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Online Brokers: Ratings of Sources
Total of 14 Sources
SmartMoney 2010 Broker Survey
by Neil Parmar and J. Alex Tarquinio
Our AssessmentThis is the most detailed review we found, and the thorough research methods lend it a high degree of credibility. The review names the best and worst online broker in each of six categories: commissions and fees, research, trading tools, mutual funds and investment products, banking services and customer service. At the end a chart shows the overall rankings as well as the category ratings for each broker. The top five are, in order, Fidelity, E*Trade, TD Ameritrade, Charles Schwab and TradeKing. Commissions and fees reported here are for an investor who has at least $50,000 in a brokerage account and trades up to five times per month.
2. Barron's
March 15, 2010
Newest Trading Play: Screen Savings
by Theresa W. Carey
Our AssessmentThe annual Barron's ranking of online brokers is a much-relied-upon source of information for investors of all types. For the 2010 rankings, Barron's rates the top 22 online brokers, and summarizes the results in a table. Short tables show the best brokers for buy-and-hold investors, options traders, frequent traders and international traders. Another table ranks the least-expensive online brokers for occasional traders and frequent traders. Overall, this is a thorough, well-researched review with useful information for every type of investor.
3. J.D. Power & Associates
Sept. 30, 2010
2010 Self-Directed Investor Satisfaction Study
by Editors of J.D. Power and Associates
Our AssessmentMore than 4,100 investors who make all of their investment decisions without an investment adviser responded to J.D. Power and Associates annual self-directed investor satisfaction survey in July 2010. The accompanying news release notes that Vanguard, which ranks the highest, "performs particularly well in account offerings and account information." Charles Schwab & Co. also scores well, especially in the areas of interaction and information resources. Scottrade ranks third, and draws kudos when it comes to trading charges and other fees.
4. ConsumerReports.org
May 2009
Brokerage Service Ratings
by Editors of ConsumerReports.org
Our AssessmentConsumerReports.org ranks 17 brokerage firms, including discount as well as full-service brokers, based on a survey of 8,969 online ConsumerReports.org subscribers who evaluated their dealings with the brokerages between January 2008 and January 2009. Respondents rated brokers on account service, website, phone service and in-person service.
The Best of the Online Brokers for 2011
by Elizabeth Ody
Our AssessmentKiplinger.com assesses 14 online brokerages based on outside research as well as staffers' personal experience in opening and using accounts at those houses surveyed. This year, Fidelity and TD Ameritrade tie for first place overall. There is no chart showing how each firm is rated, however. Instead, you answer four questions about how important different aspects of a broker's services are to you, and based on your answers you get a list showing, in descending order, which brokers would best suit your needs.
6. Technical Analysis of Stocks & Commodities Magazine
2010
2010 Readers' Choice Awards
by Editors of Technical Analysis of Stocks & Commodities
Our AssessmentSubscribers to this magazine are frequent traders who want electronic access to the best real-time data, technical analysis tools and trade execution tools. The Readers' Choice Awards are presented based on subscribers' votes for the best online brokers and trading services. For the second year in a row, Interactive Brokers is voted best stock brokerage, best futures brokerage and best forex (foreign currency trading) brokerage. TradeStation is first runner-up in all of those categories.
7. TopTenReviews.com
Not Dated
2011 Online Stock Trading Review
by Editors of TopTenReviews.com
Our AssessmentTopTenReviews.com offers detailed reviews of 18 brokers, and it summarizes their findings in a comparison chart. Ratings are based on other reviews as well as hands-on research. The comparison chart is quite thorough, though some of its information is a little old despite the 2011 date that this review carries.
Online Broker Review 2011
by Editors of Stockbrokers.com
Our AssessmentStockbrokers.com reviews 23 online brokers and rates each on seven factors, including commissions and fees, ease of use, customer service and investment offerings. The editors explain that the ratings are based on hands-on research. A section of the report focuses on each of the areas brokers are rated on; a chart at the ends summarizes the ratings and ranks the brokers. The information here is thorough and up to date. This site also offers full reviews of each of the brokers included in the chart.
9. Forbes
As of March 2011
Web Site Reviews: Brokers
by Editors of Forbes.com
Our AssessmentForbes.com offers short reviews of 28 online brokers. Charles Schwab is named a Forbes Favorite, and BrownCo (which has been acquired by E*Trade), Fidelity, Merrill Lynch Direct, ShareBuilder and TD Ameritrade get Best of the Web awards. The review section is introduced with an overview of the industry. These reviews do not appear to have been updated since 2009.
10. BetterTrades.com
As of March 2011
Better Trades Broker Reviews
by Robert Stammers, Chartered Financial Analyst
Our AssessmentFinancial Analyst Robert Stammers offers fairly short reviews of 12 online brokers. He does not rate or rank them, but he does suggest at the end of each review what type of investor would likely find that particular broker most useful. This site has not been updated recently; though a few reviews are from early 2010, many date back to 2008.
11. StockTradingToGo.com
As of March 2011
5 Top Online Stock Brokers
by Blain Reinkensmeyer
Our AssessmentBlain Reinkensmeyer lists the top five online brokers, looking at fees and other factors to assess their overall value to the investor. Site features include a chart comparing 10 online brokers in terms of their fee and commission structures as well as their ratings for customer service, research and a few other categories. Ratings are based on hands-on research as well as the reviews in Barron's and SmartMoney magazines. The chart is useful as a quick way to compare the costs of various transactions across brokerages.
12. FiveCentNickel.com
As of March 2011
The Best Online Discount Brokers (Updated!)
by "Nickel"
Our AssessmentThis website is maintained by an anonymous "30-something year old" who is a self-taught in the areas of finance and financial management. In this article, he reports the results of his request for readers to list their favorite online discount brokers. It is unclear how many readers responded or what number of votes each broker received. Very short write-ups provide a few details about the online brokers with the most votes. A number of readers' comments follow the article.
13. Keynote Systems
As of March 2011
Business Transaction Index for Brokerage Web Sites
by Editors of Keynote Systems Inc.
Our AssessmentKeynote Systems, Inc., rates online brokers based on response time for placing a stock order and the success rate of order completion. Results are tracked continuously, with updates published weekly. An archive lists results as far back as 2006. Fidelity and Charles Schwab most often lead in one or both categories.
14. Epinions.com
As of March 2011
Brokers
by Contributors to Epinions.com
Our AssessmentEpinions.com allows site visitors to rate brokers. The only problem is that many reviews date back to 2000, and very few are more recent than 2008. Most brokers have few reviews; of the nationally known brokers with a significant number of reviews, Fidelity gets the best score, and Charles Schwab and TD Ameritrade all get high scores. All brokers are subject to some complaints.

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