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Top Stock Trading Companies

Stock trading companies, also known as a brokerage firms, facilitate trade orders on behalf of investors. Whereas some of these companies assist investors in a brick-and-mortar location, most have migrated services to the Internet. A broker serves as a middleman between investors and major stock exchanges for every single buy and sell decision for a commission. The two types of brokers are discount and full-service. Discount brokers charge much cheaper commissions, whereas full-service brokers are paid higher fees to provide a higher level of expertise to investors. Depending on the frequency of trading and the type of assets that an investor is searching for, trading firms have different strengths. For instance, some companies provide the lowest commission rates whereas others offer the most in-depth research.
Fidelity

Fidelity is touted by Kiplinger as having top-notch research among discount brokerage firms. Investors often rely on some level of guidance from a broker before making trading decisions in the stock market, and they receive a good amount of hand-holding from Fidelity brokers. Fidelity is also noted for its in-depth trading tools on its website, which help investors to track and chart trading patterns, draw comparisons and uncover trends. Fidelity is not only a discount broker, but also an investment adviser firm. One drawback with Fidelity is it does not have the cheapest trading commissions in the industry. Additionally, the firm adds additional layers of fees when investors select mutual funds that are outside of its fund program. Luckily, Fidelity is one of the largest mutual fund managers in the U.S., so investors have many of its funds to choose from. Fidelity Investments P.O. Box 770001 Cincinnati, OH 45277-0001 (800) 544-6666 fidelity.com

Charles Schwab

Charles Schwab has been effective at cutting commission fees in the years leading up to 2008, which prompted Kiplinger to name the firm the second best broker that year. Schwab is one of the largest trading companies in the U.S., and, in addition to an online offering, maintains brick-and-mortar offices in many major cities. This is useful for investors who prefer face-to-face instruction. Similar to Fidelity, Schwab also has a host of valuable trading tools on its website to assist investors with the trading process. The website is also relatively easy to navigate. Additionally, Schwab is one of the oldest discount brokerages and has gained respect for its market research, which it makes available to assist with trading decisions. According to SmartMoney, Schwab leads online brokers in terms of its quality research. The Charles Schwab Corp 211 Main Street San Francisco, CA 94105 (415) 636-8000 schwab.com
Muriel Siebert

Muriel Siebert has gained a reputation for delivering quality customer service to investors. According to SmartMoney, discount broker Siebert led online brokerages in 2009 for the way it dealt with customers. The firm does this by making brokers available to investors for guidance via a telephone conversation, instant messaging or email. After the global economy went through a recession in 2008, customer service and advice became increasingly important, because investors lost trillions of dollars collectively during the market downturn. Compared with Fidelity and Schwab, Siebert is a smaller brokerage firm that offers quality third-party research and access to a wide variety of mutual funds. Although a discount broker, Siebert charges among the highest commissions for stock trades, according to MSN Money. Muriel Siebert & Co. 885 Third Avenue, 17th Floor New York, NY 10022 (877) 327-8379 siebertnet.com