25% cryptocurrency trading fee
  • Inactivity fee: None

Robinhood

  • Best for: new, active investors
  • Consider switching from TD Ameritrade if: you want no-fee options trading

Another alternative, Robinhood investing, is known for its low fees and user-friendly interface. It offers commission-free stocks, ETFs and options. And unlike many brokerages, Robinhood doesn’t charge contract fees on options. You can also buy fractional shares through Robinhood.

Moreover, new investors can benefit from Robinhood’s library of educational materials about investing and all things finance.

However, this beginner-friendly brokerage doesn’t offer the most sophisticated research tools for active traders, like advanced stock screeners and charting. And active traders won’t have access to securities like mutual funds, forex and precious metals.

Fees

  • $0 minimum investment
  • Commission-free stock, ETF and options trades
  • $5 monthly fee for Robinhood Gold
  • No contract fee for options
  • Inactivity fee: None

Interactive Brokers

  • Best for: Advanced traders
  • Consider switching from TD Ameritrade if: you’re an advanced day trader and want access to some of the most sophisticated research tools around

Like TD Ameritrade, Interactive Brokers (IB) offers a wide range of advanced research tools and platforms. You can place more than 100 different order types and access complex trading algorithms.

CSFB Crossfinder+, for example, identifies liquidity among independent and broker-owned dark pools while offering continuous crossing capabilities. According to its website, CrossFinder+ will spread your order over multiple destinations and fill at the midpoint or better.

Like TD Ameritrade, IB should give the experienced, active investor much to tinker with. But depending on your skill level, some features may be downright overwhelming. IB’s fee structure can also be complex. Beginners may be interested in the broker’s IB Lite platform, which offers commission-free trading on US-listed stocks and ETFs.

Fees

  • $0 account minimum
  • Zero commissions on US-listed stocks and ETFs through IBKR Lite

Vanguard

  • Best for: Investors saving for retirement
  • Consider switching from TD Ameritrade if: you want access to index funds with the industry-beating fees

Known for its low-fee index funds, Vanguard is an ideal choice for the buy-and-hold investor. But active traders can also benefit from commission-free stock trading.

Vanguard may be more suitable for long-term investors, particularly those saving for retirement. You can open an individual or Roth IRA and invest in hundreds of proprietary ETFs and mutual funds with no commissions or sales loads. You can also choose from a lineup of target-date funds (TDFs), which automatically rebalance to take on less risk as you near retirement.

Vanguard’s online educational resources can help beginners develop their investing acumen. But active investors may want more out of Vanguard, which lacks the research tools offered by TD Ameritrade and other competitors.

Pros and cons of TD Ameritrade

TD Ameritrade offers many benefits, but it may not be the best choice for all types of investors. Here are some pros and cons to weigh.

Pros

  • Commission-free online stock, ETF and options trades
  • $0 minimum investment
  • Plenty of research tools and securities to choose from

Cons

  • No fractional shares
  • No cryptocurrency trading
  • Some tools may be too advanced for beginners

How to transfer your brokerage account

If you’re switching brokers, the process may vary depending on your current broker and your new one. TD Ameritrade charges $75 to transfer all funds to another account and close your current one. TD Ameritrade uses the Automated Customer Account Transfer Service (ACATS).

Expect to go through the following process.

  1. Get a statement from your broker that includes information like your account number and current assets.
  2. Open the same type of account with your new broker. For example, an individual brokerage account should go to another individual brokerage account.
  3. Fill out a transfer initiation or ACATS form with your current broker.
  4. Your current broker validates your form or notifies you of the next steps within three business days.
  5. Your old broker completes the process and moves funds within six business days.

Note: Some brokers don’t accept the proprietary funds of others. So you may not be able to transfer mutual funds or ETFs managed by your old broker.

Compare trading platforms

Here are signup details for a few brokers you might consider:

Name Product Stock trade fee Asset types Option trade fee Annual fee Signup bonus
Sofi Invest
$0
Stocks, ETFs, Cryptocurrency
N/A
0%
N/A
A free way to invest in stocks, ETFs and crypto.
Robinhood
$0
Stocks, Options, ETFs, Gold/Commodities
$0
0%
Free stock (chosen randomly with a value anywhere between $2.50 and $200)
Sign up using the "go to site" link
Make unlimited commission-free trades in stocks, funds, and options with Robinhood Financial.
Interactive Brokers
$0
Stocks, Bonds, Options, Mutual funds, ETFs
$0 + $0.65/contract, $1 minimum
0%
N/A
IBKR Lite offers $0 commissions, and IBKR Pro offers advanced tools for professional traders.
Webull
$0
Stocks, Options, ETFs
$0
0%
Get one free stock valued between $2.50 and $250
Open an account
Margin financing rates start at 3.99%. No monthly subscription fees for margin.
TradeStation
$0
Stocks, Bonds, Options, Mutual funds, ETFs, Cryptocurrency
$0 + $0.50/contract
$0 per month
$50
Deposit qualifying assets of $5,000+
A platform built for all kinds of traders and all styles of trading
Public
$0
Stocks, ETFs
N/A
$0 per month
N/A
loading

Compare up to 4 providers

*Signup bonus information updated weekly.

Disclaimer: The value of any investment can go up or down depending on news, trends and market conditions. We are not investment advisers, so do your own due diligence to understand the risks before you invest.

More guides on Finder

Ask an Expert

You are about to post a question on finder.com:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder.com provides guides and information on a range of products and services. Because our content is not financial advice, we suggest talking with a professional before you make any decision.

By submitting your comment or question, you agree to our Privacy and Cookies Policy and finder.com Terms of Use.

Questions and responses on finder.com are not provided, paid for or otherwise endorsed by any bank or brand. These banks and brands are not responsible for ensuring that comments are answered or accurate.
Go to site